Termination Letter Template
Ending an employment relationship is never comfortable, but the paperwork can still be clean. A termination letter template states the date, final pay, and COBRA rights without the emotional noise.
Customize & DownloadTermination Letter Template Sample
Dear [1. Employee Full Name],
This letter confirms that your employment with [2. Company Name] will end effective [3. Termination Date]. This decision is [4. Reason for Termination], and it is final.
Your final paycheck will include all wages earned through your last day of employment, together with payment for any accrued but unused vacation time, as required by law. Your final check will be issued on [5. Final Paycheck Date], which complies with [6. State] wage payment rules. Any deductions required by law will be reflected in that check.
Information about your benefits, including your rights under the Consolidated Omnibus Budget Reconciliation Act (COBRA) to continue health coverage, will be sent to you separately. You will receive details about any 401(k) or retirement accounts you hold with the company, along with instructions on how to manage them.
Please return all company property, including [7. Company Property to Return], by your last day of employment. Your final paycheck will not be withheld pending the return of company property.
For any questions about your final pay, benefits, or this decision, please contact [8. HR Contact Name] at [9. HR Contact Email].
We appreciate your contributions during your time with [2. Company Name] and wish you success in your future endeavors.
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What's Included
6 provisionsThis template is provided for informational purposes only and is not legal advice. Termination laws and final pay rules vary by state; consult an attorney or HR professional before use.
How to Use
Open the separation letter
The template follows 2026 termination best practice, with the statutory details built in.
Enter the employment facts
Add the employee, company, end date, reason, final pay date, and HR contact information.
Download for delivery
Preview the letter, then export it as Word or PDF to hand to the employee or send by mail.
Frequently Asked Questions
Do I need to give a reason in a termination letter?
In at-will states, no reason is required, and many employers keep the letter brief. If the termination is for cause, documenting the reason helps defend against claims.
When must final pay be issued?
State law controls the deadline, ranging from the final day of work to the next scheduled payday. Check your state's wage payment rules to stay compliant.
What is COBRA and when is it triggered?
COBRA lets employees keep group health coverage after termination, usually for 18 months, if they pay the full premium. The employer must send an election notice within a specific window.
Can I withhold final pay until property is returned?
Generally no. Most states prohibit withholding wages as leverage for property return, though you can pursue the property's value separately.
