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Office of the Comptroller University Procurement Office of Research Office of Planning & Budget. Fiscal Year-End Training. Fiscal Year-End Training. AGENDA Welcome & Introductions Budget Procurement Accounting Research Accounts Payable Payroll. Office of Planning & Budget.

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Fiscal year end training

Office of the Comptroller

University Procurement

Office of Research

Office of Planning & Budget

Fiscal Year-End Training

Fiscal year end training1
Fiscal Year-End Training


Welcome & Introductions





Accounts Payable


Office of planning and budget
Office of Planning and Budget

  • Fiscal 2010 Year End

    • Funding Transfer Deadline

    • Cost Centers in NSF (Non-Sufficient Funds)

    • FY2011 Budgets

General expense
General Expense

  • Last day to submit routine funding transfer forms is May 28, 2010

    • Except to correct an NSF condition.

  • Drexel: send to Budget Office.

  • DUCOM: send to Dean’s Office for approval.

  • What does nsf mean
    What does NSF mean?

    • NSF is an acronym for “Non-Sufficient Funds”.

    • If the cost center is in NSF, it delays the processing of invoice/s.

    • The invoice has to go through the following additional steps which delays payment.

      • 1. The A/P processor keys the invoice in only to have it rejected by the accounting system, then it goes to the batch editor.

      • 2. The batch editor checks to make sure the cost center is in deficit. If it is, the invoice is sent to the A/P Manager.

      • 3. The A/P Manager places the rejected invoice in suspense.

      • 4. The A/P Manager emails the department and/notifies the Budget Office of the NSF.

      • 5. Budget contacts the department for a funding source.

      • 6. Once the deficit is funded, Budget notifies A/P that the suspended document can be processed.

      • 7. A/P can then process the invoice and generate a check.

    Fiscal year end training

    • An account is in NSF when the YTD Activity plus the Encumbrances are greater than the Revised Budget, resulting in a negative remaining balance in General Expense.

    • NSF can occur in Personnel Expenses as well as General Expenses.

    Personnel expense
    Personnel Expense

    • June 10, 2010-Deadline for submitting personnel budget transfers to HRIS

    • When every position budget is funded, you do not run the risk of having a personnel deficit.

    Pooled budget
    Pooled Budget

    • Drexel uses a pooled-budget method for checking availability of funds.

    • The Pooled Budget includes most account codes in General Expense.

    • Exceptions:

      • Drexel and DUCOM

        • 4251 – Rent Payment – Tenet

        • 7011 - Subcontract Expense < $25,0000

        • 7012 - Subcontract Expense > $25,0000

        • 8010 - Expense Recovery Internal Charges

        • 8011 - Expense Recovery External Charges

      • DUCOM only

        • 3421 – Insurance Premiums (DUCOM)

        • 3450 - 3459 – Medical Insurance Premiums

        • 4254 – DU/PHEC IC Charge-backs

        • 4255 – Dean’s Tax

        • 4262 – Departmental Overhead

    How to avoid an nsf
    How to avoid an NSF

    • Be pro-active in managing your account.

    • Clean up encumbrances.

    • Check the remaining balance in General Expense.

    • Watch out for:

      • Purchasing Card transactions

      • Service Department charges

      • Telrose/Office Depot charges

      • Etc.

    Process for solving nsf s drexel
    Process for Solving NSF’s: Drexel

    • If you think your account will fall into NSF, please contact the Budget Office.

    • Budget will continue sending NSF notifications via e-mail.

    • The e-mail will ask you to provide a source of funds to cover the deficit.

      • Unrestricted account under your control

      • Designated account, PI Overhead Share account, DeL program account, Restricted if appropriate

    Process for solving nsf s drexel1
    Process for Solving NSF’s: DREXEL

    • Please respond promptly to this e-mail!

      • Time is of the essence. NSF’s hold up the payment of invoices and put the year-end schedule at risk.

      • Beginning June 1, 2010, if we do not hear from you within two days, we will fund your deficit from the most reasonable source and send an e-mail telling you which account we have used.

    Process for solving nsf s ducom
    Process for Solving NSF’s: DUCOM

    • If you think your account will fall into NSF, contact the Dean’s Office.

