Tax on pay off / redundancy

[beekeeper]

I've searched on this topic, but would appreciate more specific advice.

I'm in the process of being either paid off or made redundant from a large irish organisation. What would anyone suggest, would be the most tax efficient way of receiving this payment, given the choice? Please note that the sum involved would be split between payments in lieu of shares accumulated and 1 years loss of earnings. Between 4 and 5 years service.

 

[damomac]

It's hard to say exactly is best for you as there are many factors to consider such as salary, years of service, pension, etc etc. I know as I was made redundant in the past.

It's probably best to speak to an independant advisor with all the details.

 

[nmh001]

have a look at [broken link removed] if you have not done so already. its pretty detailed and has sample calculations, so you should be able to make a good estimate of what you'll be entitled to tax-free. the rest will be put through payroll and paye applied in your final payslip. try to agree with your employer well ahead of time that they are going to maximise your tax-free amount (usually the scsb formula). don't forget to file a return to avail of top-slicing relief if it applies to you.

if the amounts are anyway large you should consider professional advice.

 

[beekeeper]

Thanks very much for al advice.. As the sums wil be lare cn anybody recomend a professional i can speak to for advise re tax implications ans pension options. Thanks again.