1. 1 Journal Entry and Budget Transfers Overview

2. 2 Agenda Overview Key Financial Management Principles Working with Journal Entries Processing Budget Transfers Getting Help

3. 3 “Transactions” in PeopleSoft PeopleSoft Transactions Budget-Related “Budget Journal” One-sided entries used to create budgets, either at the beginning of the year or as gifts, projects arrive throughout the year “Budget Transfer” Two-sided entries used to move budget dollars from one location to another. Similar to FRS BCOs Actuals-Related “Actuals Journal” or sometimes just “Journal” Two-sided entries used to move actual expense (or revenue) dollars from one location to another. Similar to FRS journals. Transactions that were traditionally thought of as “Journal Entries” may be grouped into two broad categories

4. 4 Key Financial Management Principles Budget transfers move budget dollars between chart strings  Budget transfers may not move budget dollars across funds Actuals journals move actual expense (or revenue) between chart strings  To the extent possible, correction of actuals entries should take place in the “source” system  For audit purposes, trace to documentation is preferred method

5. 5 Working with Journal Entries

6. 6 Budget Transfers Process Flows Setup Steps Terminology Walk-through Examples Handling Common Errors

7. 7 Budget Transfers Process Flows

8. 8 Four Types of Budget Transfers Revisions Cost-Sharing Internal Grants / Incentives Base Revisions

9. 9 Budget Transfers - Revisions Current year budget transfers within a unit or between units Can be of any dollar amount Includes reallocation of re-appropriation dollars Will be the type of transaction used to spread Bullseye-created budgets among more chart field strings Note: Information regarding new chart string combinations may need to be shared with units that generate internal charges.

10. 10 Budget Transfer Journal Data Entry User enters/updates the budget data and saves the transaction The budget transfer is posted and updated in General Ledger. Does preparer have security rights to post? User selects Notify button Template Opens: Recipient dependent on departmental procedure Entry Approved? Email launched/ Journal entry reviewed NO YES Journal entry and review notes are sent back to preparer NO Budget Transfer Approvals: Revisions Dept Policy dictates detailed information.

11. 11 Cost-sharing Budget Transfers Cost Sharing represents the portion of a sponsored project’s total cost that is paid by the university. Cost Share dollars are identified by specific source and function values.

12. 12 From : SourceFunction 100001 (General Operating Funds – Operating)201 (Instruction – one of many possible) To: Source Function 100005 (General Operating Funds – Cost-Sharing)212 (Cost Share – Instructional-Sponsored) 213 (Cost Share – Salary Cap Instructional) 312 (Cost Share – Research – Sponsored) 313 (Cost Share – Salary Cap Research) 352 (Cost Share – Exp. Station) 412 (Cost Share – Public Service) 412 (Cost Share – Salary Cap Public Service) Sources and Function to Use When Moving Dollars from General Operating Departmental Budget to Cost-Share

13. 13 OSP receives new awardOSP notifies GCA that new award has been received GCA sets up project and associated Cost-Share budget in Projects Module OSP notifies unit (PI and Bus Mgr) that new award has been received Unit enters the budget transfer data and saves the transaction Does preparer have security rights to post? The budget transfer is posted and updated in General Ledger. Unit notifies GCA that transfer has been completed. User selects NOTIFY button Template Opens: Recipient dependent on departmental procedure Email launched / Budget Transfer reviewed Entry approved? Journal entry and review notes are sent back to preparer YES NO YES NO Budget Transfer Approvals: Cost-Sharing Dept Policy dictates detailed information. GCA notifies unit of new project id

14. 14 Internal Grant / Incentive Budget Transfers Transfers cover a variety of situations, including: Faculty Research Grants, CUPS program, Instructional Incentive Grants Initiated by the Department Managing the Funds Low Volume, but Many Lines

15. 15 Budget Transfer Approvals: Internal Grant / Incentives Department managing the funds enters the data for the transfer on-line and saves the entry. Managing department selects “NOTIFY” button Template Opens: Recipient should be unit receiving the funds Does Unit Approve? Unit completes “Revision” steps Receiving department selects “NOTIFY” button to alert sending department of issues

16. 16 Base-Revision Budget Transfers Transfers involving the movement of base general fund dollars from one unit to another for future years.

