Guideline for Account Definition in Oracle apps HRMS
As indicated below in Implementation it purely depends on the requirement. We had a test case below.
Here in this below sample you will see that the basic salary has a code combination of department in Debit which implies that you will deduct department wise basic salary for the employee and then you see the credit amount which will be a liability account with no department.
|Basic Salary||Pay Value||Money||0||1,200||01.00.00000.110.71105.000.0000.0000(Expense)|
|Basic Salary||Pay Value||Money||1,200||0||01.00.00000.000.32110.000.0000.0000(Liability)|
Now Why do we have such kind of difference is when giving expense for the employee we can have it department wise so we will come to know department wise expense paid for the Employee and liability(Provision) account will be have a direct account with organization and not with department. So which implies that the organization has to pay to amount and not the department.
The complexity when we do paying from Department wise is once the employee is transferred from one department to another there it will affect as recurring.
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