Journal Entry Guidelines OBJECTIVES • • • • Common Definitions Journal Entry Guidelines Journal Entry Preparation Documentation Common Definitions • Journal Entry – The recording of financial data pertaining to business transactions. • Inter-Departmental Invoices (IDI) – Payment for goods or services performed for one campus department by another campus department. • Journal Entry Documentation – Information supporting the reason for the journal entry. Common Definitions • Correcting Entries - Journal entries made to move non-payroll transactions recorded in a fund and/or account to a different fund and/or account. • Allocations – are made by campus units to distribute revenues received by a control or central fund to related or supportive fund. Journal Entry Guidelines • Journal entries should be used to correct data previously posted to Banner. • Journal entries should not be done to circumvent university spending guidelines. • Expenses must be incurred before they can be reclassified to another fund or account. • Avoid using miscellaneous revenue and expense account codes if at all possible. • If a partial correction is made include partial in the description. Journal Entry Guidelines • When the entry requires the transfer of cash use transfer account codes, do not charge revenue and expense in the individual funds. • Inter-departmental invoices should be sent to Accounts Payable. • Journal entries must be signed by the preparer and the person who has budget authority. • Never use accounts ending with 000. • Send any entries involving grant funds to RCM Office first. • Ant funds starting 139XXX or 6XXXXX should go to Treasury Services. Journal Entry Guidelines • Do not use a negative number in the debit or credit field. • Debits and credits must equal. • Journal entries cannot be used to correct prior year activity as it relates to the General Fund. • If the prior year correction involves nonGeneral Funds a correction can be made. It would be best to use transfer account codes. Journal Entry Guidelines • Budget revisions cannot be made using the journal entry form, they must be made using the BD606 or BD607 forms. These forms are available at: http://finance.uncc.edu/forms • At this site scroll to the Budget Office forms. Journal Entry Preparation • From the same link (see following), you can access the journal entry form. http://finance.uncc.edu/forms • From the above site scroll down to Journal Voucher Form, under General Accounting. • If using a form saved in Excel make certain It is the most up to date version. Journal Entry Preparation • From the following site you may view the journal entry guidelines. • http://finance.uncc.edu/controllersoffice/general-accounting • On the right hand side of the page is a section titled ‘General Accounting Resources’ • Click on the Journal Entry Guidelines. Journal Entry Preparation Journal Entry Preparation Journal Entry Preparation Journal Entry Preparation Journal Entry Preparation Journal Entry Preparation Journal Entry Preparation Check for Error Messages Documentation Thank you! Any questions?