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When should I terminate a worker in Zenefits

You should initiate the termination process in Zenefits after you've formally terminated the worker in person according to the company's termination policies. Termination in Zenefits simply updates the worker's status across all of Zenefits and with any third-party entities, such as insurance carriers and Flex Benefits providers.

  • Timely and accurate terminations are extremely important, since many of Zenefits' services and products end (e.g, insurance, FSA, Commuter, payroll) or start (e.g., COBRA) on the worker's last day of employment. Make sure to terminate a worker in Zenefits no later than their actual last day of employment (the effective termination date).
  • If the termination can't be entered on the their last day, above all, make sure to enter the termination in Zenefits within 30 days of the effective termination date. A termination reported later than 30 days can cause complications with the carrier and a worker's COBRA. If a termination is reported more than 30 days outside of the termination, please select a date within the 30 day limit and contact Support to process the termination with the correct date.

Zenefits does not provide advice or guidance on terminating workers (e.g., acceptable grounds for termination) except with regard to beginning or completing Zenefits-specific processes, such as COBRA enrollment. Please consult legal counsel for advice on best practices for compliance when terminating workers.

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