do I have to pay tax on redundancy

Hi,

I've been working for an IT firm for 18 months on a permanent contract, salary of 65k, with a few other minor benefits such as vhi, pensions.

I've been offered 10 months gross salary as a redundancy payment, works out at about 54.2k.

I'm 28, no kids, an apartment in negative equity, savings of about 30k.

How do I work out how much of the 54.2k I will actually take home?

if there is a lot of tax to be paid, is their an alternative solution so that I pay less?


thx
K

Hi Kildon, you can get your 1st redundancy payment tax free up to 30,000. After that its taxed...at least this is how it was about 18 months ago. If this has changed, I stand corrected. THe only other way to lower what tax to pay would to accept a lower payment.

Anything here

Don't forget about Top slicing relief to be claimed at the end of the tax year

thanks for the replies