What is Payroll Loan?
Payroll Loan is used to automatically deduct the borrowed money to the payroll based on the agreed amortization either from Government (e.g. SSS Loan, SSS Salary Loan) or Company (e.g. Salary Loan, Car Loan, Housing Loan, etc.)
This feature contains the following functions and terminologies:
- Employees - affected employee(s) for Payroll Loan
- Loan Date - Date of Loan Application
- Loan Type - Type of the Loan you are applying for (please refer to Payroll Loan Types to see all the types)
- Month - Start Month of the Loan
- Year - Start Year of the Loan
- Cutoff No - Start Cutoff for the specified month and year[Text Wrapping Break](e.g.: 1st Cutoff)
- Loan Status - the status of the loan
- Active - Loan is active and will deduct continuously based on the cutoff frequency
- Closed - Loan deductions will be stop the deduction on the cutoffs
- Principal Amount - The amount of the employee loaned
- Payable Amount - The total amount of the employee to be paid (interest and other additional percentage included)
- Amortization - The amount to be paid every cutoff
- Applied Cutoff - On what cutoff will your payroll loan deducts
- EVERY CUTOFF - the loan will deduct every cutoff/payday
- FIRST CUTOFF - the loan will deduct on every first cutoff of the month only
- SECOND CUTOFF - the loan will deduct on every second cutoff of the month only
- THIRD CUTOFF - the loan will deduct on every third cutoff of the month only
- FOURTH CUTOFF - the loan will deduct on every fourth cutoff of the month only
- FIFTH CUTOFF - the loan will deduct on every fifth cutoff of the month only
- Forecast Payment - the total years/months loan will be deducted