Journal Entry Guidelines - The University of North Carolina at
Contents
1. A transfer may be made using an expenditure object code True or False It is appropriate to use salary line items for routine expenditures True or False You should use miscellaneous income when processing a receipt for registration fees True or False Departments may initiate a correcting entry only if approved by the Controller s Office True or False The Online Journal Entry system identifies what department is posting a transaction True or False Online Journal entries are used to record employee wage transactions True or False While transfers of funds are different from reimbursements they use the same object codes when recording True or False All departments involved in an online transaction must approve the transaction True or False It is necessary to obtain approval from Accounting Services for the transfer of funds True or False A department can use another department s account online without their approval as long as it is a correcting entry 20 UNC Chapel Hill Journal Entry Guidelines December 2009 Answers to Quiz l F 2 T 3 F 4 F J F 6 F T F 8 T 9 F 10 F 11 T 12 F 13 F 212. CLOSING SCHEDULE THURSDAY JUNE 25 CONT D FRIDAY JUNE 26th FRIDAY JUNE 26th MONDAY JUNE 29 MONDAY JUNE 29 TUESDAY JUNE 30TH TUESDAY JUNE 30TH TUESDAY JUNE 30TH TUESDAY JUNE 30TH TUESDAY JUNE 30TH TUESDAY JUNE 30TH TUESDAY JUNE 30TH AM PM PM ACCOUNTING SERVICES Faculty Benefit Distribution UNC P amp A SOM _ DISBURSEMENT SERVICES E Run AP month end ACCOUNTING SERVICES Post Monthly Payroll M12 to FRS Se ee ee ee ITS FRS HR Run A ee ie aa eae ON i PROJECT accounts where project end date exists for EPA TTS FRS Post M12 encumbrance adjustments i in FRS EPA Do not run 457 458 ACCOUNTING gt Run WebFocus to create liquidations for payroll encumbrances against fiscal accounts for EPA permanent includes benefits Include 11xx 13xx 6578 and 6479 for EPA Include 18xx for Fiscal accounts 4 ETS rs m s T Post WebFocus EPA liquidations it in a FRS Run 457 458 taii encumbrance for Project accounts only no programming change required n nna a a a a a CASHIER S OFFICE Last day for deposits to be submitted to Cashiers Office i Cut off time Noon T TTS MAKES DUAL YEAR AVAILABLE TO USERS List PROVIDED BY FINANCE DEPARTMENTS Run HRIS year end reports for employee records LSI and Budget Office BP03 _ TSH SPA ONLY T
3. amp A Revenue Distribution G Cash Advance Settlement Correcting Entries Correcting entries can be made to existing cash disbursements cash receipts and journal entry transactions that have posted in FRS Transactions posted in the current and prior fiscal years are available to correct excluding those posted in the current month UNC Chapel Hill Journal Entry Guidelines December 2009 Billing Entries The Billing module of the online journal entry system allows for collection of accounts receivable between University departments The department utilizing the billing module for collection of receipts for services or supplies is required to continue current practices in place at the University for tracking accounts receivable and obtaining approvals for billing rates Money Market Requests The Money Market Request module allows departments to facilitate updates to the money market system The Money Market Request module of the online journal entry system may be for purchases or liquidation of money market funds The request will be formatted as journal entries which will update FRS upon departmental approval Please note that the participation in money market is subject to the Accounting Services Business Manual Policy 17 and Policy 32 related to short term investments Trust and Special Fund Transfers Journal entries for trust and special fund transfers are designed to debit the general ledger account and credit anothe
4. 61 is used Transactions from the Student Billing and Receivable System use entry code 65 Entries created using the online system use transaction code 64 Please see next page UNC Chapel Hill Journal Entry Guidelines December 2009 Transaction Entry Codes as they are used on the FBM091 report are as follows Budget 20 Budget Entry to affect original and revised budgets 21 Revised Budget affects revised only 22 Budget Transfer affects revised only 29 Future Year Budget non State funds 82 Future Year Original Budget State funds only 83 Future Year Revised Budget State funds only Cash Receipts 30 Cashiers Office Cash Receipt 31 Direct Deposit Cash Deposit Cash Disbursements 42 Payroll Disbursement and Payroll generated Journal Entries 45 Other Cash Disbursements 48 Accounts Payable Disbursements and Canceled Computer Checks Encumbrances 50 Encumbrance 51 Encumbrance Adjustments from the Purchasing System 57 Encumbrances Carried Forward 58 Reserved for F amp A Encumbrance Journal Entries 60 Journal Entry Current and Permanent Transactions 61 Journal Entry Automated Prorate Transactions 62 Journal Entry Bypass Freeze Flag 64 Journal Entry Created using online system 65 Journal Entry Billing and Receivable System 69 Compound Journal Entry Transfer Vouchers 98 Journal Entry Beginning Balance Adjustments Accrual Journal Entries 67 Journal Entry Accrual Entries flagged for
