Record an advance or a loan, and let Pay take the cut.

Write the advance down on the day you give it, with how much should come back each month. After that the salary run takes the cut, and you and the worker see the same balance.

Go to the steps All lessons

After this lesson

What you will be able to do.

Record an advance or a loan on the day you give it.

Set how much comes back each month.

Answer an advance request that a worker sent from their phone.

See who owes what at any time.

Advances and Loans / Meena Parmar₹1,000 to return

Advance given

12 September · School fees

₹2,000

Cut from September salary

Taken in Pay on its own

− ₹1,000

Advance still to return

The worker sees the same balance

₹1,000

The sample is Umiya Engineering Works, Ahmedabad, the one demo company on this site.

Step by step

Give it once. The rest follows.

The words in bold are the names on the screen.

Open Advances and Loans. The page is called Who owes what, and its heading shows how much is out.

In the form choose the Person and the Type: Advance or Loan.

Fill Amount in ₹ and Cut each month in ₹. Add a Note, for example School fees.

Press Give. The person appears in the table with Given, Returned, Balance and Cut each month. Hand over the money yourself.

At month end you do nothing extra. The cut shows in Pay, step 2, in the Advance column, and it is taken when you lock the month.

When a worker asks from their own page, open Payslips, then Advance requests. Set Cut from salary each month (₹) and press Give advance, or press Not now. The same request also shows in Approvals.

To see one person's history, open their folder in People. The Advance ledger lists each amount given, each cut and the Balance.

Common mistakes

Handing over cash and writing it down later. Record it on the same day, while both of you remember the amount.

Setting a cut that is too large for the salary. The app holds all cuts in a month within a share of that month's wages, so the advance will take longer to clear than you planned.

Treating a weekly payment as salary. Salary is run for a full month; record a payment in between as an advance.

Pressing Give advance on a request and then not paying. Saying yes adds it to the ledger with today's date; the money is still yours to hand over.

Good to know

The worker sees "Advance still to return" on their own page, with the same figure as your ledger.

Only the owner can decide a request that pays money.

A cut is never more than the balance. When the balance reaches zero, the status changes from On track to Cleared.

Advance and Loan are recorded in the same way. The type is a label for your own records.

Questions about this lesson

No. There is no interest box. The ledger tracks the amount given and the amount returned.

Yes. Their page has a form called Ask for an advance, with the amount and what it is for. You answer it under Payslips, Advance requests.

Exit and Final Settlement works out what is due to them and what must be returned.

As its own line, in plain words, so the worker can see what was returned that month.

Keep going

All eight lessons →

Previous: Run salaryLesson 4 of 8 All lessonsBack to the list of eight Next: Overtime and shiftsLesson 6 of 8

Run your next salary in four steps.

Attendance, salary and compliance in one place, with 32 apps you open as you need them.

See all 32 apps Watch one salary run