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Employee Termination Letter

Federal & State Law Editorial TeamLast reviewed: April 2026

Formal notice of employment termination covering last day of work, final pay, benefits continuation (COBRA), and return of company property.

PDF TemplateUse the instructions below to complete this form

Instructions

Instructions

  • Employee: Full name, position, and employee ID
  • Effective Date: The last day of employment
  • Reason: State the reason clearly — performance, position elimination, misconduct, or at-will termination
  • Final Pay: Confirm when the employee will receive their final paycheck (check state law for deadlines)
  • Benefits: Provide COBRA election notice for health insurance continuation
  • PTO Payout: Address accrued but unused vacation/PTO per company policy and state law
  • Return of Property: List company property to be returned (laptop, keys, badge, parking pass)
  • Severance: If applicable, reference the severance agreement
  • Confidentiality Reminder: Remind of ongoing obligations under any NDA or non-compete
  • Note: Document the reasons for termination thoroughly. Consult HR and legal counsel before terminating.

    This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.