    • The Dean’s Office will work with you to find a way to cover your deficit.

    New for fy10 and beyond

    • Beginning April 1st, the Budget Office will prepare a monthly report per department or division that shows the different cost centers that are in deficit and will submit the report to the Sr. VP for Finance and Treasurer.

    • The Sr. VP for Finance & Treasurer will notify the Sr. VP per division of their deficits.

    • If no actions are taken to clear the deficit, the situation will be directed to the Office of the President for final resolution.

    • Applies to DU and DUCOM

    Fiscal year 2011 beginning
    Fiscal Year 2011 Beginning

    • Unrestricted Budgets

    • Designated, Restricted and Capital Budgets

    Fiscal year 2011 budgets unrestricted
    Fiscal Year 2011 Budgets:Unrestricted

    • Unrestricted budgets are annual budgets which begin anew each fiscal year.

    • DREXEL: The FY2011 Board Approved Budgets will be posted into Web*Finance by June 18.

    • DUCOM: The FY2011 Board Approved Budgets will be posted by June 18 or after reconciled by the Dean’s Office.

    Fy2011 budgets designated restricted
    FY2011 Budgets:Designated / Restricted

    • DREXEL:

      • Cost centers beginning with 13, 15, 17 and 3.

      • The balances in Designated and Restricted accounts roll-over from one fiscal year to the next.

      • Estimated Budgets posted by June 18, 2010

    • DUCOM:

      • They are now treated like unrestricted budgets. Budgets are based on amount approved during the budget process.

    Fy 2011 budgets capital
    FY 2011 Budgets: Capital

    • Cost centers beginning with 620XXX

    • DREXEL Capital Budgets:

      - Estimated Budgets posted by June 18, 2010

    • DUCOM Capital Budgets:

      - Estimated Budgets posted by June 18, 2010

    What is an estimated budget
    What is an Estimated Budget?

    • Because we don’t know what the ending balance will be, we post an estimated budget into the account.

    • The estimated budget is 90% of the balance on May 31.

    • After fiscal year 2010 is officially closed in late August:

      • We reverse the estimated balances.

      • We post the actual balances.

    Office of planning and budget questions
    Office of Planning and Budget Questions?

    • E-mail us:

    • Web site:

    Research accounting

    Research Accounting

    Fiscal 2010 Year-End Presentation

    Office of research year end accounting issues
    Office of Research Year-End Accounting Issues

    Stewardship responsibility for sponsored funds:

    Timely cost transfers

    Timely salary reallocations

    Cost transfers and salary reallocations for expenses occurring during FY10 should be processed in FY10.

    Review expenditures to ensure accurate accounting.

    Contact your Program Administrator if you have any questions.

    Office of research year end accounting issues1
    Office of Research Year-End Accounting Issues


    All subcontractor encumbrances will be handled by your Program Administrator in the Office of Research.

    Please follow Comptroller’s Office guidelines for all other encumbrances.

    Review your encumbrances for accuracy, e.g., ensure that encumbrances are being reduced when invoices are paid.

    Contact your Program Administrator for assistance if your encumbrance seems to be overstated.

    Office of research year end accounting issues2
    Office of Research Year-End Accounting Issues

    Personnel Action Form Processing – FY10

    If the latest salary distribution is not entered in the Labor Screen of Web*Budget, all salary will revert back to the department as of July 1, 2010.

    Using your department’s latest distribution report, enter that information to ensure personnel charged to grants in FY10 will continue to be charged to grants in FY11.

    Office of research year end accounting issues3
    Office of Research Year-End Accounting Issues

    Requests to Purchase

    Requests to Purchase for sponsored project expenditures > $2,000 must first be sent to your Program Administrator in the Office of Research.

    If Requests to Purchase are sent to Procurement without going through the Office of Research, they will be returned to you.

    Office of research year end accounting issues4
    Office of Research Year-End Accounting Issues

    Establishing New Projects

    If there is no reason to set up a project that begins July 1 or later in the old fiscal year, the Office of Research will establish the project in the new year after July 1.

    This reduces the possibility of errors related to year-end processing.

    Research accounting questions

    Research Accounting Questions?




