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Run a termination payroll

After you have dismissed your employee in Gusto, you may be prompted to process a termination payroll to pay out their final wages. Termination payrolls can only be issued by check.

  1. Navigate to the Run Payroll tab.
  2. Next to Special Payroll, select the termination payroll.
  3. Click Run Payroll.
  4. View the prorated payment, and enter any amounts for a bonus, severance, reimbursements or other additional earnings.
  5. Click Add Personal Note to include a message on the employee's paystub.
  6. Click Save & Continue.
  7. On the Vacation & Sick Days screen, any remaining vacation hours are automatically pre-filled for payout. If you wish to also pay out any remaining sick hours, add this amount here.
  8. Click Submit Payroll.
  9. Write the final amount on a check and hand it to your employee.

Your employee will see this paystub in their Gusto account one day after their dismissal date.