5. In addition the billing department may send the customer copies of back up documentation as necessary While Accounting Services does not review the individual transactions they do review the batch error report with the billing department and verifies the batch is submitted timely and meets other journal entry Business Rules before posting Batches are created and managed in conjunction with University ITS staff Departments having the ability to initiate a data collect batch must have prior approval from the Dean Director or Department Head as well as Accounting Services to record the transactions directly On the next page is a sample list of the Data Collect Batch checklist used each month by Accounting Services Financial unit 10 UNC Chapel Hill Journal Entry Guidelines December 2009 The University of North Carolina at Chapel Hill Check Off List Data Collect Batches Batch Description of Batch Expected Actual Date Number and Contact Date FBDO010 0 13595 Paymaster a Month ITS D e Payroll Expeditor Monthly Payroll pee NGomac norpubished Contact not published pee Gomag notpubished Contact not published pas ay Le Contact not published Contact not published DLMO001 Lab Animal Medicine Monthly Contact not published DPS001 Transportation amp Monthly pe pe Contact not published ITS Batches contact is Becky at 962 8585 RUN THE DCBANK Date Completed by The customer
6. about a journal transaction that is not addressed by the guidelines If it is an access question call the FRS Coordinator at 919 962 5153 If it is a system question contact the Finance Training Coordinator at 919 843 3069 If the question relates to accounting or use of object codes contact Accounting Services at 919 962 5606 Why does the approver of a journal entry need to be knowledgeable of the Journal Entry Guidelines the University spending guidelines and the University Trust Fund State Fund and OSR Guidelines The approver of a journal entry ensures that 1 the proper journal entry procedure is used to record the transaction 2 the entry has appropriate supporting documentation and is being used in an appropriate account 3 the entry made is within the University spending guidelines and 4 the accounts used are within the operations and use as provided by the Trust State OSR Fund Guidelines Knowledge of these University wide documents provides the approver with the necessary knowledge and understanding to make informed decisions 18 UNC Chapel Hill Journal Entry Guidelines December 2009 Q5 How do you begin using an automated transaction A5 To begin using a Data Collect Batch contact Accounting Services at 919 962 5606 They will determine eligibility for using the batch process and assist you and your ITS staff in preparing and implementing the batch process in your department To begin using pro rates
7. department must initiate corrective action if the data collect batch postings are incorrect Corrective action may include communication with the originator to adjust the posting or may include the recording of a correcting entry if the wrong account was posted Customer departments should communicate with the billing departments to ensure subsequent correction of account codes If repeat errors occur after communication to the billing department the customer department should report the billing problem s to Accounting Services Pro Rate Transactions Pro rate entries represent recurring and predictable transactions posted directly to the financial system on a periodic basis Some pro rates are set up to record a percentage or flat rate being charged to certain accounts some are based on account attributes and are posted to update budget balances in FRS while others post allocation entries Each month end the pro rate reads the Report Description directory in FRS which contains the parameters for each entry While Accounting Services does not review the individual transactions they do verify the pro rates post in a timely manner Pro rates are adjusted on an as needed basis A pro rate must have prior approval from the Department as well as Accounting Services 11 UNC Chapel Hill Journal Entry Guidelines December 2009 Accounting Services is responsible for entering and managing the parameter data in FRS Below is a sample list of t
8. online Journal Entry system and sample screen prints are found in the journal entry user manuals located at http finance unc edu finance division training training overview html accounting Note A consolidated journal entry manual is being compiled and will be available in 2010 Business Rules Governing Online Journal Entries Online transactions are subject to pre programmed Business Rules based on the type of transaction Examples are provided Business Rules e o Add Business Rule Allow BBA overrides for preaudit Allow corrections to cash receipts Allow deleted or dropped accounts Require preaudit for amounts Require preaudit for certain GL and SL accounts Require preaudit for certain SL object codes Require preaudit for object code 2xxx Require preaudit if correcting object codes account controls are different Require preaudit if document created or approved after end date Require preaudit if the billing end date is after the budget end date Valid Value 3 for ABR Method Valid Values 0 or 4 for ABR Method Valid Values 07 or 08 for Major Fund Source Available to add to subsystem Already linked to subsystem click to modify or add values For a complete list of all available Business Rules Contact Accounting Services The department that oversees the particular fund type can choose the appropriate rules for that fund type An example is provided UNC Chapel Hill Journal Entry Guide