    University procurement

    University Procurement

    Fiscal 2010 Year-End Presentation

    Questions to ask now
    Questions To Ask NOW!

    • Do I have any money left?

      • No Available Balance (NSF) means you can’t buy anything.

      • Applies to the PCard, Purchase Requisitions, Check Requests, etc.

    Questions to ask now1
    Questions to Ask NOW!

    • What is my Actual Available Budget balance?

      • Consider items in transit

        • Upload charges:

          • PCard, UPS, interdepartmental, copiers, etc.

          • Invoices sent to A/P but not yet keyed or in suspense due to NSF

    Questions to ask now2
    Questions To Ask NOW!

    • Were any of my Requisitions or Purchase Orders paid in full, yet are still listed in Outstanding Encumbrances in Web*Finance?

    Questions to ask now3
    Questions To Ask NOW!

    • Encumbrances

      • Established by University Procurement after receiving a Purchase Requisition from the department

      • General Encumbrances (established by Accounts Payable)

    Questions to ask now4
    Questions To Ask NOW!

    • How do I get my Outstanding Encumbrances closed?

      • Encumbrances are closed when invoiced by the vendor against the PO or released after the monthly PCard upload.

      • Encumbrances are not released if payment is made via Check Request or paid with a departmental PCard.

    Questions to ask now5
    Questions To Ask NOW!

    • POs over $2,000 – invoice & receiving keyed against the PO.

      • Receiving (Payment Approval Copy of PO) must be signed and returned to A/P.

      • Or, invoice must be signed.

    • It won’t be closed if only partially invoiced and/or received.

      • If product/service final invoice is less than the PO, University Procurement must be notified to close out the PO.

      • Otherwise, the PO balance will remain open.

    Closing purchase orders
    Closing Purchase Orders

    POs are contracts and as such, should not be cancelled without consultation with the buyer who placed the order.

    Closing pos
    Closing POs

    • Closing a legitimate PO to increase one’s Available Balance is not permitted.

    • Once released, funds will be applied to any outstanding deficits.

    Closing pos1
    Closing POs

    • If the PO is no longer legitimate:

      • The requestor e-mails the buyer to close the PO.

      • The buyer will get a confirmation from the vendor that all invoices have been paid in full.

      • The buyer cancels the order with the vendor.

    Closing pos2
    Closing POs

    • Buyer will contact A/P to check for in-process Receiving and/or Invoices.

    • A/P e-mails Procurement with OK to close the PO.

    • Procurement closes the PO and e-mails the requestor confirming that the PO was closed.

    Questions to ask now6
    Questions to Ask NOW!

    • Which of my Requisitions or Purchase Orders will carry forward (roll) into the new fiscal year?

      • Any PO that is open after the General Accounting clean-up process.

      • Subcontracts for Research/Grants/Projects

    Questions to ask now7
    Questions to Ask NOW!

    • Purchase Orders that roll from FY10 into FY11 will reduce your FY11available budget.

    Questions to ask now8
    Questions to Ask NOW!

    • When can I submit my last Capital Equipment/ Furniture Purchase Request?

      • April 23 is the last day.

      • Approved requisitions submitted after April 23 will not be keyed before July 1.

      • Exception: capital equipment/furniture must be delivered, installed and invoiced by June 30

    Questions to ask now9
    Questions to Ask NOW!

    • When can I submit my last routine Purchase Request?

      • May 28

      • Approved requisitions submitted after May 28 will not be keyed before July 1.

      • Exception: emergency purchases

    Questions to ask now10
    Questions to Ask NOW!

    • What about Blanket PO’s?

      • All Blanket Orders, with the exception of Research Subcontracts, expire on June 30.

      • Must renew if you need them for FY11.

    Questions to ask now11
    Questions to Ask NOW!

    • How can I get a list of my current Blanket Orders?

      • Procurement issued a list of current Blanket POs showing total invoiced amount.

      • Review the list to determine which need to be renewed (if any).

    Questions to ask now12
    Questions to Ask NOW!

    • Blanket PO Process

      • Mark up the list with any changes for the new fiscal year.

      • The administrator with the proper signature authority must sign next to each Blanket PO to be renewed.

    Questions to ask now13
    Questions to Ask NOW!

