Email template · Resignation and offboarding
Final paycheck email
In short
A final paycheck email tells a departing employee when and how they'll receive their last pay, what it includes (wages, overtime, PTO payout, commissions) and what's deducted. It prevents the most common offboarding dispute. Templates below cover resignations, involuntary exits, full and final settlement and a pay-date reminder.
When to send it: Send it on or before the last working day, once payroll has confirmed the amounts and the date. In states that require immediate payment on termination, the pay itself must be ready at the exit meeting, so the email confirms what was handed over.
Final paycheck email: 4 versions
Resignation
SubjectYour final pay details
Hi [First Name], As your last day on [Last Working Day] approaches, here's how your final pay will work. Pay date: [Final Pay Date], paid by [direct deposit to your account on file / check mailed to your home address]. It will include: - Regular wages through [Last Working Day] - [Number] hours of overtime, if any, from your final pay period - Payout of [Number] hours of unused PTO [per our PTO policy / as required by state law] - [Commission / bonus] of $[Amount] for [period], per your plan Deductions will include the usual taxes and [benefit premiums / 401(k) contributions / any agreed repayment]. Your final pay stub will show the full breakdown in [Payroll Portal]. Please make sure your mailing address is current in [System] by [Date], since your W-2 for this year will go there in January. If anything looks wrong when you receive it, reply to this email or call [Payroll Contact] at [Phone Number]. [Your Name] [Title], [Company]
Involuntary separation
SubjectFinal pay and next steps
Hi [First Name], This confirms the details we discussed today. Your final pay of $[Gross Amount] gross, covering wages through today, [Number] hours of accrued PTO and [other items], was [provided to you at our meeting by check / deposited to your account on (Date)]. A pay stub is attached. [If applicable: Your severance of $(Amount) will be paid on (Date) once the signed separation agreement is returned and the review period has passed.] Your health coverage ends on [Coverage End Date]. Information about continuing coverage under COBRA will be mailed by [Benefits Administrator]. For questions about your pay, contact [Payroll Contact] at [Email] or [Phone Number]. [Your Name] [Title], [Company]
Full and final settlement
SubjectFull and final settlement: [Employee ID]
Dear [First Name], Following your separation on [Last Working Day], your full and final settlement has been processed. The amount of [Currency] [Net Amount] will be credited to your account ending [Last 4 Digits] on [Settlement Date]. The attached statement shows: - Salary for [Number] days of [Month] - Encashment of [Number] days of leave - [Gratuity / bonus / notice pay] - Deductions: [notice period shortfall / advances / taxes] Your [relieving letter / experience letter] will be issued with the settlement. Please review the statement and let us know of any discrepancy by [Date]. Regards, [Your Name] [Title], [Company]
Short pay-date reminder
SubjectYour final paycheck: [Final Pay Date]
Hi [First Name], A quick reminder that your final paycheck will be [deposited / mailed] on [Final Pay Date]. It includes your hours through [Last Working Day] and [Number] hours of PTO payout. Questions? Reach [Payroll Contact] at [Email]. [Your Name] [Company]
Subject line ideas
- Your final pay details
- Your final paycheck: [Final Pay Date]
- Final pay and next steps
- Final pay and PTO payout information
- Full and final settlement: [Employee ID]
- What to expect in your last paycheck
- Final pay notice for [First Name] [Last Name]
SMS and WhatsApp version
Hi [First Name], it's [Your Name] from [Company] HR. Your final paycheck, including PTO payout, will be deposited on [Final Pay Date]. I've emailed the breakdown. Please confirm your mailing address for your W-2. Questions: [Phone Number].
Placeholders to replace: [First Name], [Last Working Day], [Final Pay Date], [Gross Amount], [Net Amount], [Coverage End Date], [Benefits Administrator], [Payroll Contact], [Payroll Portal], [Employee ID], [Phone Number], [Your Name], [Title], [Company]
Timing is set by state law, not by your payroll calendar
There's no federal deadline for a final paycheck. The FLSA only requires that wages be paid on the regular payday for the period. States set the real rules, and they differ a lot, especially between an employee who quits and one who is let go.
