3 Replies Latest reply: May 9, 2014 1:17 AM by Sudhir Reddy.P RSS

    Loan to Employee

    user832095

      Dear Experts,

       

      How can we record a loan given to employee without interest, and then received in onthly installments. We don't have HR module. We have oracle financials R12 (AP, AR, GL, & CM).

       

       

       

      Regards

        • 1. Re: Loan to Employee
          Tarun_Sharma

          You can try 'Prepayment' functionality in AP to pay loan to employee (create employee as supplier) and reduce prepayment with each monthly installment.

          • 2. Re: Loan to Employee
            user832095

            Thanks Tarun.

             

            Once we created prepayment for an employee as supplier. How would we reduce it, normally we set it off against Standard Invoice. Should we create invoice with negative amount.Please give your comments

            • 3. Re: Loan to Employee
              Sudhir Reddy.P

              Hi

               

              Create a Prepayment for Loan amount with the type of Temporary. Then Every Month When he pay the installment amount at this time apply to the prepayment invoice with standard invoice. The Standard invoice is create based on the installment amount.

               

              I Think this will be useful for you work around on this issue

               

              Thanks & Regards

              Sudhir Reddy