How can I end a payroll relationship?

Enter a Final Close Date for a terminated employee after you've completed all payroll processing including any remaining payments and year-end balance adjustments. The Final Close Date ends the payroll relationship record and discontinues the employee to be included in payroll processes.

Enter the Final Close Date on the assignment of the terminated employee. If the employee has no other active assignments, the Final Close Date that you've entered on the assignment shows up on the payroll relationship record.

Note:

Define a Final Close date to ensure only active employees are considered for processing in the payroll run. Remember to enter a Final Close date for all terminated employees, so that they're excluded from the Calculate Payroll process.

You can also use Autocomplete Rules to default the Final Close date when an employee is terminated. You can derive the Final Close date in 2 different ways:

• As a predefined (static) date valid for all terminated employees across the enterprise. For example, 31-DEC-2024. In this case, the business object for Final Close is PayDate.

• As a derived date (dynamic), based on the employee termination date + x number of days. For example, if Final Close date = Termination date (such as 31-JAN-24) + 90 days, Final Close date = 31-APR-24.