Add an Employee Custody

This screen allows you to record a new financial custody for an employee, so that amounts disbursed to them are properly tracked and recorded in the accounting system.

How to Access

• From the main menu, click Finance.
• Select Employee Custody.
• Click the “Add Custody” button.

Steps to Add an Employee Custody

From the add custody screen, fill in the following fields:

• Employee: Select the required employee from the employee list. (Required)
• Custody Code: Auto-generated by the system. (Required)
• Date: Select the custody issuance date. (Required)
• Settlement Due Date: Select the expected date for settling the custody. (Optional)
• Amount: Enter the financial amount of the custody — must be greater than zero. (Required)
• Currency: Select the custody currency — defaults to the account currency. (Required)
• Employee Custody Account: Auto-filled with the default account — can be changed manually if needed. (Required)
• Cash / Bank Account: Select the credit account in the journal entry from the chart of accounts. (Required)
• Payment Method: Select the method used to disburse the custody amount. (Optional)
• Description: Enter a description or additional notes related to the custody. (Optional)
• Attachments: Attach any supporting documents. Accepted formats: png, jpeg, pdf, docx, xls — maximum 10 MB. (Optional)

Click Save to complete adding the custody, or click Cancel to go back to the custodies list without saving.

How the System Behaves Upon Saving

Employee Custody Account:

• The field is auto-filled with the default account and can be changed manually.
• If the default account is kept, the system first checks whether a prior sub-account exists for the employee under: Assets → Current Assets → Employee Custodies.
  • If a prior account exists, the system uses it automatically.
  • If no account exists, the system creates a new sub-account under the employee’s name.

Upon successful save:

• The employee custody record is created with an “Open” status.
• The remaining balance is set equal to the custody amount.
• The custody appears immediately in:
  • The Employee Custodies list (Finance).
  • The Employee File → Custodies tab.
• The system automatically creates an approved journal entry linked to the custody record:
  • Debit: Employee Custody Account.
  • Credit: Cash / Bank Account based on the selected payment method.

Validation Rules

• The custody amount must be greater than zero.
• The Employee, Custody Amount, Currency, Payment Method, and Cash / Bank Account fields become non-editable once any settlement is entered on the custody.

Notes

• The status field is automatically set by the system and is not displayed to the user during the addition process.
• The journal entry is automatically created, balanced, and linked to the custody record with no manual intervention required.