NSW Public Service Redundancy Calculator

Estimate a NSW public service voluntary or forced redundancy under M2025-11, with the incentive, notice pay and tax-free amount.

Last verified: 26 September 2026

NSW public service voluntary redundancy pays 3 weeks per year of service (maximum 39 weeks, pro-rated by quarter), an incentive of up to 8 weeks' pay and 4 weeks' notice (5 if 45+ with 5+ years), under M2025-11 section 6.2.1.

Voluntary or forced redundancy?

Voluntary redundancy (VR)

You accept the VR offer within 10 business days

Forced redundancy

You declined VR and were not placed in the 20-day retention period

Completed years of service*

years

Continuous NSW public sector service not already paid out in an earlier redundancy.

Plus completed months

months

Full-time annual salary*

Full-time salary for your role. Your current hours are applied below.

Current hours as a fraction of full time

1 = full time. 0.6 = three days a week.

Your age when employment ends*

years

Will your notice period be paid out?

Yes, paid in lieu

Notice pay is added to the lump sum

No, I will work it

Notice is paid as normal salary

Will you be 60 or older on 30 June this financial year?

No, under 60

Yes, 60 or older

Sets the tax rate on any amount above the tax-free limit: 17% at 60 or older, 32% under 60 (both include the Medicare levy).

M2025-11 redundancy payments

M2025-11 applies to ongoing, non-executive government sector employees. It does not cover casual or temporary employees, senior executives or statutory office holders.

Continuous service	VR incentive	Forced: under 45	Forced: 45 or over
Less than 1 year	2 weeks	Nil	Nil
1 to under 2 years	4 weeks	4 weeks	5 weeks
2 to under 3 years	6 weeks	7 weeks	8.75 weeks
3 to under 4 years	8 weeks	10 weeks	12.5 weeks
4 to under 5 years	8 weeks	12 weeks	15 weeks
5 to under 6 years	8 weeks	14 weeks	17.5 weeks
6 years or more	8 weeks	16 weeks	20 weeks

Voluntary redundancy adds 3 weeks per year of service (maximum 39) to the incentive, plus notice. Forced redundancy adds an extra 4 weeks (under 45) or 5 weeks (45 or over) to the table figure. Example: voluntary redundancy after 10 years at $94,900 a year ($1,820 a week): 30 weeks $54,600 + incentive 8 weeks $14,560 + notice 4 weeks $7,280 = $76,440, all within the $81,608 tax-free limit.

NSW public servants are in the NSW state industrial relations system, so the Fair Work Act's NES redundancy scale does not legally apply. The calculator shows it for reference only.

Sources: Premier's Memorandum M2025-11 NSW Government Workforce Mobility Placement and Employee Transition Policy (arp.nsw.gov.au, issued 9 December 2025, updated 13 January 2026), policy sections 3.2.1, 6.2 and 6.4; ATO "Genuine redundancy payments" (updated 5 June 2026). Read 26 September 2026.

Frequently asked questions

How is NSW public service voluntary redundancy calculated?

Under Premier's Memorandum M2025-11 (issued 9 December 2025), voluntary redundancy pays 4 weeks' notice or pay in lieu (plus 1 week if you are 45 or over with 5 or more completed years), 3 weeks' pay per year of continuous service up to 39 weeks with incomplete years pro-rated by quarter, and an incentive of 2, 4, 6 or 8 weeks' pay depending on service (policy section 6.2.1).

Has M2011-11 been replaced?

Yes. M2025-11 NSW Government Workforce Mobility Placement and Employee Transition Policy (issued 9 December 2025) replaced M2011-11 Changes to the Management of Excess Employees and M2023-06. Under M2025-11 you go through a placement period of up to 40 business days before you can be declared excess, then have 10 business days to accept voluntary redundancy; if you decline, a 20-business-day retention period follows.

What do I get if I decline voluntary redundancy and am made forcibly redundant?

Forced redundancy pays a scale by service and age: 4 to 16 weeks if under 45, or 5 to 20 weeks if 45 or over, plus an additional 4 weeks (under 45) or 5 weeks (45 or over) (M2025-11 policy section 6.4.4). For most people with more than a few years' service this is well below the voluntary offer.

What is the maximum NSW public service redundancy payout?

39 weeks' redundancy pay (reached at 13 years) plus the 8-week incentive and 4 or 5 weeks' notice — up to 52 weeks' pay in total, before accrued leave.

Can I be re-employed in NSW government after a redundancy?

Not within the period your redundancy payment covers unless you repay the matching part of the redundancy and incentive payments. Notice pay is not repayable. This applies to employment, contracting and consulting (M2025-11 policy s3.2.1 and s6.2.4; GSE Regulation clause 24).

Is NSW public service redundancy tax-free?

For 2026-27 the first $13,598 plus $6,801 per completed year of service of a genuine redundancy payment is tax-free, including pay in lieu of notice and the incentive. The rest is taxed at 32% under 60 or 17% at 60 or older, including the Medicare levy.

Other public service redundancy calculators

APS (Commonwealth)VPS (Victoria)Queensland public service Private sector (NES)

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General information and estimates only — not legal, financial or tax advice. Always check your specific award, agreement or contract, or a qualified professional, before you rely on the result.