Redundancy Payments. This post is part of a series of articles relating to Redundancy and Tax issues. For the full list of articles, see the list at the foot of this article.
In particular, check to see if you are eligible for redundancy payments. If so, you will be due a Statutory redundancy Payment.
Statutory Redundancy Payments
In the event of Redundancy there are statutory minimum redundancy payments that the employer must pay to the employee. These minimum amounts are governed by the length of service and the gross weekly Pay of the employee as follows:
- Two weeks Pay per year of employment (Length of Service)
- One further week’s Pay
- Subject to a maximum Pay of €600 per week
- Any period over 52 consecutive weeks where you were off work due to an injury at work
- Any period over 26 consecutive weeks where you were off work due to illness
- Any period on strike
- Any period of lay off from work
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More About Redundancy
- Redundancy EligibilityOther Tax-exempt Redundancy payments (basic exemption, increased exemption, SCSB)Top-slicing Relief
- Click the links above to find out more about the different areas of redundancy and taxable events.
Contact us
If you need to contact us for a redundancy consultation, you can use our contact form or email refunds@redoaktaxrefunds.ie
The gross weekly Pay is calculated as: your basic wage, before tax and deductions, inclusive of the average amount of any other benefits such as overtime received.
The Length of Service excludes the following absences from work which occurred in the preceding 3 years:
To calculate the Statutory Redundancy Payment, the DETE offer an excellent calculator at:
http://www.entemp.ie/employment/redundancy/calculator.htm
Statutory Redundancy Payments are tax free. You do not need to declare them or include them in any tax returns or Income Tax calculations.
Redundancy in bite-size pieces
Other articles in this series are:
[...] Statutory Redundancy [...]
[...] permitted. Hyperlinks and/or URLs must remain both human clickable and search engine spiderable.Tim knew the economy was going down, but had never considered his job security. That's why he was so…was among those out of work until further notice. But unlike his laid off peers, Tim had purchased [...]