    • Blanket PO Process

      • If I don’t want to renew?

        • Draw a line through the blanket(s) you don’t want renewed, and initial each one.

        • Return list to us by June 15th.

    Pcard and year end
    PCard and Year End

    • Do Not use the PCard without available funds.

    • PCard acts more like a Check/Debit Card than a Credit Card and must be paid in full at the end of each month.

    Pcard and year end1
    PCard and Year End

    • Do NOT use the PCard for any purchases beyond June 15 to ensure posting.

      • Vendors must submit charges to card holders before June 30.

      • Each and every PCard transaction that posts after June 21, but prior to July 1, must be reconciled by Thursday, July 8.

      • Please do not request any card limit increases during the month of June.

    Pcard and year end2
    PCard and Year End


      • Follow all of the deadlines as regular pcards:

        • Telrose – Office Supplies

        • Canon - Copiers

        • Sodexo – Catering

        • Grainger – MRO

        • Coming soon for DUCOM – DocuVault

      • Please do not order any office supplies after June 15th, unless it is an emergency.

    University procurement1
    University Procurement

    • E-mail us:



    • Web site:


    Accounts payable

    Accounts Payable

    Fiscal 2010 Year-End Presentation

    What should i be doing now
    What should I be doing now?

    As the Financial Administrator I need to:

    Process check requests, purchase order invoices, signed payment approval forms and expense reports daily; and forward them to Accounts Payable.

    Review all open encumbrances to ensure you have been invoiced for all goods received and services performed in fiscal 2010.

    If you have not been invoiced by your vendor, contact them immediately for an invoice.

    What should i be doing now1
    What should I be doing now?

    As the Financial Administrator I need to:

    Review Web*Finance to ensure that invoices, check requests, payment approval forms and expense reports sent to Accounts Payable have been received and processed.

    Forward recurringCheck Requests to Accounts Payable by June 15 for fiscal year 2011 activity.

    Forward recurringRequests to Purchase to Procurement by June 15 for fiscal year 2011 activity.

    What i need to know
    What I need to know!

    As the Financial Administrator I need know:

    All check requests, expense reports, invoices and payment approval forms are due to Accounts Payable prior to July 7, 2010.

    Items I send to Accounts Payable need sufficient funding in the cost center (fund/org) being charged.

    Invoices that do not have sufficient funding (NSF) are listed in Web*Finance under suspended documents. Click on the suspended field to see the document detail for those items.

    If transaction does not have sufficient funding, it will still be processed, but a check will not be issued. The item will appear in Web*Finance as a suspended document until the NSF is resolved.

    What i need to know1
    What I need to know!

    As the Financial Administrator I need to know:

    All fiscal year 2010 purchase orders not paid or close will roll into fiscal year 2011 and reduce your available budget for fiscal year 2011.

    Items that need to be paid prior to July 1, 2010 or goods and services received after July 1, 2010 will be processed as a prepaid expense. Please the date received or dates of service on the check request prior to submission to Accounts Payable.

    Prepaid expenses will not appear in your Web*Finance budget for fiscal year 2010. They will appear as a journal entry (JE) charged to 2011.

    If you receive an inquiry from your vendor for a prepaid expense that has been sent to Accounts Payable for processing, please contact us for the payment information.

    What i need to know2
    What I need to know!

    As the Financial Administrator I need to know:

    If you have an order for goods and services received prior to June 30 and you will not have an invoice by July 7, please forward a request for an accrual to General Accounting.

    The minimal amount per item for accrued expenses is $5,000.

    Past due invoices jeopardize vendor relationships and affect the purchasing power of the entire University.

    What happens
    What happens?

    • Remember…….If a 2010 charge is recorded in 2011, the auditors will find it.

    • Fiscal 2010 transactions must be recorded even if they are late. Late transactions will make our General Accounting team burn the midnight oil to prepare financial statements for our Board of Trustees on time.

    • Please, let’s work together to identify all 2010 charges before the auditors do.

    What not to do
    What not to do!

    Do not hold invoices, no matter what the reason.

    If the you have invoices and no funding.

    Check your other funding sources and contact the Budget Department for assistance.

