Notice pay calculator (UK)
Statutory minimum notice from length of service, what the contract adds, and what paying in lieu (PILON) costs. After the dates instead? The notice period calculator works out the exact last day.
The notice
Statutory minimum notice FROM the employer: 1 week after a month's service, then 1 week per full year from 2 years, capped at 12 weeks. The contract can require more, never less. Notice pay - worked or in lieu - is taxable earnings.
Statutory minimum notice from an employer is one week after a month's service, rising to one week per full year from two years, capped at twelve weeks (gov.uk). Contracts often set more; whichever is longer applies. Employees owe at least one week's notice after a month - their statutory side never rises.
How much notice does an employer have to give?
| Service | Minimum notice |
|---|---|
| 1 month - 2 years | 1 week |
| 2 - 12 years | 1 week per full year |
| 12+ years | 12 weeks (the cap) |
Working notice vs PILON vs garden leave
- Worked notice - normal pay for normal work; costs nothing extra.
- PILON (payment in lieu of notice) - employment ends now, notice paid as a lump sum. Taxable in full. Cleanest exit; needs a PILON clause to avoid technical breach.
- Garden leave - employed and paid through notice but told to stay home; useful when access or competition is sensitive. Same cost as worked notice.
What counts as a week's pay?
Normal gross weekly pay - and unlike statutory redundancy, it is not capped at £751. Variable-pay staff use a 12-week average. During statutory notice most absence (sickness, leave) must be paid at full rate. Costing a whole exit? The redundancy cost calculator combines notice, statutory redundancy and holiday payout; the underlying figures are on the statutory rates table.
Frequently asked questions
How much notice does an employer have to give in the UK?
The statutory minimum is 1 week after one month's service, then 1 week per full year of service from 2 years, capped at 12 weeks. The employment contract can set longer notice, and the longer period applies.
Is PILON taxable?
Yes. Payment in lieu of notice is treated as normal earnings and taxed with NI in full - unlike statutory redundancy pay, which is tax-free up to £30,000.
Is notice pay capped like redundancy pay?
No. Notice is paid at the employee's real gross pay with no £751 weekly cap - that cap only applies to statutory redundancy pay.
What is garden leave?
The employee remains employed and paid through their notice period but is told not to work. It costs the same as worked notice and is used when access to systems, clients or competitors is sensitive.
This calculator applies the statutory rules as published and shows its working, but it cannot know your contracts, your policies or anything unusual about the case. Treat the figure as a starting point, and take advice on anything contested or expensive.
Service dates you never have to look up
CoDash tracks start dates, notice periods and leave balances per person - so the day you need these numbers, they're already right.