Wrongful Termination Payout Calculator

Work out wrongful termination payout instantly with clear inputs, formula shown and shareable results.

About Wrongful Termination Payout Calculator

An unfair or wrongful dismissal award usually has three components: pay in lieu of unserved notice, a basic award geared to length of service, and a compensatory award for financial loss flowing from the dismissal, which most systems cap by reference to annual pay.

Formulas

Notice element

Notice pay = Monthly salary x Unserved notice months

Basic award

Basic award = Half a month's pay per year of service (capped at 20 years)

Total

Total = Notice pay + Basic award + Compensatory award

Worked example

With the default values below, Wrongful Termination Payout Calculator returns Indicative total payout of $1,140,000.00. Change any input above and every figure here is recalculated in your browser.

Inputs used

Monthly gross salary: 95,000
Notice months not given: 3
Years of service: 6
Compensatory award (months of pay): 6

Results

Indicative total payout: $1,140,000.00
Pay in lieu of notice: $285,000.00
Service-based (basic) award: $285,000.00
Compensatory award: $570,000.00

Step by step

1Values used
2Notice element
3Basic award
4Total
5Indicative total payout= 1,140,000.00
6Pay in lieu of notice= 285,000.00
7Service-based (basic) award= 285,000.00
8Compensatory award= 570,000.00

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, fees or charges or compounding frequency 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.
Indicative estimate only. Fees, entitlements, limits and formulas vary by jurisdiction, statute, policy wording and the facts of the case. This is not legal, tax, insurance or financial advice — confirm with a qualified professional or the relevant authority.

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

Indicative estimate only. Fees, entitlements, limits and formulas vary by jurisdiction, statute, policy wording and the facts of the case. This is not legal, tax, insurance or financial advice — confirm with a qualified professional or the relevant authority.

Frequently Asked Questions

Is the compensatory award capped?

In most jurisdictions yes, commonly at a set number of weeks' pay or a statutory maximum, with discrimination claims often uncapped.

Does the employee have to mitigate?

Yes. Compensation is reduced by earnings from new employment and by any failure to look for work.