    Provide another fund/org to the Accounts Payable Manager servicing your department so the transaction can be processed. Accounts Payable requires written notification for any fund/org changes from an authorized signer on the cost center.

    If you have no other options, do the following:

    Drexel University College of Medicine – contact the Dean’s Finance Group (Mike Leith, Lou Meindl, Jeff Eberly).

    Drexel University – contact your Department Administrator.

    If the item cannot be resolved and the goods and services were received by June 30, the Department Administrator must contact General Accounting to request an accrual.


    How do I know when items are paid?

    Payments will appear in Web*Finance. If you do not have access to Web*Finance, contact your Department Administrator.

    What if I do not see my item in Web Finance?

    Contact your Accounts Payable Representative. Please remember that properly prepared, documented, and approved items can be seen in Web Finance within 7 business days after receipt in Accounts Payable.


    What if I see the item in Web*Finance but no check has been issued?

    The last check run for fiscal year 2010 is Wednesday, June 30.

    Checks issued after June 30 for fiscal 2010 transactions will be dated on or after July 1 and will appear in fiscal 2010 Web*Finance.


    • Checks are not issued from accruals but only from ORIGINAL invoices submitted to Accounts Payable.

    • The University’s payment terms for most vendors are 30 days.


    • For invoices submitted to Accounts Payable after the invoice due date, checks are issued 3 business days after entering into the Banner financial system.

    Dates to remember april 2010 to june 2010
    Dates to RememberApril 2010 to June 2010

    Send all items to Accounts Payable daily.

    Review all open encumbrances and ensure the payment has been processed.

    Resolve all outstanding problems for invoices, check requests, payment approval forms and travel expense reports.

    Dates to remember june 15 2010
    Dates to Remember June 15, 2010

    All FY2011 recurring payment requests must be sent to Accounts Payable on a Check Request Form.

    All FY2011 recurring requests to purchase must be sent to Procurement. Once completed, they will forward the recurring purchase order to Accounts Payable.

    Dates to remember july 7 2010
    Dates to RememberJuly 7, 2010

    Last day for Accounts Payable to receive documents for processing in fiscal year 2010.

    If you get an invoice after July 7 for goods or services received on or before June 30, DO NOT HOLD IT OR PROCESS IT IN FISCAL 2011.

    Call your Accounts Payable

    Representative immediately.


    • Email:

    • Website:

    • Contact information:

      Check requests/expense reports and questions

      • Wendy Epps- Drexel University

        • Phone: 215-895-1852

        • Email:

      • Carolyn Dingle – College of Medicine, College of Nursing, School of Public Health

        • Phone: 215-895-1280

        • Email:

          Purchase Orders, Direct Pay Invoices and Purchase Order Payment Approval Forms

      • Art Devera

        • Phone: 215-895-1286

        • Email:



    Fiscal 2010 Year-End Presentation

    Payroll and fiscal year end
    Payroll and Fiscal Year End

    • Salary expenses must be charged to the fiscal year in which the employee performs services.

    • Contractual obligations, such as a severance agreement, must be fully expensed in the fiscal year in which the contract is signed.

      • If paid out at a later date, the expense is carried as a liability (payable) on the balance sheet.

    • Accrued/unused vacation time is also carried as a liability on the balance sheet.

      • Payable to the employee upon termination.

      • Time off balances must be accurate for the liability to be accurate.

    Payroll and fiscal year end1
    Payroll and Fiscal Year End

    • Payroll expenses are automatically allocated into each fiscal year based on the payroll calendar.

      • Available in the Payroll section of the Comptroller’s web page

    • It is important to make sure that all deadlines are met so that all expenses are allocated to the proper fiscal year.

    • Mostly all Payroll and HRIS deadlines at fiscal year end are the same as any other bi-weekly or monthly pay period.


