How to create more control accounts by BP ?

Question

Hello,
When dealing with some advances given to a BP (let say to an employee), there is the possibility to post it onto the account called down-payment receivables / payables.
But let say that my unit wished to handle more than one single advance like :
Advance in salary
Advance in car rental
Advance in house rental, etc....
If i keep as such, i can only follow one type of advance by employee.
Is there any way to handle more advances, that is to say managing more control accounts by business partners ?
Thank you
Stephane

Answer 1

Stephane,
The way I see Employee Advances being handled generally is by creating a Vendor Record for Each employee.  So, every employee is a BP (Vendor).
Create an A/P Invoice (service type) and add a row for each type of Advance with the respective G/L Account.  Continue and Process the Outgoing Payment.  This way each type of Advance is seperately recorded.
If the Employee repays the advance, create a A/P credit memo and process an Incoming Payment (from Vendor).
The other option would be to create a A/P Credit Memo with the appropriate Advance G/L Accounts.  Make an Outgoing Payment to Vendor without referencing the A/P Credit Memo.
When the Employee repays, Reconcile using link invoices to Payments (outgoing).
There are few other ways to handle this but it all depends on how you want to track these in your business.
Suda