A few examples show the spread. California requires final wages immediately when an employer ends employment, and within 72 hours when an employee quits without notice (on the last day if they gave at least 72 hours' notice). Massachusetts requires payment on the day of an involuntary termination. Many other states allow payment on the next regular payday. Some states impose daily penalties for late final pay, which can add up to weeks of wages.
Before you write the email, check the rule for the state where the person works, not where HQ is. For multi-state employers, keep a one-page table of final pay deadlines in the offboarding runbook. The glossary entry on final paycheck has more background. This is general information; rules vary by state and change often.
What to itemize
Most final pay disputes come from surprise, not from the amount. List every component the person should expect:
- Regular wages through the last day worked.
- Overtime earned in the final period.
- Accrued PTO or vacation. Some states, California among them, treat earned vacation as wages that must be paid out. Others defer to your written policy. Say which applies.
- Commissions and bonuses per the written plan, with the date they'll be paid if it's later than the final check.
- Expense reimbursements still outstanding.
- Deductions: taxes, benefit premiums and anything else. Be careful with deductions for unreturned equipment or training repayment; many states restrict them or require prior written authorization, and they can't take pay below minimum wage.
Point the employee to the pay stub for the full detail, and tie this email to the last working day email so equipment return, benefits and final pay arrive as one consistent package.
Resignation versus termination
For a resignation, the tone is administrative and friendly. Send it a few days before the last day, ideally after the resignation acceptance email has confirmed the date, so the person can plan around the pay date.
For an involuntary separation, the email is a written record of what was handed over or deposited, sent the same day. Keep it factual and separate from any severance discussion except to state when severance is paid. Never make the final paycheck conditional on signing a separation agreement or returning equipment: earned wages are owed regardless.
Outside the US, "full and final settlement" is the usual term in India, the Gulf states and parts of Southeast Asia. It covers salary, leave encashment, gratuity and notice-pay adjustments, and is often paid within a set number of days after the relieving date. Use that template for those teams.
High-volume and hourly workforces
In a contact center or warehouse with high turnover, final pay emails go out every week, often to people who stopped showing up rather than resigned. A few habits help. Trigger the email from the separation record in your HRIS so nobody is missed. Send it from a monitored payroll inbox, through a tool like your HR email system, so replies don't go to a supervisor who has moved on. Ask for an updated mailing address, because job abandonment cases often have stale details and the W-2 comes back undelivered. If the employee has a pay card, say how long it stays active.
Mistakes to avoid
- Holding the check until a badge or laptop comes back.
- Paying on the next regular payday in a state that requires faster payment.
- Leaving out PTO without checking whether state law requires a payout.
- Vague amounts like "any money owed." Give numbers or point to the stub.
- Sending to the work email that is deactivated on the last day. Use a personal email on file.
Frequently asked questions
What should a final paycheck email include?
The pay date and method, what the payment covers (wages, overtime, PTO payout, commissions), the main deductions, where to see the pay stub, a reminder to update their mailing address and a payroll contact for questions.
When is a final paycheck due?
It depends on the state and on whether the employee quit or was terminated. Some states require payment immediately or within a few days; many allow the next regular payday. Federal law sets no deadline of its own.
Do I have to pay out unused PTO in the final paycheck?
In some states, yes, because earned vacation counts as wages. In others it depends on your written policy. Check state law and your handbook before promising or excluding a payout.
What is a full and final settlement email?
It's the notice used in India and several other countries confirming the final amount paid after separation, including salary, leave encashment, gratuity and deductions, along with the settlement date and relieving documents.
Can I withhold a final paycheck until equipment is returned?
No. Earned wages must be paid on time regardless. Some states allow deductions for unreturned property only with prior written consent, and never below minimum wage. Recover equipment separately.
Should the final pay notice go to a work or personal email?
Personal. Work accounts are usually switched off on the last day, so send it to the personal address on file and keep a copy in the personnel file.