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Administrator Guide
Last Updated: 2025-05-30
Example: Set Up Pay Advances (FRA)

Example: Set Up Pay Advances (FRA)

This example illustrates how to enable workers to request and receive pay advances through Workday.
Global Modern Services allows employees to request payroll advances, which are all paid on the 15th of every month. Global Modern Services then deducts the repayment amount from workers' salaries in the regular pay run at the end of the month. Julie, the payroll administrator wants to set up Workday to:
  • Manage the request and approval of payroll advances.
  • Process the payment and repayment of the advances.
To manage advances outside of the regular payroll run Julie will use:
  • A separate payroll period schedule with the payment dates of the advances.
  • A run category to only process workers with approved advance requests.
Security:
Set Up: Payroll - Pay Group Specific
 domain in the Core Payroll functional area.
  1. Configure the
    Payroll Advance
     business process and security policy in the FRA Payroll functional area.
  2. Create a payroll period schedule for the payment of the advances.
    1. Access the
      Create Period Schedule
      .
    2. Enter these settings:
      Option
      Value
      Name
      Advance Period
      Frequency
      Monthly
      Usage
      Payroll
    3. In the
      Period
       grid, add a row for each month with these settings:
      Option
      Value
      Period Start Date
      January 16
      , or the 16th of the month preceding the pay advance.
      Period End Date
      February 15
      , or the 15th of the month of the pay advance.
      Payroll Payment Date
      February 15
      , or the 15th of the month of the pay advance.
  3. Create a run category to pay approved advance requests.
    1. Access the
      Create Run Category
       task.
    2. Enter these settings:
      Option
      Value
      Name
      Advance
      Regular Run Category
      Clear the check box.
    3. To only process workers with an approved pay advance, add a row to the
      Workers to Process
       grid, with these settings:
      Option
      Value
      Status
      Active
      Selection Criteria
      Advance Payment > 0
    4. Enter these settings in the
      Gross/Net
       section:
      Option
      Value
      Gross Pay Accumulation
      FRA Advance Gross Accumulation [FRA]
      Net Pay Accumulation
      FRA Advance Net Accumulation [FRA]
  4. Add the run category and period schedule to the pay group used for the regular pay run.
    1. Access the
      View Pay Group
       report and select
      Organization
      Edit Organization
       from the related actions menu of the pay group used for the regular payroll run.
    2. Add a row with these settings to the
      Pay Group Details
       grid:
      Option
      Value
      Run Category
      Advance
      Period Schedule
      Advance Period
Workers can access the
Request Advance
 task to request a salary advance. Julie can also directly record approved requests for a worker.
When a worker requests multiple advances for the same period, Workday pays 1 payment that is the sum of the different payment amounts.
To process:
  • The payment of advances, run a pay calculation for the advance pay run category.
  • The repayment of advance requests, runs a pay calculation with the regular run category.