To take voluntary redundancy @ £115k

[anon5mill]

Around £80k after tax. Or should I stay in current role with package of £140-150k + pension, healthcare. Current role is comfortable and suits lifestyle. Could be difficult to find another role with the same flexibility and money. Have niggling doubt about taking the redundancy. Have dependents, already own home, no debts. Likely to be made redundant within next 18 months if not now.

What's the forced redundancy deal?

Will you get a worse deal if you get made redundant in 18 months?

I have never paid tax on redundancy money, are you sure it's taxable?

It is likely to be the same but always risk that the company change their thinking...the risk is giving me most doubt but also whether I should take the jump at a change.

My personal opinion having gone through a recent redundancy is that whilst it's "easier" to find another role with a good package, it's even harder to find one that also allows a good work-life balance.

I'd stick with the current role for another 18M, assuming you'll still be offered your redundancy package then?

So once tax is taken out of the settlement that works out at about 1 years net pay.

Do you think that realistically you'd find a position within a year?

What would be the difference between this redundancy package and what you would get in a statutory redundancy 18 months from now?

When you say that redundancy is likely in 18 months, would that actually be a restructure situation with the potential for retaining a position and possibly a better position within the same company?

I’d hang on

Redundancy isn't taxed

If you wait for redundancy is it likely that there will be lots of others with similar skills as you looking for a new job?

Do you enjoy your job?

Is anything happening either now or 18 months from now that means that it is a good / bad time for you to have some time off work?

What do you do? I know NHS staff on that salary get hired back into the NHS immediately as consultants and often on higher pay. So I say take the redundancy if that’s an option

Redundancy is tax free only up to £30k I think.

The first 30k isn't taxed

Yes it is, only the first 30k is tax free.

Yes 1 years net pay. I have no doubt I would find another role within that time but may be up to 40% less package (maybe that is just self doubt). Unlikely to be given a higher level position in a restructure. Redundancy is 18 months likely due to continued declines in part of company.

If they do an enhanced redundancy package then parts of it can be. The statutory element isn't:

<span class="italic">&bull;	</span><span class="italic">half a week&rsquo;s pay for each full year you were under 22</span>

• one week’s pay for each full year you were 22 or older, but under 41
• one and half week’s pay for each full year you were 41 or older
^Length of service is capped at 20 years.
Your weekly pay is the average you earned per week over the 12 weeks before the day you got your redundancy notice.^
If you were paid less than usual because you were ‘on furlough’ because of coronavirus, your statutory redundancy pay is based on what you would have earned normally.
If you were made redundant on or after 6 April 2023, your weekly pay is capped at £643 and the maximum statutory redundancy pay you can get is £19,290. If you were made redundant before 6 April 2023, these amounts will be lower.

If they're offering PILON or full pay instead of capped then those bits are taxable

In pretty sure it is at that level

For me it would depend on how likely I thought I'd be able to get another job I. A reasonable timeframe

I'd say hang on and use the next 18 months to work on your network, CV, interview skills, to put you in the best possible position for securing a great role and package after this one.

I have reached peak disappointment in myself. I earn 20k. MN makes me feel like such a fucking failure all the time.

I'd hang on. Gives you more time to think about what's next.

Thanks for all of the comments, it's really helpful.

It's tech sector so lots of jobs but somewhat limited at this level. I don't overly enjoy the job anymore which initially made me happy with the option but I think it might be foolish to leave on that basis alone.

Hang on, even if they reduce the redundancy you'll have earned that money. Meanwhile start looking at new jobs

@F0RBIDDEN same

I have reached peak disappointment in myself. I earn 20k. MN makes me feel like such a fucking failure all the time

Sorry you feel like this but it has nothing to do with the question - start your own post

Over 30k is taxable

Thank god for the thread police.