Redundancy pay calculator UK
Unfortunately, one knock-on affect of the recent economic downturn has been greater numbers of redundancies. Given that very few jobs are 100% safe, it pays to do some advance reading-up on your redundancy rights. You might also want to look into how losing your job would affect your finances. A redundancy pay calculator for UK jobs is a good place to start.
How to calculate redundancy pay
The amount that your redundancy pay calculator UK produces will depend on various circumstances:-
Calculations are normally based on the assumption you have been in post for a minimum period of 2 years.
The redundancy calculator will base its sums on factors such as age, gender, period of service, final rate of pay, qualifications, training received, and location.
There are many examples of redundancy pay calculators online. Input your search parameters depending on your particular profession.
For those in employment who fall into the 22 to 41 age category, the legal entitlement for redundanc is one week's there every year.
- - Based on that figure, the minimum payout is a half-weeks pay fo each complete service year if you are aged under 22.
- - One week's pay for every full service year if you are aged over 22, but under 41.
- - One and a half week's pay for each full service year for those employers aged 41 and above.
Of course, a lot of the redundancy calculator figures depend on the nature of the employment. In some cases these figures will be based on two week' per year, or even three.
It is worthwhile noting that any redundacy payout which is under £30,000 is completely tax-free.
What if redundancy follows on from liquidation?
Here is how the redundancy pay calculator for the UK is affected if the firm has actually gone bust.
The important thing to realise is that you still have rights, even if your employer made you redundant because they went into liquidation (or if your employer is a sole trader, bankruptcy). Upon liquidation or bankruptcy, the employer's estate is passed on to an insolvency practitioner. You would then approach them about money due.