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How to Dismiss & Rehire an Employee in CleanCloud Payroll

How to dismiss or rehire an employee in CleanCloud Payroll, including final pay, onboarding steps, and key rules to stay compliant.

Account Management avatar
Written by Account Management
Updated yesterday

Dismissals are permanent and cannot be reversed. Only dismiss an employee if you intend to end their employment and remove them from future payrolls.

✔ If the employee is going on leave, skip them on payroll instead of dismissing them.

The steps below apply to both voluntary separations (resignations) and involuntary terminations.


Deductions

  • Externally Managed Benefits: These will automatically apply to the dismissal payroll.


Dismiss an Employee

For compliance, employees paid through CleanCloud Payroll cannot be fully removed from the system.

  1. Go to Settings → Users → Manage User Accounts.

  2. Click Terminate via Gusto next to the employee's name.

  3. Enter the employee’s last day.

  4. Select how you will issue their final paycheck.

  5. Click Submit and Continue.

  6. Review the dismissal timeline.

  7. If everything looks good, click Run Dismissal Payroll.

  8. Enter the employee’s hours and earnings.

  9. Click Continue.

  10. Review the dismissal payroll.

  11. Click Submit Payroll.


Rehire a Dismissed Employee

Admins with the required permissions can rehire employees through their Gusto admin account.


Sending new hire or offer letters to rehired employees is not supported at this time.

  1. Go to Settings → Users → Manage User Accounts.

  2. Click Rehire next to the employee's name.

  3. Enter the employee’s rehire date.

  4. Select the work address from the dropdown.

  5. Choose whether CleanCloud should file a new hire report.

  6. Click Submit and Continue.

    • Need to make changes? You can adjust the start date or cancel the rehire during the review step.

  7. Click Review Employee Onboarding.

  8. Edit any personal details if needed.

    • Be sure to click Save after making changes.

The employee will be reactivated in CleanCloud Payroll on the rehire date, and added back to payroll.

📌 Note: If you're rehiring someone who left before your company joined CleanCloud Payroll, you must add them as a new employee.


Reminders

  • When you rehire someone, their original hire date is replaced with the rehire date.

  • If they’re rehired within the same calendar year, they’ll receive one W-2 for the year.

  • Rehires cannot be undone. If done in error, follow the dismissal steps again.

  • You cannot rehire someone as a contractor—you’ll need to add them as a contractor instead.


🛟 Need more help?

Explore our Help Center articles for answers. Contact us for further assistance.

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