Terminating an Employee in isolved

Terminating an employee needs to be done AFTER the employee receives their last pay. 

It is best practice to terminate an employee in the system. You can always rehire or undo the termination. The employee information does NOT get purged out of the system.

Inactive is mainly for seasonal employees where the employer needs to track who is seasonal (ACA reporting treats Inactive as Active in calculating the FTE so best to Terminate if you are near ACA threshold).

• Keeping your employee list accurate will:
• Prevent accidently paying an employee no longer working
• Keep employee reports accurate based on actual active employees (important for ACA reporting)
• Minimize any additional payroll fees

Under EE MGT > EE MAINT > GENERAL > click TERMINATE (on the Black action bar) and a new screen will appear that defaults to deleting future absences,
including PTO. You also have the option to stop their Direct Deposit and 401K.

If PTO is requested and tracked in the system, be sure to check off to DELETE FUTURE ABSENCES (PTO requests) on the calendar as they will flow into payroll if left unchecked even if the employee is terminated. This is part of the termination process.

Always run the Termination Report to view all deductions, accruals, approved future absences, and company assets assigned to this employee.

Need more help? Watch this tutorial video for a step by step guide!