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Intuit
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Terminating an Employee

There are two ways you can terminate an employee.

  1. Within Employee Details: Follow this process if a termination pay is not required.  
  2. Within a pay run: Follow this process if a termination pay is required

Note: If there are any unfinalised pay run for the employee, you will not be able to terminate until those pay runs have been finalised. 

Terminating an Employee within Employee Details

  1. Select Employees from the left-hand menu 
  2. Select the employee you wish to terminate
  3. Scroll to the bottom and select Terminate Employee 
  4. Enter the Terminate Date and then select Terminate 

Note: Terminating an employee will mark them as inactive and you will no longer be able to process pay runs for them.

Terminating an employee via the pay run

  1. Select Employees from the left-hand menu 
  2. Select New Pay Run 
  3. Enter in the relevant fields, then select Create 
  4. Select the employee you wish to terminate 
  5. Select the Actions button then select Terminate Employee 
  6. Enter the employee's Termination Date and then select Save

Note: The employee's record will turn pink and will display calculated earnings and any accrued leave to be paid out as part of the termination pay.

Additional information regarding termination pay. 

  • Any leave category set up to be paid out on termination will automatically be calculated as part of the termination pay. If you do not wish for this to occur, deselect the Pay out option.  
  • Select the Apply x% loading checkbox to apply any leave loading associated with a leave category (eg annual leave loading).   
  • If you want to pay out a balance for an associated leave category that does not have the Pay out option automatically selected, you will need to manually select this option. 
  • Any leave categories setup to not accrue automatically will not appear in this section.
  • If the employee is set up to be paid default standard hours each pay and is terminated mid-pay period, the employee's hours will automatically be re-calculated on a pro-rata basis. We strongly suggest you double-check these hours to ensure they are correct.
  • Once you have finalised the pay run, this employee will no longer be active or eligible to be included in future pay runs and the employee line will be highlighted red. 

Note: If there are any unfinalised pay run for the employee, you will not be able to terminate until those pay runs have been finalised. 

Cancelling a Termination

  1. Select Employees from the left-hand menu 
  2. Select the employee you wish to cancel a termination for
  3. Scroll to the bottom and select Re-Activate Employee 
  4. Select Activate

Termination Pays & PAYG

As of 1 July 2019, amounts withheld for study and training loans (this includes HELP/SSL/TSL and Student Financial Supplement Scheme) will be amalgamated into just one amount to be withheld. This amount will be calculated using the new Study and Training Support Loans tax tables. 

See here for further information from the ATO for unused leave payments upon termination of employment. 

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