Employee Loan Management App
Documentation

Navigate to the Loan Management App

There are two types of Loans

• Quick Loan (Small amount and Quick disbursement & returns)

• Standard Loan (Big amount and Installment based returns)

Configurations:

In the Configurations Tab, go to Settings

Then Add Standard Loan Account and Standard Loan Journal so that Loan App can create accounting entries properly.

Then Add Maximum no installments and Loan Disbursement Period.

Here add rate records for the Loan Limit based on the Tenure plan for Employees, the rate will be used to define the Loan limit for Employees based on their Tenure.

QUICK LOAN PROCESS

Loan Requests:

• Click on the "Loan" Menu and then ‘Quick Loan request’.

• Click ‘New’,

• Fill in the required fields such as loan amount and purpose.

• Save the record and click ‘Request’.

Quick Loan request Mail will be sent to the Employee if Admin/Manager created the request if Employee created the request, mail will be sent to the Admin/Manager.

After requesting Quick Loan, the Loan will be gone for approval

Once approved and amount disbursed by Admin/Manager,

Loan request Mail will be sent to the Employee

In the ‘Return’ menu of ‘Loan’ Tab.

The Employee can see the returned loans, and the Manager can approve the returned Loan, making sure that the Loan is returned.

Note, Employee will see only his/her Loans/Returns, only Manager/Admin can see all Loan returns of all Employees.

Here Loan return will be created manually with all Details, 

• Employee, 

• Type of Loan, the 

• Return amount for Quick Loan taken

Once created mail will be sent to the Employee if created by Admin/Manager, if created by Employee mail will be sent to the Admin/Manager.

After this,

Only Admin/Manager will be able to approve the Loan Return Request.

Once Approved, return deduction mail will be sent to the Employee.

Reporting:

In the Reporting Tab,

Users can View Individual Employees Loan Reports, 

As well can see the whole Organizations Loan Reports

In Employee Loan Report,

Add required details for the Loan Report of Particular Employee.

And Print.

The Pdf report will be downloaded as below. 

This shows the Employee’s Quick Loan taken history and returns along with debit credit and the remaining Balance. 

STANDARD LOAN PROCESS

Loan Requests:

• Click on the "Loan" Menu and then ‘Standard Loan request’.

• Click ‘New’,

This is the Form view for the Standard Loan Request

• Fill in the required fields such as loan amount and purpose.

• Save the form and click ‘Request’.

Loan request Mail will be sent to the Employee if Admin/Manager created the request if Employee created the request, mail will be sent to the Admin/Manager.

 

After requesting Loan, the Loan will be gone for approval

Once approved, Loan request Mail will be sent to the Employee

Here the 15 WORKING DAYS is the disbursement period described in the Loan settings.

The Manager or Admin will attach the agreement by clicking Add Agreement button

Once Agreement is Attached, Loan Agreement Mail will be sent to the Employee containing the Agreement,

Now, the Manager can click Disburse after giving the Loan amount to the Employee.

Once Disbursed, status change mail will be sent to the Employee

And the contract will be updated and the state will be changed to Disbursed.

Here we can see two new fields for the loan that are Loan Deduction and Outstanding Loan, which describe the installment amount and the Total Loan remaining respectively.

In the ‘Return’ menu of ‘Loan’ Tab.

The Employee can see the returned loans, and the Manager can approve the returned Loan, making sure that the Loan is returned.

Note, Employee will see only his/her Loans/Returns, only Manager/Admin can see all Loan returns of all Employees.

Here Loan return will be created manually with all Details, 

• Employee, 

• Type of Loan, the 

• Loan Running that has to be returned, and the 

• Return Mode, if the return mode is other amount then the return amount will also be described by the Employee/Manager/Admin else the if it is the Installment then the default installment amount will be shown programmatically.

Once created mail will be sent to the Employee if created by Admin/Manager, if created by Employee mail will be sent to the Admin/Manager.

After this,

Only Admin/Manager will be able to approve the Loan Return Request.

Once Approved, return deduction mail will be sent to the Employee.

Contract will be updated along with the deductions and the log notes will be displayed.

Describing which installment is being deducted and the amount.

Also the Loan will be updated for the Employee Reference along with log notes shown.

Also, We can create the Loan return with return mode as other amount.

Email will be sent to the respective User.

Then the Admin/Manager will approve the return making sure the amount is returned.

Once approved, mail will be sent to the Employee. Because the Loan is completely returned successfully, the mail will be like below.

Contract will be updated, 

As we have returned all the amount in the second installment then the Loan Deduction and the Outstanding Loan will be Zero.

And the Loan state will be updated as Returned and all other necessary fields will be updated as well.

Reporting:

In the Reporting Tab,

Users can View Individual Employees Loan Reports, 

As well can see the whole Organizations Loan Reports

In Employee Loan Report,

Add required details for the Loan Report of Particular Employee.

And Print.

The Pdf report will be downloaded as below. 

This shows the Employee’s Loan taken history and returns along with debit credit and the remaining Balance. 

Automated Loan Returns 

• One scheduler is set to run on the 1st date of each month.

• The scheduler's task is to create return entries in Draft.

• The return entries are for employees with active loans.

• When an employee's payslip is confirmed:

  • The return amount is deducted from their payslip and contract.

  • The draft entry is then approved.

FOR STANDARD LOAN

• One scheduler is set to run on the 1st date of each month.

• The scheduler's task is to create return entries in Draft.

• The return entries are for employees with active loans.

• When an employee's payslip is confirmed:

  • The return amount is deducted from their payslip and contract.

  • The draft entry is then approved.

These schedulers will run every 1st day of month automatically, also the mail will be sent if any entry is created and confirmed from payslip.