17. 17 Budget Transfer Approvals: Base Revisions Unit sending budget dollars enters the data for the budget transfer and saves. User MUST use the “NOTIFY” button to send approval request to Dean/Director Dean/Director reviews request Request Approved? FAB reviews request Dean/Director MUST use the “NOTIFY” button to send approval request to FAB Request Approved? The budget transfer is posted and updated in General Ledger Budget Transfer and review notes sent back to preparer Budget Transfer and review notes sent back to Dean / Director

18. 18 Budget Transfers Setup Steps

19. 19 Budget Transfers – Setup Steps Determine Chart String Want to Transfer From Determine Chart String Want to Transfer To  No Chart String “Create” Process  Review Plans with Unit Business Manager  Verify that All Needed Chart Field Values Exist  If New Chart Field Values are Needed, Or Questions Remain, Work with Analyst in FAB

20. 20 Example Have budget dollars in: Want budget dollars in a string with a purpose code for a special seminar  Check with business manager  Check to see if such a purpose code exists Would a generic value work? Or is something new needed?  If new values needed, work with FAB analyst  Process a transfer to new string:

21. 21 Cost-Sharing Example Have budget dollars in departmental string: Want budget dollars set up for cost-sharing  Review OSP notification for specifics  Process a transfer to new string:

22. 22 Budget Transfers Terminology

23. 23 Budget Transfers – Terminology “Ledger Group”  For operating budgets, two choices: OPS_CH (for expense) OPREV (for revenue)  For projects, other options apply Budget Transfer Types  “Transfer Adjustment” for most transfers  “Transfer Original” for base revisions

24. 24 Budget Transfers – Rules to Remember When is a “zero” budget needed? What PeopleSoft accounts should be used?

25. 25 Budget Transfers Examples

26. 26 Budget Transfers - Example Navigation: Main Menu > Commitment Control > Budget Journals Select “Enter Budget Transfer”

27. 27 At the introductory screen, type “UVM01” in the Business Unit, enter the date you want the transfer to take effect and click “Add” Always “UVM01” Date transfer takes effect Let PeopleSoft assign the Journal ID

28. 28 Budget Header screen appears for date you specified Begin by clicking the magnifying glass next to “Ledger Group”

29. 29 Click on the appropriate ledger group (Refer to definitions if necessary)

30. 30 Next, select the appropriate Budget Entry Type from the drop down.

31. 31 For the “OPS_CH” ledger group, you need to select an entry type for the parent. Make sure both entry types are the same.

32. 32 Enter a description and then click the “Budget Lines” tab

33. 33 Enter the chart string you want to take dollars from. Note the minus sign.

34. 34 Press the “+” sign to get the row that will be the recipient of the dollars. By default, the second line will be an exact copy of the first.

35. 35 Change the chart fields for the second string and reverse the sign on the dollars.

36. 36 Verify that Debits = Credits and then press Save

37. 37 If you are authorized to enter budget transfers, but not to post, you will see an “Error” status when you save. This is ok. Your transfer is still saved. Press the “Notify” button to send email to your approver.

38. 38 An email template will come up Put your approver’s email address in the “To” block. You may also add a subject line and your own message. PeopleSoft adds the link information that your approver will need. Click “OK” to send

39. 39 The approver will receive an email something like this: Clicking on the link will bring up the PeopleSoft log- in page.

40. 40 If the approver is not authorized to post the transfer, he or she should press the “Notify” button and repeat that process.

41. 41 If the approver is authorized to post the transfer, he or she should make sure “Post Journal” is selected in the Process drop-down box and then press the “Process” button.

42. 42 A verification screen will come up; press “Yes” You’ll see a flashing “Processing” message in the upper right hand corner for a few moments

43. 43 When the process is finished, the budget status will change to “Posted”. You may then use other navigation to leave this screen. Your budget transfer is complete.

44. 44 Budget Transfers Handling Common Errors

45. 45 Invalid Chart Field Value:

46. 46 Missing Data from the Budget Header Tab

47. 47 Required Chart Fields Left Blank:

48. 48 Message is repeated on “Budget Errors” tab:

49. 49 Budget Checking Warnings:

50. 50 To find the budget issues, navigate to Commitment Control > Review Budget Check Exceptions > Budget Exceptions Fill in at least the top two search fields; using more will make it easier to find your work.

51. 51 When your search results return, click on one of the rows that you were using in your transfer

52. 52 You’ll go to a page showing the details of the error, along with links returning you to your work. Link that will take you backward to your work

53. 53 More Detail on the Error: Link to actual budget transfer

54. 54 Summary of Steps Determine type of transfer (Revision, Cost Share, etc.) Identify appropriate approval path Decide on chart strings to use Process transfer according to flow required for each transfer type

55. 55 Journal Entries / Budget Transfers Getting Help

56. 56 Getting Help Online Job Aids and UPKs Open Labs  (Week of July 5 th and each subsequent week in July) Business Manager FAB Analyst