Redundancy questions

Gemmzie

Is redundancy taxable? What are the rules about getting another job after it has been paid?

And am I right in thinking that you are entitled to the MINIMUM of what is laid down as Statutory Redundancy (October 2006 legislation)?

poppy_f1

its not taxable and as far as im aware theres no rules about getting another job after its paid as long as you are redundant
i got made redundant a few years back, officially it happened on the friday but i had a new job starting on the monday and there was no problems

TrikerAndBiker

In general you will need to have completed at least 2 years full and continuous service with your employer. The redundancy payment is free of tax however if you are paid in lieu of notice then this part is subject to tax and NI.

You will receive the equvilant of half a weeks pay for each year of service completed to age 22 then one weeks pay for 22-40 and one and a half weeks pay at age 41+ subject to a maximum of 20 years service and a current limit of £310 a week pay

You may want to have a look at the DTI or the ACAS websites for more info

prudryden

Quite often, you can negotiate a better package if they want you to go quitely.

Gemmzie

TrikerAndBiker wrote: »

In general you will need to have completed at least 2 years full and continuous service with your employer. The redundancy payment is free of tax however if you are paid in lieu of notice then this part is subject to tax and NI.

You will receive the equvilant of half a weeks pay for each year of service completed to age 22 then one weeks pay for 22-40 and one and a half weeks pay at age 41+ subject to a maximum of 20 years service and a current limit of £310 a week pay

You may want to have a look at the DTI or the ACAS websites for more info

Thanks, I've worked all that out So they HAVE to give you this by law now?

jobbingmusician

Yes, but I don't understand the 'now' bit - redundancy has been set at statutory rates for quite a few years..........