Run an off-cycle termination payroll
In order to pay a terminated worker's final check in Zenefits Payroll sooner than their next regular pay date, follow these instructions to run an off-cycle termination payroll.
Remember that states have varying regulations on when and how to provide an employee with their last paycheck. For example, some states (e.g., CA) require you to provide employees with a paper check on their last day.
- Open the Payroll app and select Pay Runs in the top menu bar.
- Click Add Off-Cycle Payroll.
- Give the run a clearly descriptive name, e.g., Last Paycheck for Julius Augustus Caesar.
- Customize and choose the worker(s) that will be included in the off cycle.
- Give the run a pay date. Please note this is contingent on the company's processing period (2- or 4-day) for direct deposit.
*If you need a same day check date, you must first change the payment method for the employee to Check, then change the check date within the payroll run. Make sure this date is compliant with the state laws where the employee works (see this list).
- Select from the following settings:
- To Include Regular Deductions and Contributions, although you may not want to include these since deductions and contributions are calculated on the regular pay schedule
- For Withholding Rate, choose Time-Based Tax Withholding Rate, and select the normal pay frequency.
- For Show Pay Period on Stubs, enter the first day of the pay period, and the termination date. This step is optional.
- Click Create.
- From the list of people, check the box for their name.
- Click Edit.
- If necessary, change the payment method.
- Then, click +Add New Earnings, and choose "Regular Earnings" to enter the final earnings.
- If you're terminating an hourly worker, just enter their hours. Here are some tips on calculating final earnings for salaried workers.
- Don't forget to add unused time off, severance, and any other final compensation as necessary.
- Once you've added all the earnings, and the run looks right, Submit. If you need to print the final check, here's how.
Termination payrolls do not trigger notifications to the terminated individual(s). As with normal terminations in Zenefits, people will not receive any emails about their own termination.
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