1. Select Maintain, Default Information, Employees.
2. Select Employee Fields tab.
3. Find the first unused line and enter EmpLoan for the Field Name.
4. Select G/L Account you want to use for the loan.
   • Typically, this will be another current asset account
5. Select Run box, this ensures the balance will carry over to the following payroll years if necessary.
6. Click OK.

2. Disburse the Loan

 NOTE: You can also include the loan disbursement as part of the employee's next paycheck. 

1. Select Tasks, Payroll Entry.
2. Select Employee ID and enter a Date.
3. Find the EmpLoan field and enter the loan amount.
   • Set all other payroll fields and pay types to $0
4. If printing the check, click Print.
   • To record the disbursement without printing a check: enter a Check Number and click Save
5. Close the window.

3. Flat-Rate Repayment

Manual Entry

• Manually enter the amount as a negative number in the EmpLoan field when creating payroll
• You can divide it into as many payments as necessary, split between different payroll checks
• Continue manually adding repayments to the payroll until the employee has repaid the full amount

Automatic Entry

1. To have the repayment amount fill in automatically, select Maintain, Employees/Sales Reps, and select the employee.
2. Select Employee Fields tab.
3. Clear Use Defaults box on the EmpLoan field line.
4. Enter the repayment amount as a negative number in the Amount field.
5. Click Save.
6. Once the employee has repaid the loan in full, re-select the Use Defaults box on the EmpLoan line.

 

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