Employee status: Understand offboarding and leave (
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When an employee quits or is terminated, or when they go on short- or long-term leave, you’ll need to indicate that in Wave. Doing so keeps your business compliant, and ensures you’re only being charged to run payroll for employees who are currently working.
As an employer, you are legally obligated to keep accurate employee records; this includes updating employee statuses if they leave your employment permanently, or for a short time. You can update employee status under Payroll > Employees. Click the pencil icon next to the employee you wish to update, and then select Employment Status.
Select Leave, or Offboarding. You'll be asked to indicate:
- The reason for the leave or offboarding
- The employee's last date of work
- The date the employee gave notice, if any
The chart below lists some common scenarios and how to handle them in Wave.
Canada
| What's Happening |
Mark Employee As |
What To Do In Wave |
| Employee is currently working/scheduled to work |
Leave employee as active |
If employee is hourly, make sure to continue to fill in their timesheet |
| Employee was terminated |
Terminated - Dismissed |
Offboard employee; select reason from the dropdown menu |
| Employee resigned |
Terminated - Resigned |
Offboard employee; select reason from the dropdown menu |
| Employee is on maternity leave (unpaid) |
On leave |
Place employee on leave. You'll select the reason when Wave issues the ROE |
| Employee is taking personal emergency leave (unpaid) |
On leave |
Place employee on leave. You'll select the reason when Wave issues the ROE |
| Employee is taking critical illness leave (unpaid) |
On leave |
Place employee on leave. You'll select the reason when Wave issues the ROE |
| Employee is not being paid (seasonal work, etc.) |
On leave |
Place employee on leave. You'll select the reason when Wave issues the ROE |
Learn more about how to handle employee offboarding in Canada by reading [Canada] Offboard employees or place them on leave.
United States
| What's Happening |
Mark Employee As |
What To Do In Wave |
| Employee is currently working/scheduled to work |
Leave employee as active |
If employee is hourly, make sure to continue to fill in their timesheet |
| Employee was terminated |
Terminated - Dismissed |
Offboard employee; select reason from the dropdown menu |
| Employee resigned |
Terminated - Resigned |
Offboard employee; select reason from the dropdown menu |
| Employee is taking unpaid leave (any kind) |
On leave |
Offboard employee; select reason from the dropdown menu |
| Employee is not being paid (seasonal, furloughed, etc.) |
On leave |
Offboard employee; select reason from the dropdown menu |
An employee is considered active if they are currently working or scheduled to work. If this isn’t the case, make sure you update their status to remain compliant.
Maintaining up-to-date active employees in Wave helps you keep accurate employee records, which in turn keeps your business compliant. It also ensures you’re paying the correct amount for Payroll each month.
