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Redundancy pay estimator

Notice, annual leave, public holidays and compensation scenarios, with a rough tax estimate.

Private. Nothing you enter is saved or sent.

Public holidays that would have fallen in the period covered by paid-out leave are also payable.

Used only to estimate tax on top. Leave blank if unsure; the tax figure will be low.

Daily rate$0.00
Pay in lieu of notice$0.00
Unused leave and public holidays$0.00

No automatic redundancy payment

New Zealand law has no automatic redundancy payment. Compensation exists only if your employment agreement says so, or if you negotiate it. The scenarios below show what different offers could mean. They are illustrations, not an entitlement. Check your agreement and see employment.govt.nz.

Compensation scenarios (weeks of pay per year of service)

Redundancy compensation scenarios with estimated tax
OfferCompensationTotal grossEst. tax and ACCEst. after tax
None$0$0$0$0
1 wk/yr$0$0$0$0
2 wk/yr$0$0$0$0
4 wk/yr$0$0$0$0

Tax is a rough estimate treating these payments as extra income on top of what you earned so far this tax year, using 2025-26 income tax rates (the latest IRD lists; 2026-27 assumed the same) and the 1.75% ACC earners' levy. Student loan repayments, KiwiSaver and secondary-tax codes are not included. Part of a payout can be treated differently by your payroll, and any over-deduction is sorted out by IRD at year end. Not tax advice; ring IRD on 0800 227 773.

Sources: IRD tax rates for individuals, IRD ACC earners' levy rates

General information only. Confirm with the agency for your situation. Spotted something out of date? Email help@unemployed.nz.