Case 1: Zoho Payroll is integrated with Zoho People: The last working date has to be updated in Zoho People. To do this:
The Date of Exit in Zoho People will be considered as the Last Working Day for the employee in Zoho Payroll.
Case 2: Zoho Payroll is NOT integrated with Zoho People:
In this case, the Last Working Day should be marked in the current or the future pay month. You cannot change the last working day to a date in the previous payroll months. If you still need to choose a date in a previous payroll month, delete the recorded payment, revert the previous payroll, and terminate the employee in the previous pay run.
After reverting the previous payroll,
After you’ve terminated the employee, you can process the termination payroll for that employee.