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How to Dismiss an Employee in Gusto

Updated on:
April 6, 2026
By:
Madhav Bhandari
Use this interactive demo to learn how to dismiss an employee in Gusto.

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You can dismiss an employee in Gusto when someone leaves the company or is terminated. This updates their employment status and stops future payroll payments.

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  1. Sign in to your Gusto admin account.
  2. Head to People to see your team roster.
  3. Under the employee's name, the three-dot menu shows available actions.
  4. Select Remove to dismiss the specific employee you wish to remove.
  5. Confirm by clicking Remove again—this can't be undone.
  6. After dismissal, the employee will no longer appear in active payroll.
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