UrbiTools

UK Employment Pay Guides

Plain-English explainers for the calculations behind our tools — with current 2026/27 rates, worked examples and the deadlines that matter.

Start with the guide that matches your situation

Each guide explains the rules behind one of our calculators: who qualifies, the current 2026/27 rates, how the payment is taxed and the deadlines to watch. Every guide links to the official GOV.UK guidance it is based on, and to the matching calculator so you can run your own numbers straight away.

  • Being made redundant? Start with the redundancy guide, then check any notice pay with the PILON guide.
  • Expecting a baby? Read the paternity guide to see why leave and pay have different rules.
  • Leaving a job early? The notice pay guide explains statutory vs contractual notice and why PILON is fully taxable.

Redundancy pay guides

How statutory redundancy pay is worked out, who qualifies, how it is taxed and what your rights are.

Statutory Redundancy Pay Explained (2026/27)How the age-band formula works, who qualifies, the £751 cap, and how redundancy pay is taxed.Is Redundancy Pay Taxed in the UK?Statutory redundancy is tax-free up to £30,000, but notice pay and holiday pay are not.How Redundancy Pay Is Calculated: The Age BandsThe three age bands and the weekly cap, with four worked examples.Can You Be Made Redundant on Maternity or Paternity Leave?The extra protection, priority for suitable vacancies, and what you are still owed.Do I Get Redundancy Pay If I Resign?Usually not — plus the exceptions, including voluntary redundancy.The £30,000 Tax-Free Redundancy Rule ExplainedWhat counts towards the limit, what doesn't, and how the excess is taxed.Redundancy Notice Periods: Your RightsStatutory notice by length of service, time off to job hunt, and trial periods.

Paternity leave & pay guides

The difference between paternity leave and pay, the 2026/27 rates and who is eligible.

Paternity Leave vs Paternity Pay: What's the Difference?Leave is a day-one right since April 2026 — but pay still needs 26 weeks. The distinction most guides get wrong.Statutory Paternity Pay Rates and Eligibility 2026/27£194.32 a week or 90% of earnings, who qualifies, and worked examples.

Notice pay & PILON guides

Statutory vs contractual notice, how payment in lieu of notice works and how it is taxed.

Notice Pay & PILON ExplainedStatutory vs contractual notice, how PILON is calculated and taxed, and how it affects redundancy pay.Notice Pay If You Leave Before Your Notice EndsWho is owed what when notice is cut short, from either side.