    Personnel Action Forms

    • New hires, terminations, job changes, reappointments

      Monthly Employees

      • Due June 10, 2010 for FY 2010

        (June 30, 2010 pay date)

      • Due July 9, 2010 for FY 2011

        (July 31, 2010 pay date)

    • Bi-weekly Employees

      • DUPROD – Drexel University

      • Due June 29, 2010 for FY 2010 and FY 2011

        (July 9, 2010 pay date)

      • MCPROD – DU College of Medicine

      • Due July 6, 2010 for FY 2010 and FY 2011

        (July 16, 2010 pay date)


    • Supplemental Pays

      • Due to HR by June 10, 2010 for FY 2010

      • Due to HR by July 9, 2010 for FY 2011

        • Late FY 2010 items less than $5,000 will not be accrued

    • Time Reporting

      • Monthly - FY 2010 Exempt Leave Reports

        • Due June 21, 2010 – DUPROD and MCPROD

      • Bi-weekly - Web*Time Entry

        • DUPROD - due July 6, 2010 for July 9, 2010 pay date (automatic cutoff at 9:00AM on Tuesday, July 6, 2010)

        • MCPROD – due July 12, 2010 for July 16, 2010 pay date (automatic cutoff at 10:00AM on Monday, July 12, 2010)

    How to prepare
    How to Prepare

    • Review Web*Salary

      • Salary Deficits (Fiscal Position Summary)

      • Reappointments (Departmental Roster)

        • Positions with job end dates of June 30, 2010

          • Administrative Supplements-some

          • Fiscal year appointments-all

          • Work-Study Students-all

          • Student Employees-all

    • Salary Deficits

      • Budget Transfer Form to HRIS by May 28, 2010

    How to prepare1
    How to Prepare

    • Reappointments

      • Administrative Supplements and fiscal year appointments

        • PAF to HR by July 9, 2010

      • Work Study

        • Confirm student has received an award

        • Reappoint position

          • Instructions available on Financial Aid website

      • Student Employees

        • Reappoint using e-PAF

          • Instructions available in HRIS website

    How to prepare2
    How to Prepare

    • Time off balances

      • Submit all time reports on time.

      • Submit Payroll Resolution Forms for any corrections/changes by June 30, 2010.

        • Current or prior pay periods.

      • Personal time must be used by June 30, 2010.

        • Unused personal time is lost.

        • New allotment available on July 1, 2010.

      • Review available time in Web*Salary Leave Balance page.

    Payroll questions

    Payroll Questions?



    Phone:(215) 895-2885

    FAX: (215) 895-1615 and (215) 895-1753

    General accounting

    General Accounting

    Fiscal 2010 Year-End Presentation

    Example 1 purchase of goods
    Example 1: Purchase of Goods

    Invoice Date

    June 28

    Order Date

    May 31

    Date Paid

    July 10

    Delivery Date

    July 3

    Ship Date

    June 23

    Example 1 purchase of goods1
    Example 1: Purchase of Goods

    Invoice Date

    June 28

    Order Date

    May 31

    Date Paid

    July 10

    Year recorded depends

    on the terms of the order

    F.O.B. Ship Point=F10

    F.O.B. Destination=F11

    Delivery Date

    July 3

    Ship Date

    June 23


    • Encumbrances are used to reserve budget for items ordered through University Procurement or, in limited instances, through Accounts Payable (General Encumbrances).

    • They should be cleared when the items are received and paid.

    • This occurs automatically if paid against the PO.

    • Encumbrances often remain open if the invoice is paid by a check request or purchasing card.

    • Also can remain open if purchase is canceled or only partially received.

    Encumbrance cleanup
    Encumbrance Cleanup

    • Encumbrances that remain open carry forward into FY11 and reduce available balances.

    • On or before May 21, we will issue a report showing open encumbrances scheduled to roll to FY11.

    • General Accounting will make a preliminary determination of those encumbrances that appear they should be closed out.

    • Excludes research sub-contracts.

    • To delete FY10 Encumbrances:

      • Before May 21 - Contact University Procurement

      • After May 21 - Contact General Accounting

    Expense accruals
    Expense Accruals

    • Accruals are used to record expenses that

      are incurred in FY10 but have not or will

      not be invoiced before closing.

    • If you have not received or submitted an invoice by July 7, please submit documentation to General Accounting to accrue the expense by July 13 or if after this date as soon as you are aware of it.

    • Accruals are not required for single-item transactions under $5,000.

    • Accruals cannot be made if the expense was not incurred in FY10.

