Payroll: Employees, Monthly Salary Runs, Payslips, Loans and Ledger

Payroll software Pakistan teams often run salaries in a spreadsheet, then re-key the same numbers into cash books, employee loan lists, and payslips. In Wise Supply Chain, payroll is a company module that sits on the same chart of accounts as purchasing and sales: you maintain people once, generate one monthly payroll run, review lines, then post salary expense, loan recovery, and net pay to cash or bank. This guide walks through the payroll features so finance and HR can map them to how you actually pay staff.

Payroll is enabled per company (it is not part of digital-invoicing-only installs). It works with or without Supply Chain, and it turns Accounting on so salary and loans post to the general ledger.

Employee master: people, not a month-end list

Each employee has a code (auto-generated as EMP-##### if you leave it blank), name, phone, email, CNIC, join date, monthly salary, optional bank name and account, and status. Status is active or inactive: only active staff with a salary greater than zero are loaded into a new payroll run. You cannot delete someone who already has payroll or loan history—set them inactive instead so past payslips stay auditable.

Optional opening loan balance records what the employee already owes the company when you go live. That amount posts to Employee Advances and is included in outstanding loan until it is repaid or recovered on a payroll run.

Departments and designations

Departments and designations are simple masters you attach to employees. They are not decoration: payroll analysis groups cost by department and designation, the salary register can filter by department, and each payslip snapshots the names that applied when the run was built. Keep titles consistent so year-end reports do not split “Accounts” and “Account” as two teams.

Monthly payroll runs: one draft, then post

Create a payroll run for a calendar month. The system allows one run per month per company. On create it loads every active salaried employee into draft lines, pre-fills basic salary from the employee master, and suggests a loan deduction up to outstanding advances (capped at that month’s salary). You choose payment date, cash or bank payment account, and optional cheque, reference, and notes.

Before posting you can, per employee:

• Change basic salary for this month only (overtime-style adjustments belong in additions).
• Add an addition with a short detail (bonus, arrears, reimbursement).
• Add an other deduction with a detail (absent days, tax withheld, canteen).
• Adjust loan / advance recovery; the system will not recover more than outstanding or more than remains after other deductions.
• Skip a line so that person is not paid this month (zero amounts, excluded from totals).

Net pay is always salary + addition − other deduction − loan deduction. Drafts can be edited or deleted; posted runs cannot. Print the run for filing, then print payslips for included staff.

Payslips

After a run is posted, print one payslip or the full batch. Each slip shows employee code and name, department, designation, period, payment date, bank details, basic salary, additions, deductions, loan recovery, and net payable. Staff can also open historical slips from the employee record. The line stores a snapshot of names and bank details so a later master-data edit does not rewrite last month’s slip.

Employee loans and advances

Separate loan documents record money given to staff or money received back—draft then post, like other accounting documents. Outstanding loan is:

• opening loan balance, plus
• posted “give loan / advance” amounts, minus
• posted repayments, minus
• loan deductions on posted payroll runs.

Giving a loan debits the employee’s advance account and credits cash or bank. A repayment reverses that. Payroll recovery credits the same advance account so the employee ledger, payroll analysis loan list, and next month’s suggested deduction stay in agreement.

Employee ledger

Each employee gets a party account under Employee Advances. The employee ledger lists dated journal lines (opening balance, loans, repayments, payroll recovery) with running balance—the same discipline as customer and supplier ledgers. Filter by date and print for HR or auditors who need to see why someone still owes the company.

Posting to accounting

Posting a payroll run writes one journal entry:

• Debit Salaries & Wages (6100) for salary + additions − other deductions.
• Credit each employee’s advance account for that line’s loan recovery.
• Credit the cash or bank account you selected for net salaries paid.

That is why payroll depends on accounting and financial reports: P&L salary expense and cash movement come from the same posted run, not a parallel workbook. Other deductions reduce the salary expense (they are not a separate liability account in the current posting).

Salary register and payroll analysis

Two reports cover the year without exporting to Excel first:

• Salary register — employee × month matrix for a calendar year, net or gross, optional department filter, posted or all runs. Print for banks, auditors, or annual packages.
• Payroll analysis — year totals (runs, payslips, gross, additions, deductions, loan recovery, net), cost by department and designation, month-by-month headcount, outstanding loans, addition and deduction detail lines, and a bank list of net pay by employee account for transfer batches.

The operations dashboard also surfaces payroll KPIs and a department-wise breakdown for the period you are viewing—so owners see wage cost next to sales and expenses in one login.

How payroll fits the rest of the product

Enable payroll when you need people costs on the same ledger as stock and sales. It does not require warehouses or purchase orders. Pair it with ledgers and financial reports and, when you also run operations, supply chain software in Pakistan. Digital invoicing remains optional: FBR or PRA posting is a sales-compliance module, not a payroll step.

Go-live checklist for payroll

1. Turn on the Payroll module (Accounting is enabled with it).
2. Create departments and designations your reports should group by.
3. Enter employees: salary, bank details, and opening loan balances that match physical records.
4. Confirm cash and bank accounts you will pay from exist on the chart of accounts.
5. Create a draft for the current month, skip anyone not due, review additions and loan recovery, then post.
6. Print payslips, run salary register for the year, and check employee ledgers against outstanding loans.

Book a free demo with a sample headcount, or start a 7-day trial and enable Payroll on the company. Product overview: features on the home page.

Screen names and account codes may evolve between releases; features described reflect the payroll module as currently shipped (employees, departments, designations, monthly runs, payslips, loans, employee ledger, salary register, and payroll analysis).