There are a few reason why you might want to make an employee inactive in QuickBooks Online:
- Paid Leave of Absence
- Unpaid Leave of Absence
- Not On Payroll
To make an employee inactive:
- Select Employees from the left menu.
- Locate and click the name of the employee you wish to make inactive.
- Click the edit pencil next to Employment.
- Click the Status drop-down and select the applicable status.
- If required, fill in the Reason for status change, Hire date and Termination date fields.
- Click Done.