Annual Leave Payout Tax Calculator
Leaving a job with unused annual leave? See gross payout (with 17.5% loading), tax taken, and net take-home. Includes the concessional 32% redundancy rate vs marginal-rate for resignation.
Last verified: 16 May 2026ANNUAL LEAVE PAYOUT — TAX TREATMENT
When you leave a job, your unused annual leave is paid out as a lump sum. How it's taxed depends on WHY you're leaving. Resignation/dismissal = marginal rate. Genuine redundancy = concessional 32% rate (often a much better outcome).
Your AL payout tax breakdown
Tax treatment
Resignation / standard termination — AL payout added to your taxable income and taxed at your marginal rate. Often pushes you into a higher bracket for that financial year.
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General information and estimates only — not legal, financial, or tax advice. Always verify with the Fair Work Ombudsman (13 13 94) or a qualified professional.