Letsoaka joined Stars in January earlier this year, taking over from sacked Italian coach Giovanni Solinas, while the team were in already in danger of relegation.
Ea Lla Koto have this season since managed to survive the axe, thanks to a final day draw with Chippa United, and finished in 14th – level on points with 15th-place Baroka but holding a superior goal difference.
Speaking in an interview with KickOff.com, Letsoaka confirmed that he is no longer with the Free State-based outfit and is currently on the lookout for a new club.
"I have left Free State Stars. My agent is working on the next move," says the former Bafana Bafana assistant coach.
Letsoaka further adds that he was happy to achieve his mandate set out to him by the club, which was to survive relegation by the end of the season.
"I was hired to do that [keep the club in the Absa Premiership]," he adds. "They called me when they had some problems. I am happy I managed to help team survive relegation."
Belgian tactician Jean Lusciuto has already been touted to take over the reigns, following his impressive work at First Division club Black Leopards, with whom he narrowly missed out on promotion on the final day against Baroka.