9. 2009 FINANCIAL RECORD SYSTEM FRS ACCOUNT CODE STRUCTURE The FRS identifies an account by a sequence of numbers called an account number The ledger number and account identifier define a unique account number The University s account code structure consists of a 10 digit account number made up of three sets of identifiers For example the identifiers for the account number X XXXXX XXXX are e Ledger Number is the first digit of the account number X XXXXX XXXX It refers to the ledger in which an account belongs It also gives a general idea of the type of account but other attributes govern the specific type of account e Account Identifier is the next series of five digits It identifies the specific account number assigned X KXXXX XXXX e Account Control or Object Code is the last series of four digits It is used to record activity in the general ledger or to record expenditures in the subsidiary ledger X XKXXXX XXXX Typically the account number is referred to as the ledger and account identifier Object codes or account controls are only used when recording account activity Additional information is available in a web based module or in the user s manual located on the Finance Training web page JOURNAL ENTRY OBJECT CODES Object codes are used to record expense revenue in the Subsidiary Ledger and are referred to as subcodes Account Controls are used to record activity in the General Ledger Fund tra
10. 6 7 Stdnt AR accruals Send memo to Rodney regarding SYS X access 6 7 Athletics 6 8 P amp A Rec 6 8 Health Care System Payroll amp Leave 6 15 N Fri FIN RPTG Send memo to OSR requesting schedules and 13th Completed Jun 9 Month entries 8 Letter to Student Stores SS requesting financial Sent 6 16 statements on accrual basis SS must use University 6 20 05 payroll and leave accrual and other liabilities SS internal systems must reconcile to FRS and variance explained with supporting documentation Deadline for SS to provide this info is August 8 9 Fri FIN RPTG Contact arbitrage rebate calculation provider and update Keith has 6 22 Jun 9 arbitrage calculation schedule contacted Bingham the provider Arbitrage and updated reviewing the schedule bond issues 6 17 05 for potential liability 10 Thu FIN RPTG FIN RPTG will identify specific batches manual amp Memo sent 5 18 Jun automated of prior year accruals TC 067 s and request to Elaine on 15 that ITS create automated reversal entries FLY204 amp 5 20 05 FLY205 to be posted in the current 13th month 11 ITS These automated entries should exclude Athletic and Done and Done and Unexpended Plant Trust accounts from the reversals verified last verified last exception include Athletic accounts for the leave week of week of June reversal Ranges are Athletic G L 0 18800 S L 3 June 2006 18800 to 3 18999 G L 0 19000 to 0 19999 S
11. L 3 19000 to 3 19999 Unexpended Plant Trust G L 0 80xxx amp S L 8 80xxx ITS should verify these account ranges in their reversal programs 17 UNC Chapel Hill Journal Entry Guidelines December 2009 QUESTIONS AND ANSWERS Ql Al Q2 Q2 Q3 A3 Q4 A4 Why are miscellaneous income and expenditure object codes prohibited in online journal entries Miscellaneous revenue expenditure object codes should only be used when other more appropriate object codes are not available Much time is spent analyzing and reclassifying transactions posted to miscellaneous object codes in order to properly reflect activity for financial reporting purposes This restriction helps ensure transactions are properly coded when recorded and reviewed by appropriate staff Why do we still have the paper AJ process Can they be eliminated and just use the online journal entries The online journal entry process provides 1 a system to identify particular types of journal entry transactions 2 electronic backup documentation for each department to agree to before the transaction is posted 3 a pre determined approval route for each transaction There are some transactions that could not be modified easily for online processing These are typically journal entry types with low volume of transactions or special circumstances that may need additional review or approval Where do I go when I have a question
