In order to provide appropriate information in the People Soft Financial System, for reports and to satisfy a FY12 audit request, specific information is needed to be included on Interdepartment Billings, Cost Transfers, Cash Transfers, Correcting Entries, and SSI journals. This will allow better identification as to the purpose of the journal, as well as the type of journal that is being entered. There are five different categories that are currently being used in preparing an Accounting Form or SSI journal.
Please be sure to give a very descriptive statement as to the purpose of the entry. The descriptions should answer the questions of who, what, where, why and when. This is an important step in the auditing process, not only for NDSU, but also to satisfy the auditor requests when they are pulling samples for review.
INTERDEPARTMENT BILLINGS (IB), are just that, sales of service and/or products between departments within NDSU. An interdepartmental revenue code (account code 479XXX ) will be the account code used by the department providing the service/product and an expense code, most appropriate to the service/product received should be used by the receiving department. The revenue codes are pre-filled on the IB form – the most common one to use is 479010. The description should include information pertaining to invoice number/date or statement period, etc. An example:
MEMORIAL UNION EVENT SERVICES BILLING, INV #MUS1234 DATED 9-1-12 – GREAT ROOM FOR FALL STAFF TRAINING ON 8-15-12
CASH TRANSFER (CA) - are transactions where one fund is transferring cash to another fund – local funds only. Be descriptive as to why the cash is being transferred and include a reference to the date the transfer is covering. The account codes for this type of entry are always 722005 for the fund giving the cash, and 490002 for the fund receiving the cash, and are pre-filled on the form. An example of the description:
TO TRANSFER FUNDS FOR SALARY/OPERATING SUPPORT FOR FY2013
COST TRANSFER (CO) –occurs when one fund has incurred an expense that they need to re-allocate to other funds/departments. These transactions include expense codes only, moving costs from a fund/project to another. Reference the original entry AP Voucher number/IDB #/SSI journal # and date (The accounting date, not posted date). An example:
TO REALLOCATE COST OF SERVICES & CALIBRATION OF BALANCES, SCALES & PIPETTES BILLED ON NBS CALIBRATION INV #285425 AND PAID ON APV #00654321 DATED 8-15-12
CORRECT ENTRY (CE) –is created to correct an entry that has previously occurred in the Psoft Finance system using the wrong account codes or funding or errors due to keying error(s) on a previous AP voucher, AF or SSI journal. The original voucher, IDB or journal and date need to be referenced in the description. An example:
TO CORRECT FUNDING ERROR ON NBS CALIBRATION INV #285425 PAID ON APV #00654321 DATED 8-15-12. WRONG FUNDING USED.
OTHER - There is not a separate accounting form for an entry that would be classified as “OTHER” at this time. It applies to anything that doesn’t fit into the above definitions. This category will seldom be used as the majority of entries are for any of the above 4 categories. If you should have this type of entry to process it may be best to use the Spreadsheet Import journal.
An example of an “OTHER” journal entry would be an entry for adjusting sales tax from revenues (this entry should be done on a Spreadsheet Import per Sales Tax instructions):
REALLOCATE SALES TAXES FROM REVENUES TO SALES TAX PAYABLE FOR PERIOD JUNE 1 – 30, 2013.
For all forms, proper documentation to support the transaction is required. Each form has an “INSTRUCTIONS” link to follow if you have questions.
ACCOUNT CODES – Listing of account codes and their definitions may be found on the Accounting Office website: http://www.ndsu.edu/accounting/gl/accounts/
SPREADSHEET IMPORT TEMPLATE – may also be found, along with instructions, on the NDSU Downloadable forms page at: http://www.ndsu.edu/forms/#accounting1
Select “SPREADSHEET IMPORT TEMPLATE” – The spreadsheet imports are an electronic version of the Accounting Forms. It can be used for all types of entries. They are especially useful and more efficient when doing cash or cost transfer, or a correcting entry within your own funds. There is a drop-down menu to choose which category of entry you are making. A full explanation is required, including detailed information for each type of entry. This template will automatically fill in the required cells as you type in the funding and dollar amount information for your entry. The auto-fill cells are required to import into PeopleSoft correctly and should not be removed, or re-formatted. Do not “Unprotect” the worksheet for any reason. If you copy/paste from one worksheet to the template make sure you use the “Destination” formatting option for pasting.
The “Description” column (Q) should be used to fill in the original payment information when doing a Correct Entry or Cost Transfer. For example, when a purchase that was originally paid by a local fund needs to be distributed to different projects/funds, then fill in column Q with: REDIST APV00123456 5-31-13; OR: REDIST TELECOM/IT 5-31-13. Just remember that this column is limited to 30 characters. It will show up on a Budget Transaction report, so each line is its own description – do not try to put a lengthy description in the column over several lines to explain the entire entry.
For a billing, the invoice/date information could be included in the “Description” column, or for a Cash Transfer, something such as “Indirects for May, 2013”, or “Operational Support FY14, could be used.
When completing this form it is important to remember that the dollar amounts, when totaled, must equal zero. Any line that would fall under the “funds to be credited” section of an Accounting Form needs to be filled in on the template as a negative number. Any dollar amount that would be included in the top “funds to be charged” section is always a positive number. At the top of the form to the right of the description column, there is a cell stating “TOTAL OF AMOUNT COLUMN MUST EQUAL $0.00 – and will show you if you are not in balance.
If you would like to learn more about the use of the Spreadsheet Import template or have any questions on preparing one, please call Patty Lindgren at 231-9520 or email at firstname.lastname@example.org
231-9520 or email@example.com