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prettykittycato
December 17, 2021
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What is the difference between changing an employee's status from "not on payroll" vs "terminated"?

  • December 17, 2021
  • 2 replies
  • 0 views
I have some people that were hired on as temp employees that I might bring back. Is is better to just select not on payroll so their profile is still available if need be? Looking for reasons to use one over the other.
Best answer by MonicaM3

Welcome to the Community @prettykittycato.

 

I hope you’re having a great day.  I’m happy to provide a little more information about the difference in employee statuses.

 

As a general rule, you would use the terminated status for an employee that you’re not expecting to rehire. Not on payroll is a good option for an employee who is on leave or temporary and likely to come back. Having said that, there is no hard and fast rule.

Regardless of which status you choose, the employee's records will still be available and you will be able to change the status back to active at any time.

 

Here’s more information on how to terminate or change an employee’s status on payroll

 

 

If you have any additional questions about employee status or anything else, please feel free to reach out. I’m happy to help anytime.

 

Take Care!

2 replies

MonicaM3
MonicaM3Answer
December 17, 2021

Welcome to the Community @prettykittycato.

 

I hope you’re having a great day.  I’m happy to provide a little more information about the difference in employee statuses.

 

As a general rule, you would use the terminated status for an employee that you’re not expecting to rehire. Not on payroll is a good option for an employee who is on leave or temporary and likely to come back. Having said that, there is no hard and fast rule.

Regardless of which status you choose, the employee's records will still be available and you will be able to change the status back to active at any time.

 

Here’s more information on how to terminate or change an employee’s status on payroll

 

 

If you have any additional questions about employee status or anything else, please feel free to reach out. I’m happy to help anytime.

 

Take Care!

    P
    PSullivan1965
    October 31, 2022

    I have an employed who resigned, last day was Oct 28/22.  When I go into QBO to terminate the employee it won't except the termination date - 10-28-22.  What am I doing wrong?

    T
    TirzahC
    November 18, 2022

    I want to make sure this gets sorted out,PSullivan.

     

    Before we proceed, have you received any error messages changing the status of our employee? 

     

    There are possible reasons why the date won't accept. 

     

    • employees have remaining billable hours 
    • Pending transactions that might involve after the date you terminate.
    •  Paycheck and final paycheck on the last day of the termination date.

     

    There are times that our browser stores frequently accessed data, thus causing websites to act weirdly just like having trouble changing the employee's status as terminated. To fix this, let's perform some troubleshooting steps.

     

    First, let's try logging in to our QBO account using a private or a different browser. Here are the following keyboard shortcuts: 

     

    • Google Chrome: Ctrl + Shift + N.
    • Microsoft Edge: Ctrl + Shift + P.
    • Firefox: Ctrl + Shift + P.
    • Safari: Command + Shift + N.

     

    Once done, we can go back to see if you are able to change your employee's status

     

    If this works, it means that we need to clear the browser's cache so the system can start fresh. 

     

    In addition to that, let me attach this link to help change your employees' status: Terminate or change your employee's status on the payroll.

     

    We also offer several payroll reports that you can pull up to access your business and employee status. To view them, please visit our payroll reports page.

     

    If we need further assistance with payroll tasks or managing your employee's status. Don't hesitate to get back on this thread. We're always here to help you.

    D
    dynamicdatagroup
    April 26, 2024

    @SarahCO SaraCO,
    I think your thoughts are 100% justified, the options are jarring and are very-much legally-formulated. So far everything I've read on this thread I would agree with (if I like it or not) after hearing out my own advisors. 
    Everything you see below for status options is mostly formal and for a reporting and  an HR perspective to CYA. 

    • Active - (actively paid employee)
    • Paid leave of absence - (Employee is on leave, still being paid)
    • Unpaid leave of absence - (Employee is on leave, no pay)
    • Terminated - (Employment has ended)
    • Not on payroll - (Employees   "on leave or temporary and likely to come back")
    • Deceased - (Employment has ended - Deceased)


      Background; I found this thread because I searched "employee quit - how do I update status in QBO"
      @SarahCO you're not alone. 



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