12. Research OSR depending on the type of account Cash Receipt Transactions Receipts from the Cashiers Office are identified by transaction code 30 All other receipts are identified by transaction code 31 Cash Disbursements Transactions Most cash disbursements and credit memos enter the accounts payable system under that system s transaction code requirements When they are passed to the accounting system they are given transaction code 48 Disbursements made through the payroll system have transaction code 42 Some cash disbursements and credit memos identified by transaction codes 41 and 45 are manually entered into the system Encumbrance Transactions Encumbrance transactions may use transaction codes 50 59 Transaction code 58 is reserved for Facilities amp Administrative F amp A encumbrance Encumbrances carried forward to the next budget year are identified by a unique 57 code which is determined at year end Transaction code 51 is an encumbrance adjustment from the purchasing system JOURNAL ENTRY TRANSACTION CODES Journal entry transactions are those where both the debit and credit account numbers must be entered since the system cannot determine the accounts to use The transaction codes used are 60 and 62 If the entry is a compound journal entry unequal number of debit or credit entries but equal debit and credit dollars the entry code is 69 For journal entries created by automated prorates of dollar data entry code
13. TS R EPA Load BMS M12 DISBURSEMENT SERVICES a Final check run fiscal 2009 AP Year End Closing Project Accounts rolled into new year i Run FBY001 to carry forward accounts and attributes for GL amp SL 5 delg T 2 drop account if delete flag 1 set 2 if 15 13 MONTH TRANSACTIONS The 13 month process is designed to update the June 30 cash basis file with transactions to reflect the accrued statement All 13 month entries are processed via automated and paper journal entry internal to the Finance Departments These entries are posted to a separate FRS file which is not co mingled with the cash basis file The 13 month process is co ordinated by Financial Reporting and Management Services and the University Controller s Office This is a collaborative effort that includes teams from each department in the Finance Division as well as members of the ITS support teams A 13th month Processing Schedule has been developed to streamline this process Each line on the schedule represents a task with a specific deadline The responsible person department for each task maintains the procedure for that task and notifies the other collaborators when complete A sample of this schedule is shown on the next page THIS SPACE LEFT BLANK INTENTIONALLY 16 UNC Chapel Hill Journal Entry Guidelines December 2009 13 MONTH PROCESSING SCHEDULE Date Dept Pers
14. UNIVERSITY OF NORTH CAROLINA AT CHAPEL HILL Accounting Services JOURNAL ENTRY GUIDELINES The following general guidelines have been developed to assist campus users in understanding how journal entries are used in the Financial Records System FRS and the requirements for making manual journal entries or on line general journal entries using the Finance Central system If you should have questions that are not answered in these guidelines please call or e mail your question to Accounting Services 919 962 5606 You may also refer to the Finance Division Policy amp Procedure Manual or the Finance Division training webpage for information regarding specific transactions or operations of a department TABLE OF CONTENTS Financial Record System FRS Account code Structure Journal Entry Object Codes Journal Entry Transaction Types Journal Entry Transaction Codes Processing Journal Entries Manual Journal Entries Suspense Entries Online Journal Entries Business Rules Governing Online Journal Entries Approval of Online Journal Entries Modification of Online Journal Entries Types of Online Journal Entries Types of Automated Journal Entries Data Collect Batches Pro Rate Transactions Other Automated Transactions Year End Journal Entries 13th Month Entries Questions and Answers Quiz Answers to Quiz Page WN bd ONN DANANG 10 11 12 14 16 18 20 21 UNC Chapel Hill Journal Entry Guidelines December
15. contact Accounting Services at 919 962 5606 Accounting Services applies pro rates to accounts based o the type of account the transactions in the account and budget factors They will explain the pro rates that apply to your accounts and the budget options available for your particular account To begin using the other automated transactions contact Accounting Services at 919 962 5606 They will determine if you are eligible for automated billing and assist with implementing the billing process Q6 Where do I find information more information about journal entry transactions and information about other finance topics A6 The Finance Division web page is located at www finance unc edu This web page has tabs to the Finance Departments Forms and Training as well as others There are contact numbers and emails listed for each department if you have questions There are also links to the Financial Policy and Procedure Manual Finance Division announcements and budget guidelines for State and Trust Funds 19 UNC Chapel Hill Journal Entry Guidelines December 2009 Quiz 1 True or False The transaction s object code identifies the type of journal entry 10 11 12 13 used by the accounting system True or False Cash receipts cash disbursements and general journal entries use different transaction codes True or False A cash receipt is recorded through the 060 transaction code True or False
