ERPNext HR & Payroll
What is Employee Advance?
- Employee Advance
- An Employee Advance in ERPNext records money paid to an employee before expenses are incurred, later cleared through an Expense Claim.
Raising an Employee Advance
Go to HR → Employee Advance → New. Select the employee, purpose (Travel, Project), and amount. Submit to create a payable. Process payment via a Journal Entry. The advance appears in the employee's advance account until cleared by an Expense Claim.
Clearing and Returning Advances
When the employee submits an Expense Claim, link the outstanding advance. ERPNext adjusts the claim amount — if expenses are less than the advance, the excess is returned. If more, the difference is paid additionally. The advance account zeroes out after clearance.
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Related Terms
Expense Claim
An Expense Claim in ERPNext lets employees submit reimbursement requests for out…
Employee
An Employee master in ERPNext stores all personal, employment, payroll, and comp…
Journal Entry
A double-entry accounting document in ERPNext used to record financial transacti…
Payroll Entry
A Payroll Entry in ERPNext processes payroll for a group of employees for a defi…
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