Being made redundant? Know exactly what you'll take home.
This website is based on information from Citizens Information, Revenue.ie, Gov.ie, and MyWelfare. This is an independent website and is not a government website. We do our best to keep the information correct and up to date, but you should always check the official government websites.
Statutory redundancy is 100% exempt from tax, USC & PRSI.
Basic Exemption, Increased Exemption or SCSB. We pick the best for you.
Lifetime tax-free cap on ex-gratia termination payments.
Fill in what you know. Start with Basic; switch to Advanced if you have a pension lump sum or long service.
Which income tax rate? A single person pays 20% up to €44,000/year and 40% above (2026). Higher if you're married or a single parent.
Which USC rate? Most people are on 3%; the 8% rate only applies to yearly income above €70,044 (2026).
Tax & USC apply only to the taxable part of the ex-gratia. PRSI never applies to redundancy.
⚠️ This is an estimate to help you understand the numbers, not official tax or legal advice. Your final figure depends on your exact circumstances. Always confirm with Revenue, Citizens Information or an accountant.
Not sure what these terms mean?
Once you finish up you can usually claim a weekly jobseeker's payment, and your redundancy lump sum doesn't stop it. See which one you're entitled to and estimate how much you'd get.
Statutory redundancy is 2 weeks' pay for every year of service, plus one extra week, with weekly pay capped at €600. You qualify after 2 years (104 weeks) of continuous service, and it is completely tax-free. Anything your employer pays on top, the ex-gratia, is tax-free up to the best of three reliefs, and only the part above that is taxed.
The statutory redundancy payment is the minimum the Redundancy Payments Acts guarantee, not what your employer has to stop at. It rests on two numbers: your gross weekly pay and your reckonable service, the years that count. Both are explained below the example.
Aoife has 12 full years of service, earns €900 a week gross, and her employer offers an ex-gratia of €40,000. She has no pension lump sum and has never claimed a termination relief before.
| Step | Working | Amount |
|---|---|---|
| Weekly pay used | €900 is above the cap, so €600 counts | €600 |
| Weeks owed | (2 × 12 years) + 1 bonus week | 25 weeks |
| Statutory redundancy | 25 × €600, tax-free | €15,000 |
| Basic Exemption | €10,160 + (€765 × 12) | €19,340 |
| Increased Exemption | Basic + €10,000, no pension lump sum | €29,340 |
| SCSB | €46,800 a year ÷ 15 × 12 years | €37,440 |
| Tax-free ex-gratia | The highest of the three, SCSB | €37,440 |
| Taxable | €40,000 − €37,440, income tax and USC, no PRSI | €2,560 |
Of a €55,000 package, €52,440 reaches Aoife tax-free. What she pays on the last €2,560 depends on her other income that year, which is why the calculator above asks for it.
Your pay before tax and PRSI, made up of:
If you are paid monthly, your monthly pay is divided by 4.33 to get a weekly figure. You can enter weekly, monthly or yearly pay in the calculator and it does the conversion. If your hours or pay change from week to week, the average of the last 52 weeks you worked is used. Whatever the result, only the first €600 a week counts.
Reckonable service is the time in your job that counts towards the payment. Holidays, sick leave, maternity, paternity, adoptive, parental and carer's leave, and a career break agreed with your employer all count. In your last 3 years only, four kinds of absence are taken off: sick leave beyond 26 weeks in a row, time off after a work injury beyond 52 weeks in a row, strikes, and lay-off. Absences before those 3 years are never deducted.
There is no upper age limit: it was removed in 2007, so you qualify at 60, 66 or older. You need to be over 16 and in fully insurable employment.
The MyWelfare redundancy calculator is the official one, and it estimates statutory redundancy only. For most people that is the smaller part of the package. The ex-gratia, the relief that applies to it and the tax on the rest are what decide how much you actually take home, and that is the part this calculator adds.
Figures checked on 27 September 2026 against Citizens Information (statutory redundancy, the €600 cap, 104 weeks, gross weekly pay, reckonable service, who qualifies and the age limit) and Revenue (Basic Exemption, Increased Exemption, SCSB and the €200,000 lifetime limit). The example assumes the same pay for the last three years, which is what SCSB averages.
Everything that decides how much of your payment is tax-free.
The most you can get at the €600 weekly cap. If you earn less than €600 a week, multiply the weeks by your gross weekly pay instead.
| Service | Weeks' pay | Maximum payment |
|---|---|---|
| 2 years | 5 weeks | €3,000 |
| 3 years | 7 weeks | €4,200 |
| 5 years | 11 weeks | €6,600 |
| 8 years | 17 weeks | €10,200 |
| 10 years | 21 weeks | €12,600 |
| 15 years | 31 weeks | €18,600 |
| 20 years | 41 weeks | €24,600 |
| 25 years | 51 weeks | €30,600 |
| 30 years | 61 weeks | €36,600 |
Each link has the full figures for that length of service, including the notice you're owed.
More questions about notice, holidays and your rights: redundancy questions and answers.
Redundancy is a shock, but you have real supports and entitlements. A few practical first steps:
Compare the calculator above with your employer's offer, and check everything else you're owed (holidays, notice, bonus). In a group redundancy? See how the consultation works.
When you finish up you can usually claim a weekly jobseeker's payment, and your lump sum doesn't stop it. See which one and how much, then apply on MyWelfare.
MABS, the free State money-advice service, can help you plan your budget between jobs, free and confidential. See mabs.ie.
If something feels unfair, Citizens Information and the Workplace Relations Commission can guide you, for free.