16. future year reversals 68 Journal Entry Accrual Reversals Additional transaction codes are used in the system by the UNC Chapel Hill business offices UNC Chapel Hill Journal Entry Guidelines December 2009 PROCESSING JOURNAL ENTRIES Journal entries may be submitted to Accounting Services via paper Account Adjustment Form or by using the online Journal Entry system MANUAL JOURNAL ENTRIES A paper entry is required for any transaction that is not available using the online journal entry system including some fund transfers A paper entry is created on an AJ 1 form by the department and approved with a signature by that department and other departments if their accounts are used in the transaction and forwarded to Accounting Services for review and posting Approvers should be knowledgeable of the Journal Entry Guidelines the University spending guidelines and the University Trust Fund State Fund and OSR Guidelines Accounting Services will forward to other departments for pre audit prior to posting in FRS as required The Budget Office would pre audit State and Overhead Funds Office of Sponsored Research would pre audit Contract and Grant Funds and Accounting Services would pre audit Institutional Trust Funds Back up documentation is required for each transaction Modifications cannot be made to the completed AJ A separate AJ must be completed to modify a transaction created using a paper AJ SUSPENSE ENTRIES Su
17. he pro rates managed by Accounting Services Financial unit ProRate Number What does it do Criteria T1 Creates budgets equal to receipts amp transfers from GL ABR 4 1 1 mapping 3 1xxxx if T1 then also should be in T7 and FBY005B T3 Looks at all to consider valid transactions runs in last daily P amp A department use only cycle of 3rd day of close T5 Charge MFPP Admin fee deduction Professional Liability to be charged supplied by P amp A Department Insurance Runs last day of calendar month T6 Provide annual transfer or monthly for select accts DR and CR accounts reversed in RDF T7 Creates budget equal to current revenue line by line for revenue only T8 Move revenue to deferred income amp amusement tax Athletics department only T9 Surgery admin fee AHEC benefit expense auxiliary svcs Value supplied by dept UNC P amp A assessments Other Automated Transactions Other automated journal entries represent monthly recurring and predictable transactions generated through billing or distribution systems used by larger administrative departments that provide services to most departments on campus For example ITS Facility Services or Utility Services These entries are posted directly to the financial system via electronic feed from their originating system without review of the individual transactions by the customer department being charged or by Accounting Service
18. ive office to journalize revenue and other activity within the account range for P amp A clinical accounts This module in development and expected in production in 2010 UNC Chapel Hill Journal Entry Guidelines December 2009 Cash Advance Settlement Entries The Cash Advance Settlement entry allows the creation of a multi line entry to replace the currently used paper AJ to process settlements of cash advances Original receipts will still need to be sent to the appropriate business office OSR or Accounting Services Only one settlement is allowed per journal entry If excess funds remain from the cash advance the deposit of these funds will be made to the account of the cash advance check request and documented in the original paperwork Policy and procedures for Cash Advances and settlement can be viewed at http www unc edu finance busman act actpol25 html for Accounting Services and http research unc edu osr OSRPolicyManual documents 500 14 1 cash advance _request_and r econciliation pdf for OSR TYPES OF AUTOMATED JOURNAL ENTRIES Data Collect Batch Billing Entries Data collect batch entries represent billing transactions posted directly to the financial system without review of the individual transactions by the customer department being charged or by Accounting Services The customer department supplies the billing department with the account to be utilized for the transaction when the product service was ordered
19. lines December 2009 Business Rule Allow SL object codes Show All Current and Expired Add Values 3 x e Values per page Office of Apply Values Sponsored rust State Funds Funds to all Add Research offices No Effective dates 05 27 2008 12 31 2028 Action 220228706 A s 6 Yes Yes Effective Effective dates dates 05 27 2008 05 27 2008 12 31 2028 12 31 2028 Approval Of Online Transactions Created transactions are routed through an online approval process Approvers in the online system should be knowledgeable of the Journal Entry Guidelines the University spending guidelines and the University Trust Fund State Fund and OSR Guidelines If the transaction fails a Business Rule the transaction must be corrected before being submitted for approval Once approved by the creator and customer department s the entry is routed to a variety of sources depending on the circumstances If the transaction passes all of the Business Rules applied to the transaction and sufficient budget is available in the account then the transaction will post automatically to FRS If the accounts in the transaction do not have sufficient budget the transaction is routed to the Finance Department that oversees the fund type for pre audit approval Entries requiring changes will not be changed by the pre audit department but instead be rejected back to the billing department with notes as to the required change and will begin the ap
