SevereArn
Australia · NES redundancy pay
US · UK · CA · AU · NZ · Updated October 19, 2026
SevereArn/Australia

Australia Redundancy Pay Calculator

An Australia redundancy pay calculator using the National Employment Standards (Fair Work Act s.119) scale of 4–16 weeks based on continuous service, stepping down to 12 weeks at 10+ years, plus the s.117 notice period. It flags the casual, under-12-month, and small-business (under 15 employees) exclusions and shows redundancy pay and notice separately with a combined total.

🇦🇺 FY 2026-27

Your employment details

Combined redundancy + notice🇦🇺 Australia
$22,885
10 wks redundancy + 4 wks notice
Redundancy$16,346
Notice$6,538
Weekly pay$1,635

Breakdown

Redundancy pay (10 wks)$16,346.15
Notice pay (4 wks)$6,538.46
Combined total$22,884.62
How we got there
weekly pay = $1,635 (ordinary rate)
redundancy = 10 wks (NES scale) × $1,635 = $16,346
notice = 4 wks (NES s.117) × $1,635 = $6,538
total = $16,346 + $6,538 = $22,885
Redundancy pay is calculated under the National Employment Standards (Fair Work Act s.119) on a scale of 4–16 weeks based on continuous service, stepping DOWN to 12 weeks at 10+ years (because long service leave then applies instead). Base weekly pay = ordinary hours at the ordinary rate — overtime, bonuses, and super are excluded.
Notice period (Fair Work Act s.117): 1 week (<1 yr), 2 weeks (1–3 yrs), 3 weeks (3–5 yrs), 4 weeks (5+ yrs), plus 1 extra week if you are over 45 with 2+ years of service. Notice is shown separately from redundancy pay.
Genuine redundancy payments have a tax-free component based on years of service (the ATO sets an indexed per-year limit). The tax-free amount is separate from the redundancy pay shown here — confirm the current limit and your tax treatment with the ATO or a registered tax agent.
Not legal, tax, or financial advice. NES scales apply to permanent employees of non-small-business employers. Genuine redundancy has a tax-free component — confirm with the ATO. Check the Fair Work Ombudsman for your exact entitlements.

Severance & redundancy in Australia: a complete guide

This guide explains how redundancy pay works under Australia's National Employment Standards, who qualifies, and how the calculator above estimates it.

The NES redundancy scale

In Australia, redundancy pay is governed by the National Employment Standards (NES) under the Fair Work Act 2009 (section 119). The NES sets a scale of redundancy pay based on your continuous service, ranging from 4 weeks (1–2 years of service) up to 16 weeks (9–10 years), then stepping DOWN to 12 weeks at 10+ years because long service leave then applies instead. It is paid at your base rate — ordinary hours at the ordinary rate, excluding overtime, bonuses, and superannuation.

Notice period

On top of redundancy pay, the NES (section 117) provides a notice period: 1 week (under 1 year of service), 2 weeks (1–3 years), 3 weeks (3–5 years), or 4 weeks (5+ years), plus 1 extra week if you are over 45 with 2+ years of service. Notice is separate from and additional to redundancy pay. This calculator shows both, with the combined total.

Exclusions

Three groups are generally NOT entitled to NES redundancy pay: casual employees, employees with under 12 months of service, and employees of a "small business employer" (an employer with fewer than 15 employees). This calculator flags these exclusions based on your inputs. Note that permanent employees may still be entitled to notice even at a small business (except small-business employees with under 12 months of service).

Tax on genuine redundancy

Genuine redundancy payments have a tax-free component based on years of service — the ATO sets an indexed per-year limit, and amounts up to that limit are concessionally treated. The tax-free component is separate from the redundancy pay shown here. Confirm the current limit and your tax treatment with the ATO or a registered tax agent, as the rules differ for genuine redundancy versus other termination payments.

Frequently asked questions

How is redundancy pay calculated in Australia?

Under the National Employment Standards (Fair Work Act s.119), redundancy pay is a scale based on continuous service: 4 weeks (1–2 years), 6 weeks (2–3), 7 weeks (3–4), 8 weeks (4–5), 10 weeks (5–6), 11 weeks (6–7), 13 weeks (7–8), 14 weeks (8–9), 16 weeks (9–10), and 12 weeks at 10+ years (it steps DOWN because long service leave then applies instead). It is paid at your base weekly rate (ordinary hours at the ordinary rate — overtime, bonuses, and super are excluded).

Who is NOT entitled to redundancy pay in Australia?

Three groups are generally excluded from NES redundancy pay: casual employees, employees with under 12 months of service, and employees of a "small business employer" (fewer than 15 employees). This calculator flags these exclusions. Notice of termination may still apply to permanent employees even at a small business.

Is redundancy pay taxed in Australia?

Genuine redundancy payments have a tax-free component based on years of service — the ATO sets an indexed per-year limit, and the tax-free amount is separate from the redundancy pay shown here. The tax-free component is concessionally treated; amounts above the limit are taxed. Confirm the current limit and your tax treatment with the ATO or a registered tax agent.

What notice am I owed on top of redundancy pay?

Under the NES (Fair Work Act s.117), notice of termination is 1 week (under 1 year of service), 2 weeks (1–3 years), 3 weeks (3–5 years), or 4 weeks (5+ years), plus 1 extra week if you are over 45 with 2+ years of service. Notice is separate from and additional to redundancy pay. This calculator shows both.

Is this calculator legal advice?

No. It provides estimates using the NES scales and publicly available 2026-27 rules. Modern awards, enterprise agreements, and individual contracts can change your entitlements. Confirm with the Fair Work Ombudsman or an employment lawyer before relying on this.

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Sources & methodology

An Australia redundancy pay calculator using the National Employment Standards (Fair Work Act s.119) scale of 4–16 weeks based on continuous service, stepping down to 12 weeks at 10+ years, plus the s.117 notice period. It flags the casual, under-12-month, and small-business (under 15 employees) exclusions and shows redundancy pay and notice separately with a combined total.

Last updated: October 2026
Fair Work Ombudsman: Redundancy pay and entitlements