Problem: 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):
The system gathers all data on dismissed employee accruals and deductions, but the new deduction "Deduction of Employee Business Expenses" won’t appear automatically in the Termination document.
Manually add a new line 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 will be automatically added to the General Ledger.
You can check the Trial Balance report for the GL 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:
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 these transactions, the "Settlements of Employee Business Expenses" report will be cleared, and all final settlements for Ammar will be closed.
Thank you for being FirstBit customer! #Termination balance #Payroll #Statement of Employee business expense.