Redundancy Pay Calculator Australia
Work out your NES redundancy pay under the Fair Work Act from your years of continuous service and base weekly pay.
Redundancy Pay Calculator Australia
Work out your redundancy pay under the NES (Fair Work Act) from your years of continuous service and base weekly pay.
• Small business employers (fewer than 15 employees) are generally exempt from NES redundancy pay.
• Estimates based on the NES scale and 2026-27 ATO genuine redundancy tax-free limits. Awards or agreements may pay more. Check with Fair Work for your exact entitlement.
Who Gets Redundancy Pay?
Under the National Employment Standards, employees are entitled to redundancy pay when their role is made redundant and they have at least 1 year of continuous service. It applies at employers with 15 or more employees — most small businesses are exempt.
How Much Redundancy Pay?
Redundancy pay is based on a sliding scale of 4 to 16 weeks of base pay, depending on continuous service: 4 weeks after 1 year, 10 weeks after 5 years, 16 weeks after 9 years, then 12 weeks at 10+ years. The calculator applies the NES scale to your base weekly pay.
Is Redundancy Pay Taxed?
Genuine redundancy payments have a tax-free limit (roughly $13,598 plus $6,801 per completed year of service in 2026-27). Amounts above the limit are taxed as an Employment Termination Payment at concessional rates.
Frequently Asked Questions
How much redundancy pay for 5 years of service?
Under the NES, 5 years of continuous service gives 10 weeks of redundancy pay at your base weekly rate.
Do small businesses pay redundancy pay?
Generally no. Employers with fewer than 15 employees are exempt from NES redundancy pay.
Is redundancy pay tax free?
A genuine redundancy payment is tax free up to a limit based on your years of service. The excess is taxed as an ETP.
What is included in my final redundancy payout?
Redundancy pay plus any payment in lieu of notice, unused annual leave and long service leave. Use the calculator for the redundancy component.