All Collections
General Guide
How to Process Advance Payment For Your Employees?
How to Process Advance Payment For Your Employees?

Steps to process advance pay in Talenox.

Nicholas avatar
Written by Nicholas
Updated over a week ago

Processing Advance Payment

If you are intending to do an advance payment to your employee for a specific month, here's how you can do it in Talenox:

1. Under Payroll > Payroll Settings > Process Payment - Step 2 > Ad Hoc Payment/Deduction, add a new pay item called Advance Pay and include the figure in the Amount field. Do remember to indicate <Advance Payment description> in the Remarks field.Β 

Note: When calculating your Advance Pay amount, do remember to keep any statutory contributions to be paid out by your employee in mind for the following month.

2. Process payroll as per normal with the rest of the employees. πŸ˜ƒ

Accounting for Advance Payment in the following month

Now that you have processed the Advance Payment in a specific month, how do you account for this payment amount in the following month for your employee?

You can account for the Advance Pay in the following month by keying the amount in as an itemised "Deduction (from net salary)" under the Ad Hoc Payment/Deduction tab in payroll Step 3. Do remember to indicate <Advance Payment deduction description> in the Remarks field.

This will ensure that any statutory contributions for your employee will still be calculated in the system for the month that the payment was originally intended. πŸ‘πŸ»

Did this answer your question?