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Processing leavers

Created on  | Last modified on 

Summary

How to process employees who are leaving in Sage Payroll.

Description

When an employee leaves your company, you must notify HMRC and provide them with a P45. You must also ensure that they’re excluded from any future payroll processing. To do this, you need to make them a leaver.

If you pay your employee in arrears, enter their leave date after you process their payment. This ensures they appear on your pay run for their final payment.

 NOTE: If the leaver was in your workplace pension scheme, contact the pension provider. Inform them the employee has left. 

Resolution

Make an employee a leaver

▼Make more than one employees leavers
  1. Select Employees from the menu bar.
  2. Select Bulk actions.
  3. Select the relevant employees in the Select Item column.
  4. Select Add finish date.
  5. Enter the Finish date for all your chosen employees.
  6. Select Save.

You can now process the employee’s final pay and get their P45. Once you run the next payroll, you can't reinstate your leavers.

 CAUTION: Ensure your leaver is present in the payment run. If they’re missing, their leave date falls before the current pay run tax period. See section 'The leaver's finish date falls before their last payment run'. 

Generate a P45

You must give the leaver their P45 after you’ve processed their final pay in this employment.

▼Generate a P45
  1. Select Employees from the menu bar.
  2. If you can see the employee in the list, go to step 5.
  3. Select the Filter button.
  4. Tick the Include employees who have left checkbox and select Apply.
  5. Select the employee, then select the Print P45 button at the top right of the page.

 TIP: You can print the P45 or save it from your browser options. 

Frequently asked questions

For a list of questions and scenarios relating to making an employee a leaver, read our Processing leavers FAQs.

Related Solutions

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Why is a leaver still showing?

Exporting P45