This is just a mess... Common accounting practices are established in a way that companies adopt a liability payroll account for the work that has not been payed for. This happens for a multitude of reasons (Accounting period, work not yet performed, and payroll deductions like taxes). Also, most companies pay employees on a biweekly basis so I'm not sure why your example uses a monthly basis for payments. All in all, the system that you described sounds like an extra obstruction that really doesn't add to the current system of payroll liabilities. What are you ensuring with this system, that isn't already ensured by common accounting practices?