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Transition payrolls

When you change an employee’s pay schedule, there may be a gap between their last day on the old schedule and their first day on the new schedule. A transition payroll lets you pay employees for any workdays that fall during this gap. Click the sticky on your Home page to get started. 

  • Any transition payrolls must be run before your next regular payroll can be processed.
  • Transition payrolls will use the same default settings and tax calculations as your new Regular Payroll schedule.
    • Expect different taxation if you're transitioning from one type of pay period to another (ex. monthly to semimonthly)
  • A transition payroll will automatically pro-rate for actual days worked for salaried employees.
  • You can skip a transition payroll for one or all employees by following the directions here. If needed, you can always process an off-cycle payroll in place of skipped transition payrolls.

Benefits and transition payrolls

  • Gusto benefit deductions will not occur on transition payrolls.
  • External benefit deductions will occur.

Payroll, benefits, HR and more.