Notice And Lock In Penalty Calculator

Work out notice and lock in penalty instantly with clear inputs, formula shown and shareable results.

About Notice And Lock In Penalty Calculator

Early exit liability is the greater of two amounts: rent for the unserved part of the notice period, and rent for the remaining lock-in. They are alternatives rather than cumulative in most leases, because the lock-in already compensates the landlord for the void it creates.

Formula

Exit liability

Months payable = max(notice period - notice served, lock-in months remaining); amount = months x rent

Worked example

With the default values below, Notice And Lock In Penalty Calculator returns Amount payable on early exit of $400,000.00. Change any input above and every figure here is recalculated in your browser.

Inputs used

Monthly rentminimum 0: 80,000
Notice periodminimum 0 months: 3 months
Lock-in months remainingminimum 0 months: 5 months
Notice actually servedminimum 0 months: 1 months

Results

Amount payable on early exit: $400,000.00
Months payable: 5.0 months
Charge for short notice: $160,000.00
Charge for remaining lock-in: $400,000.00

Step by step

1Values used
2Exit liability
3Amount payable on early exit= 400,000.00
4Months payable= 5.0 months
5Charge for short notice= 160,000.00
6Charge for remaining lock-in= 400,000.00

Assumptions and limits

The result is derived only from the 4 inputs listed above. Anything not among them is not part of the calculation.
In particular, this calculator does not take inflation, tax or fees or charges into account.
Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
Preliminary estimate only. Exit liability depends on the specific lease wording; obtain legal advice before serving notice.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

Preliminary estimate only. Exit liability depends on the specific lease wording; obtain legal advice before serving notice.

Frequently Asked Questions

How is the Notice And Lock In Penalty figure worked out?

Months payable = max(notice period - notice served, lock-in months remaining); amount = months x rent. Early exit liability is the greater of two amounts: rent for the unserved part of the notice period, and rent for the remaining lock-in.

Can the deposit be set off against this?

Usually yes, but the lease governs. Landlords often insist on payment in cash and return the deposit separately after dilapidations are settled.

What values do I need to enter?

This calculator takes 4 inputs: Monthly rent, Notice period, Lock-in months remaining, Notice actually served. The pre-filled defaults are a realistic worked example — replace them with your own site or project figures.