Problem: Employee received amounts as advance for employee business expenses. It is necessary to withhold this amount from the employee's final payment upon his dismissal.
Solution: User should reflect operation as it shows below.
Example: for Ammar employee was created 2 bank payment documents as advances (documents with Transaction type FOR EMPLOYEE BUSINESS EXPENSES):
For deduct this amounts with Termination for Ammar it is needed to do following steps:
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An employee received advances for business expenses, and these amounts need to be deducted from the final payment upon their dismissal.
Solution: Reflect the deduction of these advances in the final payment calculation.
For example, Employee Ammar received two bank payment advances (transaction type: "FOR EMPLOYEE BUSINESS EXPENSES").
To deduct these amounts upon termination for Ammar, follow these steps:
- Create Deduction Type: Add "Deduction of Employee Business Expenses" in HR & Payroll.
go to HR & Payroll > Master data > Accruals and deductions types.
2. Create Termination document for Ammar employee and fill it with data with Calculate option (HR & Payroll section - Human Resources Documents - Terminations):
System collects The system gathers all data about on dismissed employee accruals and deductions. But in Termination document will not appear amount for , but the new deduction "Deduction of Employee business expensesBusiness Expenses" won’t appear automatically in the Termination document.
Hense it is needed to add manually Manually add a new line on Deduction tab in Termination document and fill amount of advances and correct GL account:for "Deduction of Employee Business Expenses" in the Termination document's Deduction tab, and enter the amount and GL account.
After posting the termination document, the correct record in General Ledger will be added automatically:automatically added to the General Ledger.
It might be checked with You can check the Trial Balance report for the GL Account (Accounts section - Reports - Trial Balance for Account) :account in the Accounts section to verify the record.
But if you check Settlements of Employee Business Expenses report - closing balance is still appear there:
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To adjust it user should create Register correction document for Employee Business Expenses accumulation register (Administration - Administration Documents - Register Correction):
Add the details as shown below, ensuring the period and amount are correct.
After this these transactions, the "Settlements of Employee Business Expenses" report will be cleared. All , and all final settlements for Ammar employee were will be closed.
Thank you for being FirstBit customer! #Termination balance #Payroll #Statement of Employee business expense.