Salary advances

An advance is cash an employee takes before payday. Record it once — the books post it, the outstanding balance tracks it, and payroll claws it back without you remembering.

Record an advance

1. Open HR → Payroll → the Advances panel → Add advance.
2. Pick the employee, amount and date.
3. Choose the account it's paid from (any cash or bank account) and the method — cash, bank, cheque or card.
4. Save — a journal posts immediately (Dr Employee advances / Cr the paying account).

Recovery is automatic

When the next payroll is approved, each employee's outstanding advances prefill their Advance deduction line — edit it on the draft to recover less. Approving posts the recovery entry; an advance flips to Recovered once it's fully covered.

• The panel shows each advance's outstanding amount and the running total.
• An untouched advance can be deleted (its journal reverses). Once any recovery has posted against it, it's locked — adjust the deduction on the next draft run instead.

Where it shows in the books

Every employee gets two ledger accounts — an advances account (an asset: what they owe you) and a salary payable account (a liability: what you owe them). See them under Accounting → Ledger → Employees tab — see journal & ledger.