How to Terminate an Employee in New Hampshire
Letting someone go is stressful, and getting the final paycheck timing wrong in New Hampshire can cost you penalties. Here's exactly what New Hampshire requires, plus a free tool to write a compliant termination letter.
The 7 steps to terminate an employee the right way
- Confirm the reason is documentedHave a clear, factual reason and (ideally) a paper trail: prior warnings, a PIP, policy violations. This is your protection if the firing is challenged.
- Check at-will status & any contractMost US employment is at-will, but confirm there's no contract, handbook promise, or protected reason (retaliation, discrimination) that changes things.
- Prepare the final paycheck to the state deadlineYour state sets exactly when final wages (including accrued PTO where required) are due. Missing it can trigger penalties.
- Write a clear, neutral termination letterState the effective date, that it's a termination of employment, and logistics (final pay, benefits, return of property). Keep it factual: no editorializing.
- Handle benefits & COBRAProvide required benefits/COBRA notices (US federal COBRA applies to employers with 20+ employees; many states have "mini-COBRA" for smaller employers).
- Collect property & cut accessRecover laptops, keys, cards; disable email, systems, and building access on or before the last day.
- Keep recordsRetain the letter, final-pay record, and documentation. Keep for the period your state and federal law require.
- Want to give the employee a fair chance first? Build a Performance Improvement Plan in minutes.
- Winding the business down entirely? See how to dissolve an LLC in New Hampshire.
| Final paycheck if fired | Within 72 hours |
|---|---|
| Final paycheck if they quit | By the next regular payday (within 72 hours if the employee gave at least one pay period's notice) |
| Penalty for late pay | NH DOL can order back wages + up to 2x as liquidated damages |
| Employment type | New Hampshire is an at-will state (unless a contract or protected reason applies) |