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Process redundancy and testimonial payments

Process redundancy and testimonial payments.

Debs avatar
Written by Debs
Updated over 5 months ago

In this article, we explain how to add a redundancy or testimonial payment.

Add a redundancy payment

When an employee leaves, they may be entitled to a redundancy payment. These are usually free of tax and national insurance (NI) up to the value of £30,000. Any amount over is taxable and subject to employer’s national insurance.

  1. Click Payroll then click Current period.

  2. Click Add then select Redundancy payment.

  3. Enter the payment amount.

Add a testimonial payment

Testimonial payments up to £100,000 are non-taxable. Any amount over is taxable and subject to employer’s national insurance.

  1. Click Payroll then click Current period.

  2. Click Add then select Testimonial payment.

  3. Enter the payment amount.

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