Terminate an Employee
Noah Parker25 Jun 2026
Administrators can terminate an employee in Payrun when the employee leaves the organization due to resignation, termination, or other separation reasons. The termination process records the employee's exit details, reviews assigned assets, and removes the employee from active workforce records.
Overview
The employee termination process consists of three stages:
Enter termination details.
Review employee assets.
Confirm and complete the termination.
Once completed, the employee is marked as terminated and removed from the active employee list.
Before You Begin
Ensure that you have the following information before terminating an employee:
Employee separation type.
Effective termination date.
Reason for termination or resignation.
Information regarding assigned company assets.
Procedure
Step 1: Open the Employees Page
From the left navigation menu, click Employees.
The Employees page displays all active employees.
Step 2: Open Employee Actions
Locate the employee card.
Click the More Options (⋯) menu on the employee card.
Step 3: Select Terminate
From the available options, click Terminate.
The Terminate Employee window opens.
Step 4: Enter Termination Details
Provide the required termination information.
Termination Type
Select one of the following options:
Terminated – The employee was terminated by the organization.
Resigned – The employee voluntarily resigned.
Termination Date
Select the effective termination date.
Reason Note
Enter additional information explaining the termination or resignation.
After entering the required information, click Next.
Step 5: Review Assigned Assets
The system displays all company assets assigned to the employee.
The asset list includes:
Asset name
Asset category
Assignment status
Assigned date
Select the assets that should be returned or processed during the employee exit.
After reviewing the assets, click Next.
Step 6: Review the Termination Summary
The summary page displays:
Exit type
Effective date
Reason
Number of assigned assets
Returning assets
Remaining assets
Review all information carefully.
If changes are required, click Back to return to the previous steps.
Step 7: Complete the Termination
Click Terminate.
The system:
Marks the employee as terminated.
Removes the employee from active workforce records.
Records the termination information.
Updates asset records associated with the employee.
Result
After the termination is completed:
The employee no longer appears in the active employee list.
The employee record is marked as terminated.
Termination information is stored in the employee history.
Asset records are updated based on the selected actions.
Validation Rules
A termination type must be selected.
A termination date is required.
Required fields are marked with an asterisk (*).
The termination cannot be completed until all required information is provided.
The final termination action requires confirmation on the summary screen.
Notes
Employees can be terminated as either Terminated or Resigned.
The effective date determines when the employee becomes inactive.
Assigned assets should be reviewed before completing the termination process.
Remaining assets can be resolved separately if necessary.
Terminated employees are removed from active workforce records.
Workflow Summary
Open Employees.
Open the employee actions menu.
Select Terminate.
Enter termination details.
Review assigned assets.
Verify the termination summary.
Click Terminate to complete the process.