Companies pay salary in advance on request from employees. The amount paid in advance is recovered in one or more installments. AttendHRM makes the whole process easy by automating the advance recovery. This help document describes how you can issue and recover salary advances with AttendHRM.

I’m going to issue a Salary Advance to one of our employees. I’ll input the Salary Advance details and recovery plan in to AttendHRM and then the whole process of recovery is automated. The advance is to be repaid from employee salary in installments.

Step 1: Input Salary Advance Details

Salary Advance

Specify the type of the Salary Advance, date of disbursement, and the principal amount.

Advance type and amount

Step 2: Calculate Interest

Our company is giving out an interest free Salary Advance, so, the interest is zero.


Step 3: Recovery Mode

The recovery can be made in lumpsum or in installments. My employee will repay in 3 installments.


Step 4: Recovery Plan

Specify the recovery cycle, date from which recovery starts and also mention if the recovery is to be made from employee salary.

Salary recovery

If you choose to recover from salary, the system will automatically deduct Advance installments from employee salary.

Save advance
Three Installments

Remember to include Salary Head ‘Advance Repayment’ in Employee’s Salary Group.

Salary group
Pick Salary group
Add group
Save group

Step 5: Manual Salary Advance Recovery

If you make a Salary Advance recovery out of salary, you have to update the system with the details.

Salary recovery
Save recovery
Installment after recovery

Step 6: Altering Installment Amount

If you want to modify the installment amount for a month, the system can insert a new installment or adjust the amount in future installments.

Select amount

My employee has requested to deduct only 500 instead of 1000 for this month, and he wants to extend the repayment with another installment, let me show you how to do that.

Save alternate amount
Insert installment
Fourth installment

Alternatively, the system can adjust the amounts in the future installments instead of adding another installment. Let me show you how.

Select installment
Modify installment
Recalculate installment
Recalculated installments

Step 7: Advance repayment and balance

The Advance repayment and balance amounts can show up in payslips.


Once you input the Salary Advance details, the system will automatically recover the Advance repayments from employee salary until the Salary Advance is fully repaid.