    Example 2 accrued expense
    Example 2: Accrued Expense

    Order Date

    May 31

    Delivery Date

    June 25

    Invoice Date

    August 20

    Because this invoice is received

    after the closing date for Accounts

    Payable (July 8) it will need to

    be accrued back to June 30

    since the goods were received

    before year-end

    Ship Date

    June 12

    Prepaid expenses
    Prepaid Expenses

    • Prepaid Expenses are used for payments made to a vendor in FY10 for services/goods to be received in FY11.

    • Prepaid Expenses will not charge the FY10 budget but will be carried forward and charged to the proper period.

    • Contact General Accounting to properly process a payment as a prepaid expense.

    • Prepaid Expenses will not be set up unless the expense pertains to a future period.

    Example 3 prepaid expense
    Example 3: Prepaid Expense

    Travel Advance issued by Accounts Payable

    June 28

    This travel advance

    Should also be recorded

    as prepaid.

    Travel Reservations Booked

    May 15

    Expense report submitted by traveler

    July 31

    Check Paid for Hotel/Airline/Conference fee,etc for deposit.

    May 17

    Because the travel date

    does not occur until after

    June 30, the payments

    made prior to June 30th

    should be

    recorded as prepaid

    Travel Date

    July 15

    Deferred accrued revenue
    Deferred/Accrued Revenue

    • As with expenses, revenues must also be recorded in the proper year.

    • We generally follow the “Matching Concept” of revenues to expenses.

    • The matching concept is applicable when we have an obligation to provide a service before the revenue is earned.

    • It is generally not applicable for gifts. There are, however, a few exceptions.

    Example 4a deferred revenue
    Example 4a: Deferred Revenue

    Registration Fees collected from participants


    Deferred Revenue

    Golf Tournament Event

    July 31

    Department makes plan to host golf tournament

    April 30

    Check paid to Golf course for deposit

    May 17

    Prepaid Expense

    Example 4b accrued revenue
    Example 4b: Accrued Revenue

    Accrued Revenue

    Revenue Billed/Collected from XYZ Company for test results.

    Aug 8

    Department negotiates agreement with Company XYZ to conduct test and submit results

    April 30

    Labortory work completed and results sent to XYZ Company

    June 15th

    Accrued Expense

    Check paid to vendor for testing supplies

    July 17

    Capital assets
    Capital Assets

    • Are greater than $5,000

    • Consist of tangible property, equipment, software, buildings and sometimes artwork.

    • Each asset is assigned a custodian

    Is It Capital or Not Capital?

    Capital asset inventory
    Capital Asset Inventory

    • Federal government and other audits

      require us to maintain and verify our assets.

    • We physically inspect a percentage of assets .

    • Remaining assets are verified through electronic confirmations sent on or before approximately April 30th to asset custodians.

    • It is vital that we account for assets that are missing, disposed of or not working.

    • Inspections/confirmations done in May/June.

    Transaction corrections
    Transaction Corrections

    • All corrections for FY10 transactions must be submitted to General Accounting by July 15, 2010.

    • Budget Administrators must submit the

      proper supporting documentation with the

      Transaction Correction Form.

    • Need to be clear as to which year is being corrected.

    • Transaction Corrections are subject to Signature Authority guidelines and budget availability before processing.

    • Please refer to the Comptroller’s web page for the current Transaction Correction Forms.

    Funding transfers
    Funding Transfers

    • Budget/Funding Transfer Forms are used to move balances from one cost center to another.

    • They are not used for transaction corrections.

    • Certain restrictions may apply for transfers between two different fund types.

    • Generally, transfers between unrestricted, designated and restricted funds are prohibited.

    Things to do to get ready
    Things to Do to Get Ready!


    • Review work areas to ensure that all invoices and paperwork are submitted by the closing dates.

    • Review open purchase commitments (encumbrances) via Web*Finance.

    • Ensure expenses/revenue that have not been or will not be invoiced/received by the current timeline are accrued.

    • Likewise, make sure that any prepaid expenses are deferred to future periods.

    • Review the Comptroller’s Office web page for timelines, latest news, and contact information.

    General accounting questions

    General Accounting Questions?



    Phone:(215) 895-1729

    FAX: (215) 895-1426