✅Prerequisite for Salary Generation.
Before generating salary, ensure all the following areas are correctly configured and updated. If any of these are missing or incorrect, the salary process may fail or produce wrong results.
1️⃣ Employee Data is Updated
Make sure the following details are correctly entered for all employees:
- Is Employee = true Only users marked as employees will be processed in salary generation.
- Joining Date Must be present. Employee must have joined on or before the selected month.
- Resignation Date (if applicable) If the employee has resigned, the date must be filled and must be on or after the salary month to include them.
- Salary Configuration Each employee must have at least one salary record with Effective Date ≤ selected month. To learn more about salary data to be entered visit Setting Salary Data for Employees
- PF/ESIC Details If PF or ESIC is applicable, ensure:
- PF/ESIC checkboxes are ticked in salary config.
- Required fields (PF Number, UAN, Insurance ID) are filled.
- TDS Setup (if applicable) (ref = How TDS is calculated?) If TDS is enabled for the employee, the system must have:
- TDS Amount defined for the selected financial year.
- TDS will be auto-distributed in remaining months of the financial year.
2️⃣ Leaves are Recorded
Ensure all leaves are managed properly for the selected month:
- Leave Entries Added All leaves (approved or pending) should be created in the system for each employee.
- No “Pending” Leaves If any leave entry is still in “Pending” status for the selected month, salary generation will be blocked.
- Leave Approval Status All applicable leaves must be either:
- Approved (and they’ll be marked Paid/Unpaid based on balance), or
- Rejected (and ignored during salary).
- Leave Balance Accuracy Leave balances must be up to date. The system auto-deducts or flags overuse based on real-time balance.
- Leave Type Configuration Leave types should be configured properly (e.g., Monthly/Yearly accrual, encashment, sandwich rules, probation restrictions).
3️⃣ Allowances are Added
Verify if additional payments or deductions are in place:
- Unpaid Allowances for the Month Any allowances or one-time payments (Commission, Travel Allowance, Bonus/Ex-Gracia) that should be paid in this month should already be added under Allowances module for specific month. So when salary is generated those unpaid allowances will automatically added to salary.
- Leave Encashment If company allows encashment of leaves, ensure:
- Leave types are configured for encashment.
- Eligible employees have encashable balance.
- Other Salary Adjustments Any salary component change (variable pay, commission etc.) must be updated in the salary structure before generation.
Make sure all required information is entered correctly to avoid system errors and to ensure the salary amount is calculated accurately.
🔁 Steps to Generate Salary
- Go to Main Menu from the left sidebar.
- Click on Salary module.
- Click the Green “Generate” Button.
- A popup will appear.
Inside the Popup:
- Select the Month and Year you want to generate salary for.
📌 System will auto-calculate total working days based on holiday/weekend settings.
- Tick all 3 Confirmation Checkboxes:
- ✅ Employee Data is Updated
- ✅ Leaves are Recorded
- ✅ Allowances are Added
- Once all 3 are ticked, the “Create Salary” button will become active.
- Click Create Salary.
⚠️ Possible Errors During Generation
| ❌ Error Message | 🔍 Reason |
|---|---|
The following employees have TDS enabled but no TDS amount entered: Employee ID: X, Y | One or more employees have TDS: true but no TDS amount defined for selected financial year. |
Pending leaves exist for Employee ID: X for selected month | Some employees have unapproved leave entries. Approve or delete them before generating salary. |
✅ Tips
If employee salary for selected month already exists, system skips processing that employee.
System automatically fetches Professional Tax from Codes Table.
Company details are also retrieved in backend for salary record.
Before updating leave balances, system takes backup of leaves.
Detailed leave processing happens internally:
Leaves are checked in order, adjusted as Paid/Unpaid based on rules (probation, sandwich, notice period).
Leave balances are updated.
Changelogs are generated for both leave and user.
System automatically handles leave accrual, carry forward, encashment, and overuse detection during processing.
Any pending allowances for that month are retrieved and then marked as paid after salary generation.
A TDS Challan is auto-creat