Termination Pay Calculator Australia (2026–27)
Calculate tax-free ETP redundancy limits and total employment termination payouts under ATO rules.
1. Termination & ATO ETP Parameters
$22,500
Combined severance, unused leave, and termination payouts.
ATO Tax-Free ETP Limit
$43,844 Limit
Tax-Free Severance Portion: $18,000
Taxable ETP Portion: $0
ATO Employment Termination Payments (ETP)
Genuine redundancy payments receive concessional tax-free threshold treatment under Australian tax law based on continuous years of service.
Disclaimer: This calculator is provided for general informational, educational, and ETP tax threshold estimation purposes only.
Charlotte Smith
Senior Personal Finance & Taxation Specialist at AussieSpot
Charlotte Smith is the lead personal finance advisor and workplace specialist at AussieSpot. Charlotte has over 12 years of experience helping Australian employees and employers understand Fair Work regulations, leave entitlements, and redundancy laws.
Frequently Asked Questions (FAQ)
What is the ATO genuine redundancy tax-free limit for 2026–27?
The ATO genuine redundancy tax-free base limit is $12,524 plus $6,264 for each completed year of continuous service.