<?xml version="1.0" encoding="utf-8"?>
<ManualTopic ID="/baanerp/tf/onlinemanual/000453" xml:lang="en">
   <Header>
      <Title>To assign employees' expenses to advance payments</Title>
      <Keyword type="header" order="d1e1980762">
         <Level1>advance payments</Level1>
         <Level2>assign expenses</Level2>
      </Keyword>
      <Keyword type="header" order="d1e1980767">
         <Level1>employee's expenses</Level1>
      </Keyword>
   </Header>
   <GeneralSection>
      <Paragraph>If you grant an advance to an employee, for example, to cover
		traveling costs, you can assign the employee's expenses to the advance payment.</Paragraph>
      <ProcedureList>
         <ListIntro>Usually, the following sequence of events takes
		  place:</ListIntro>
         <ListItem>The employee requests for an advance.</ListItem>
         <ListItem>The manager approves the request.</ListItem>
         <ListItem>The company makes an advance payment to the employee.</ListItem>
         <ListItem>The employee spends (part of) the amount during a business
		  trip.</ListItem>
         <ListItem>The employee returns the receipts.</ListItem>
         <ListItem>The manager approves the expenditures.</ListItem>
         <ListItem>The employee returns the approved receipts and the remaining
		  cash to the company.</ListItem>
      </ProcedureList>
   </GeneralSection>
   <GeneralSection>
      <Paragraph>To assign advance payments to expenses, in the <GUIRef href="/baanerp/tf/cmg/tfcmg2106s000" role="session">Assign Unallocated/Advance Payments to Invoices (tfcmg2106s000)</GUIRef> session,
		click <GUIRef href="" role="manual">New</GUIRef> and in the <GUIRef href="/baanerp/tf/cmg/tfcmg2106s000#tfcmg206.type" role="manual">Assignment Type</GUIRef> field, select <GUIRef href="/baanerp/tf/domains/cmg.rcpt#expense" role="option">Expense</GUIRef>. Next, you can enter the details in the <GUIRef href="/baanerp/tf/cmg/tfcmg2119s000" role="session">Enter Payment Amounts for Assignment (tfcmg2119s000)</GUIRef> session.</Paragraph>
      <List>
         <ListIntro>The following rules apply:</ListIntro>
         <ListItem>You must define a business partner for the payments and the
		  advance receipts. You can define one, or a few, business partners and use these
		  for advances and expenses from multiple employees, or you can define a business
		  partner for each employee. For the business partner you must define at least
		  the invoice-from and the pay-to roles.</ListItem>
         <ListItem>The expenses must be posted to a ledger account of the <GUIRef href="/baanerp/tf/domains/gld.atyp#profitloss" role="option">Profit &amp; Loss</GUIRef> type which is not used as a control account, an intercompany
		  account, as an integration account, or for fixed assets.</ListItem>
         <ListItem>The tax code of the transactions must be for <GUIRef href="/baanerp/tc/mcs/tcmcs0136s000#tcmcs036.smpl" role="manual">Singular Tax</GUIRef> and the <GUIRef href="/baanerp/tc/mcs/tcmcs0136s000#tcmcs036.tvat" role="manual">Tax Type</GUIRef> must be other than <GUIRef href="/baanerp/tc/domains/tvat#shifted" role="option">Shifted</GUIRef>.</ListItem>
      </List>
   </GeneralSection>
   <ExampleSection>
      <SectionTitle>Example of the postings</SectionTitle>
      <Paragraph>You give your employee an advance of USD 1000 to meet travel
		expenses. The employee returns receipts for USD 600 and USD 400 remaining cash.
		This results in the following postings:</Paragraph>
      <TABLE border="1" borderstyle="default" space-and-orientation="indented-estimated">
         <TBODY noTR="3">
            <TR no="1" isLast="false">
               <TH colspan="3" rowspan="1">Register the advance payment
				to the employee</TH>
            </TR>
            <TR no="2" isLast="false">
               <TD rowspan="1" colspan="1">Debit</TD>
               <TD rowspan="1" colspan="1">Advance Payment</TD>
               <TD align="right" rowspan="1" colspan="1">1000</TD>
            </TR>
            <TR no="3" isLast="true">
               <TD rowspan="1" colspan="1">Credit</TD>
               <TD rowspan="1" colspan="1">Cash</TD>
               <TD align="right" rowspan="1" colspan="1">1000</TD>
            </TR>
         </TBODY>
      </TABLE>
      <TABLE border="1" borderstyle="default" space-and-orientation="indented-estimated">
         <TBODY noTR="3">
            <TR no="1" isLast="false">
               <TH colspan="3" rowspan="1">Assign the expenses to the advance payment</TH>
            </TR>
            <TR no="2" isLast="false">
               <TD rowspan="1" colspan="1">Debit</TD>
               <TD rowspan="1" colspan="1">Costs</TD>
               <TD align="right" rowspan="1" colspan="1">600</TD>
            </TR>
            <TR no="3" isLast="true">
               <TD rowspan="1" colspan="1">Credit</TD>
               <TD rowspan="1" colspan="1">Advance Payment</TD>
               <TD align="right" rowspan="1" colspan="1">600</TD>
            </TR>
         </TBODY>
      </TABLE>
      <TABLE border="1" borderstyle="default" space-and-orientation="indented-estimated">
         <TBODY noTR="3">
            <TR no="1" isLast="false">
               <TH colspan="3" rowspan="1">Register receipt of the cash returned by the employee</TH>
            </TR>
            <TR no="2" isLast="false">
               <TD rowspan="1" colspan="1">Debit</TD>
               <TD rowspan="1" colspan="1">Cash</TD>
               <TD align="right" rowspan="1" colspan="1">400</TD>
            </TR>
            <TR no="3" isLast="true">
               <TD rowspan="1" colspan="1">Credit</TD>
               <TD rowspan="1" colspan="1">Advance
				Receipt</TD>
               <TD align="right" rowspan="1" colspan="1">400</TD>
            </TR>
         </TBODY>
      </TABLE>
      <TABLE border="1" borderstyle="default" space-and-orientation="indented-estimated">
         <TBODY noTR="3">
            <TR no="1" isLast="false">
               <TH colspan="3" rowspan="1">Link the advance receipt with the advance
				payment</TH>
            </TR>
            <TR no="2" isLast="false">
               <TD rowspan="1" colspan="1">Debit</TD>
               <TD rowspan="1" colspan="1">Advance Receipt</TD>
               <TD align="right" rowspan="1" colspan="1">400</TD>
            </TR>
            <TR no="3" isLast="true">
               <TD rowspan="1" colspan="1">Credit</TD>
               <TD rowspan="1" colspan="1">Advance Payment</TD>
               <TD align="right" rowspan="1" colspan="1">400</TD>
            </TR>
         </TBODY>
      </TABLE>
   </ExampleSection>
</ManualTopic>