20. n Dir Student Aid Graduate Student Insurance Plan Information Services Technology Finance amp Administration Telecommunications Services Computer Services AFS Space Payroll Director Bi weekly payroll Monthly payroll Procurement Services Director Material Distribution Management Central Airfare Billing Carolina Computer initiative ITP 1 amp 2 P Card A P Checks RC amp NC EFT RE amp NE Student Accounts amp University Receivables SAUR Director Disbursement of student aid Collection of student receivables BRS Student refunds Tuition carry forward 13 UNC Chapel Hill Journal Entry Guidelines December 2009 YEAR END TRANSACTIONS The year end closing process is coordinated by Accounting Services and the University Controller s Office This is a collaborative effort that includes teams from each department in the Finance Division as well as members of the ITS support teams A Year End Cash Basis Closing Schedule has been developed to streamline this process Each line on the schedule represents a task with a specific deadline The responsible person department for each task maintains the procedure for that task and notifies the other collaborators when complete A sample of this schedule is shown on the next page THIS SPACE LEFT BLANK INTENTIONALLY 14 CASH BASIS
21. nsfers use specific object codes and are readily identified by the object code for reporting and tax purposes A listing of some of the standard expenditure codes and GL account controls are in the Financial Policy and procedure Manual For assistance or questions about object codes contact Accounting Services 919 962 5606 JOURNAL ENTRY TRANSACTION TYPES Input into the Financial Records System FRS is categorized by different transaction types Particular transactions within these categories are tagged with a two digit transaction code This transaction code is printed on the transaction portion of the monthly FBM091 account statement and Finan eer in the TC column to help identify the reason the transaction was processed Maintenance Transactions Maintenance transactions are those used to create and modify non dollar data within an account For example they are used to create an account to change an attribute or to set a system operating flag The entry codes for these transactions are 01 19 except for 10 which is used to identify the batch header record into data input These transactions do not appear on the FBM091 reports UNC Chapel Hill Journal Entry Guidelines December 2009 Budget Transactions The various budget transactions for original budget budget revisions future year budget etc are identified by transaction codes 20 29 These types can be input by Accounting Services Budget Office or Office of Sponsored
22. on Activity 2005 2006 Completion Completion Date Date Notes Notes 1 Mon FIN RPTG Email requests to Law School Social Work Business E mails sent 5 2 May School and School of Education foundations for 5 9 05 1 blending information 2 Mon FIN RPTG Send Medical Foundation Educational Foundation and Letters sent 5 5 May A amp S Foundation letters regarding GASB 39 5 16 05 15 requirements 3 Fri CNTRLLR Dennis sends memo to Deans Directors and Department Letter sent 4 28 May Chairs regarding Compiling Vacation Leave Information 4 29 05 26 for Fiscal Year ending June 30 2006 4 Mon ITS Provide GF13M100 FBM001 report of 13th Month Early May 5 9 May Batches 1 5 Fri FIN RPTG Send memos requesting historic property artworks and Memos sent 5 18 May literary collections 5 16 05 26 6 Fri FIN RPTG Develop batch assignment log for accruals and other Completed 6 15 Jun 9 entries 6 16 05 7 Fri FIN RPTG Send memos requesting receivables data and allowance Memos sent Access 6 2 Jun 9 for doubtful accounts for UNC P amp A DFPP and Student 5 16 05 Annuities Loans Send memo to Athletic Department regarding 6 2 DFPP accruals and appropriate cut off dates and to the 6 2 Pledges Development Office regarding annuities payable and 6 7 Payroll pledges receivable Send memo to ITS and Payroll for 6 7 University payroll and leave accruals and to ITS and Retainage Health Care System for payroll and annual leave
