Cease a Payee

• A final payment is not required.
• A final payment is required.
  • FREEPAY Plan
  • Paid Plan

A final payment is not required.

👉 If a final payment is not required; 

1. Select Payees.
2. Locate the Payee you require by manually scrolling through the Payee List, entering the name into Search or using Show Advanced Filters.
3. Once the Payee has been located, select Actions > Edit.
4. Select Employment and Payment.
5. Navigate to Employment.
6. Enter or change the Cessation Date and Cessation Reason as required.
7. Select Save.
8. Once completed, you can send an Update Event to notify the ATO.

A final payment is required.

👉 If a final payment is required, and you use the FREEPAY Plan,

1. Select Payees.
2. Locate the Payee you require by manually scrolling through the Payee List, entering the name into Search or using Show Advanced Filters.
3. Once the Payee has been located, select Actions > Edit.
4. Select Employment and Payment.
5. Navigate to Employment.
6. Enter or change the Cessation Date and Cessation Reason as required.
7. Select Save.
8. Complete the Pay Run Procedure. 
   1. When processing STEP 2 of the Pay Run Procedure, the Ceased Payee is included by selecting Show Advanced Filters and then selecting Ceased in Employment Basis. 
   2. The Payee Ceased Alert (Modal) is displayed. Select Yes to include the Payee.
   3. When processing STEP 3 of the Pay Run Procedure, choose the appropriate pay rate in Termination based on the Cessation Reason selected.

👉 If a final payment is required, and you use a PAID Plan,

1. Complete the Pay Run Procedure.
   1. When processing STEP 3 of the Pay Run Procedure, select Cease Employment.
   2. When the Cessation Details Alert (Modal) is displayed, select the Cessation Date and Cessation Reason, then select OK.
      1. Next, choose the appropriate pay rate in Termination based on the Cessation Reason selected.

Cessation Reasons Explained.

1. Voluntary cessation – an employee resignation, retirement, domestic or pressing necessity or abandonment of employment.
2. Ill health – an employee resignation due to medical condition that prevents the continuation of employment, such as for illness, ill health, medical unfitness or total permanent disability.
3. Deceased – the death of an employee.
4. Redundancy – an employer-initiated termination of employment due to a genuine bona-fide redundancy or approved early retirement scheme, or a non-genuine redundancy.
5. Dismissal – an employer-initiated termination of employment due to dismissal, inability to perform the required work, misconduct or inefficiency.
6. Contract cessation – the natural conclusion of a limited employment relationship due to contract/engagement duration or task completion, seasonal work completion, or to cease casuals that are no longer required.
7. Transfer – the administrative arrangements performed to transfer employees across payroll systems, move them temporarily to another employer (machinery of government for public servants), transfer of business, move them to outsourcing arrangements or other such technical activities.