Employee Salary Structure
The Salary Component defines meaning and the Payroll Scheme defines reusable rules. The Salary Structure is the employee’s effective-dated agreement. Payroll selects the latest ACTIVE structure overlapping the run period.
| Field | What it controls | Example |
|---|---|---|
| Employee / Payroll Scheme | Identifies the employee and reusable rules used by payroll. | Asha Sen · Monthly Staff |
| Effective From / To | Period for which this structure applies. Use non-overlapping ranges and leave To blank for the current open-ended structure. | 01-04-2026 onward |
| Revision Type | Reason this version exists: INITIAL, ANNUAL, PROMOTION, CORRECTION or OFFER. | ANNUAL |
| Monthly Gross / Annual CTC | Agreement/control totals for review. Detailed component lines drive the current component calculations. | ₹50,000 / ₹6,60,000 |
| Status | Lifecycle state. Only ACTIVE structures are selected by payroll. | ACTIVE |
| Previous Structure ID | Optional audit link to the superseded structure. | Structure 41 |
| Appraisal ID / Offer ID | Optional source references supporting the revision. | Annual appraisal 2026 |
| Remarks | Approval/reference explanation, not a replacement for detailed component rows. | Revision approved 28-03-2026 |
Structure Status
| Value | Behaviour | Choose it when |
|---|---|---|
DRAFT | Being prepared; ignored by payroll. | — |
SUBMITTED | Awaiting review/approval; ignored by payroll. | — |
APPROVED | Approved but not yet active; ignored by the current run selector. | — |
ACTIVE | Eligible for payroll when effective dates overlap the period. | — |
SUPERSEDED | Historical structure replaced by a newer revision. | — |
CANCELLED | Voided structure retained for audit. | — |
Salary Structure Lines
Add each applicable component and employee-specific amount. Scheme rules and structure lines are merged. If a component appears in either, payroll can evaluate it; therefore remove/disable obsolete scheme rules carefully.
| Field | What it controls | Example |
|---|---|---|
| Salary Component | Connects the line to the reusable definition. | BASIC |
| Calculation Method / Base | Employee-specific method/base used when overriding the scheme, otherwise retained as supporting values. | PERCENTAGE · BASIC |
| Monthly Amount | First fixed-value source used by payroll when non-zero. | ₹20,000 |
| Fixed Amount | Fallback when Monthly Amount is zero; the scheme Default Amount follows after that. | ₹1,000 |
| Percentage | Employee-specific percentage; if zero, scheme Default Percentage is used. | 10 |
| Annual Amount | Annual presentation/control value. Monthly calculation uses Monthly/Fixed Amount and Percentage. | ₹2,40,000 |
| Override Scheme Rule | When Yes, the structure's Calculation Method becomes authoritative. Always explain the reason. | Yes · Contract exception |
| Posting Account / Side | Employee-specific ledger override. Use rarely; posting is aggregated by ledger/side. | Project Salary Expense · DEBIT |
For an increment, create a new structure with the new Effective From date, activate it, and mark/close the earlier structure as superseded. Old payroll retains its calculated snapshots.
Employee Loan Advance
Track an employee advance/loan from application through approval, disbursement, recovery and closure. This is separate from the original cash/bank disbursement voucher unless configured elsewhere.
| Field | What it controls | Example |
|---|---|---|
| Approved / Disbursed / Opening | Approved limit, actual amount given and migration opening balance. | ₹20,000 |
| Repayment Start Date | Recovery is eligible only when this date is on/before payroll period end. | 01-09-2026 |
| Instalment Amount / Count | Normal payroll recovery and expected number of instalments. | ₹2,000 × 10 |
| Interest Method / Rate | NONE, FLAT or REDUCING policy values. Confirm interest schedule outside the initial recovery calculation. | NONE |
| Recovery Account | Ledger credited/debited according to the salary recovery component design. | Employee Advance |
| Outstanding Amount | Current recoverable balance. Payroll recovery is the smaller of Outstanding and Instalment amounts for each eligible record. | ₹12,000 |
| Status | Recovery considers DISBURSED and RECOVERING records only. | RECOVERING |
When a salary component code contains ADVANCE or LOAN, payroll replaces that component’s configured amount with the sum of eligible instalments for the employee. The amount cannot exceed each loan’s outstanding balance.
Loan Recovery History
Child rows retain due date, actual recovery date/source, Payroll ID, principal, interest, total recovery, closing balance and reference. Reconcile this history and Outstanding Amount when finalising payroll or recording a recovery outside payroll.