23. proval process all over again Once approved by both departments and any pre audit departments the expense and revenue amounts associated with the entry are posted to FRS Modification Of Online Transactions The customer department typically initiates corrective action if the postings to their accounts are incorrect Corrective action may include communication with the originator to adjust the posting using a paper form or may include creating an online correcting entry if the wrong account was posted Customer departments should communicate with the originating departments regarding corrections UNC Chapel Hill Journal Entry Guidelines December 2009 Types Of Online Journal Entries The following types of journal entries are available online Journal Entry Main Menu E Correcting Entries G Billing E Money Market Requests Purchase or Increase participation in Money Market Liquidate or Reduce participation in Money Market E Trust amp Special Funds Transfers Foundation Allocation to University Restricted or Unrestricted Gift Account Gift to Gift University Endowment Income to Principal Account University Endowment Income to University Endowment Income Account Agency Endowment Income to Agency Endowment Principal Account Agency Due to Due From University Due to Due From E Deposits and Accounts Receivable Departmental One Card Deposit Print Plan Deposit Development Office Gifts Assessment Morehead Planetarium G P
24. r general ledger account except with foundation allocation to unrestricted accounts Accounting Services approval will be required for these transactions before posting to the Financial Records System NOTE Transfers for State Appropriated Funds and Facilities and Administrative F amp A ledger 2 and certain ledger 3 accounts are not allowed and changes are done via budget revision Please contact the Budget Office for additional information Deposits and Accounts Receivable The Departmental One Card Deposit journal entry is designed to communicate with the One Card office to purchase a copy card and place funds for copies on deposit in the One Card account The Print Plan Deposit journal entry is designed to communicate with the One Card office to place funds for Print Plans on deposit in an existing One Card account The Development Office Gifts Assessment journal entry is designed to create an online document showing payment of the fees assessed to a University Department or Foundation for services performed by the Office of University Advancement Development Office The Morehead Planetarium journal entry is designed to create an entry to record a deposit or account receivable for the Morehead Planetarium and access is limited to that department 8911 P amp A Physicians amp Associates Revenue Distribution The P amp A Revenue Distribution journal entry is designed to meet the needs of the Physicians amp Associates administrat
25. s The originating department may send the customer copies of back up documentation as necessary The feed is submitted monthly in standardized format The customer department supplies the originating department with the account to be utilized for the transaction The customer department must initiate corrective action if the postings to their accounts are incorrect Corrective action may include communication with the originator to adjust the posting or may include the recording of a reclassification entry if the wrong account was posted Customer departments should communicate with the originating departments to ensure subsequent correction of account codes On the next page is a sample list of these automated entries 12 UNC Chapel Hill Journal Entry Guidelines December 2009 Monthly Automated Transactions from Electronic Feed Responsible Billing Department Responsible Person Service Provided Campus Services Director Food amp Vending Food Service Catering Design Services AVC University Relations Design Services Energy Services Assoc Finance Director Chilled Water Systems Co Generation systems Electric Distribution Water Waste water Storm water Facilities Services Accountant Warehouses Waste amp Recycling Housekeeping Motor Pool Buildings Grounds Mail Services Maintenance Services Graduate School Admi
26. spense entries occur when an object code is invalid for an account or an account has been frozen or closed The transaction amount is put into a clearing account until the issues can be resolved Accounting Services and OSR work with the departments to reconcile these accounts on a daily basis All suspense items must be cleared before month end close ONLINE JOURNAL ENTRY SYSTEM The majority of journal entries are online entries initiated through the Finance Central system The Finance Central systems are security driven and provide for the customer department the ability to change their account numbers if necessary and to either approve the transaction or reject it back to the originating department Back up documents are attached electronically Some transactions allow multiple lines and some allow only one line per customer department The creating department starts the process by recording the necessary information for the charge including the account number and object code for both sides of the transaction and explaining the charge The use of miscellaneous income object code is restricted in online journal entries as is the posting of transactions to salary line items or transfer line items In addition it is important that the description provides a clear explanation of the purpose of the entry for both the credit and debit side of the entry UNC Chapel Hill Journal Entry Guidelines December 2009 General guidelines for using the
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