I’ve just been made redundant

[frane81]

@davidhussy You have hit the jackpot! Well done. Some of us can only dream!

 

[john1976]

@davidhussy There's redundancy calculators online, plug in your numbers. It calculates the tax free threshold based on your years of service as well A/L etc.

 

[danddolo]

@davidhussy I’m pretty sure you are allowed a paid day off a week to look for other jobs in between the time you receive news of the redundancy and your last day, worth looking into.

Most likely won’t get long service, but ask payroll.

 

[dobrotolubiye]

@danddolo Any source on this? Would be much appreciated

 

[yytz6]

@davidhussy All this information is on the ato website, I suggest you have a look. I was made redundant last year and it took me all of 10min to understand what I was entitled to.

 

[davidhussy]

@yytz6 I did check and came to a similar result as some replies here.

These questions were keeping me up last night so I thought I would post here

 

[three4rd]

@davidhussy Every time I've tried to calculate my redundancy I've always been way off even after googling and looking at the online calculators. Ask payroll for your payout calculations. Might take a while if there is a few of you. Sorry this has happened to you and I hope a new role soon!

 

[somethingon]

@three4rd Interesting. Wth mine, just one admittedly, my calculation for after tax ( there was also LSL and AL) matched what I got from employer within a few dollars. I just followed the ATO rules. If it had been different then I'd have been on to payroll like a shot.

 

[cathy1964]

@davidhussy U dont pay tax on the redundancy payout. Not sure abt long service leave. Probably not. Why is the final working day n termination date different?r u taking annual leave?

 

[davidhussy]

@cathy1964 Pretty sure I may have to pay tax on everything except the 6 weeks statutory redundancy pay.

I’m unsure re- why the final day is different, those are the terms they offered me.

 

[cathy1964]

@davidhussy Yah thts wht i said. U dont pay tax on the redundancy payout

 

[davidhussy]

@cathy1964 Hoping that also includes the 11 weeks on top of the standard. If that’s the case I’ll be out the door with a smile on my face

 

[cathy1964]

@davidhussy I doubt tht would b the case. But depending on how long it takes u to find a new job, this FY taxable income could be significantly low for u and might get a good tax return

 

[thommu]

@davidhussy One MILLION dollars!

 

[kobedelite]

@thommu Maybe in Indonesia

 

[laromendis]

@davidhussy Lucky payout size

 

[pin]

@davidhussy Also need to factor in if you have a HECS debt?

 

[jesusinme91]

@davidhussy I cannot be bothered working out the tax but it will be the tax you’d normally pay times the number of weeks they’re paying out.

You haven’t been there long enough to get LSL.

I think your redundancy pay is the 6 weeks between your final working day and your termination date so yes, you’re being paid for this time.

 

[vwilson37]

@jesusinme91 Wrong. Redundancy pay is tax free (up to a certain point). Also you are confusing redundancy pay with notice. Both of which OP will be entitled to.

 

[coachlittlez23]

@davidhussy Your age may impact tax rates on time in lieu of notice or redundancy too. Ie if you've reached preservation age ie it's around 60+, you'll pay as little as 17% tax.

Most of your redundancy is tax free as it is. Due to the ATO rules and annual caps

Annual leave payout will be at your marginal rates usually