Year-End
Brown-Bag
Beth Tapp
May 10, 2017
What is “Year-End”
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University’s fiscal year-end is June 30th
• Begins before June 30th
• Ends at the end of October
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Year-end finalizes the activity (revenues and
expenses) for the fiscal year
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Financial Statements & the Annual Report are
completed
Why is Year-End Necessary?
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University’s Annual Report is used by various
organizations. For example:
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State of Minnesota
• Legislators
• Included in the State’s Annual Report
Sponsors & Donors
Accreditation Boards
Bondholders for University Debt
Rating Agencies
Parents of Students
Important Dates
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May 16th:
• Last Day for UMF bills
• Last day for PUF invoices for UMF
• Unclaimed property reports due to Accounting
Services
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June 22nd:
• Last day for requisitions and change orders
requiring Purchasing Services review
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June 23rd:
• Last day for requisitions & change orders
• Last day to enter PO-related receipts & vouchers
• Last day for non-PO vouchers
• Last day for PCard and Expense Reports
Important Dates (cont’d)
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June 30th - Last day for Cash Deposits
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July 11th:
• Last day for Period 12 Retros
• Last day for Period 12 journal entries
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July 12th:
• Period 12 closes
• Period 913 opens
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July 13th - Last day for Period 913 Retros
Important Dates (cont’d)
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July 14th - Last day for Central entries posting to
departments.
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July 16th - Carryforward run for Period 12
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July 19th - Last day for Period 913 journal entries
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July 20th - Period 913 closes
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July 30th - Carryforward run for Period 913
Best Practices
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Best practices for departments charging other units:
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Notify department of charges before making entry
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Don’t post charges on the last day before the
period closes
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Consider not charging another unit within 3
business days of the period close. Example:
• No charges to another unit after:
• Period 12: July 7th
• Period 913: July 14th
Accounts Receivable
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Invoices created in FY17 (non-UMF):
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Cash not received:
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You billed an invoice in FY17, it generated a positive amount
in revenue and a negative amount for accounts receivable.
The net effect is $0 and the invoice did not influence your
bottom line.
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In FY18, the beginning balance is $0 for this invoice. The
payment is received, generating a positive amount in
Accounts Receivable and a negative amount to a Central
cash account. Now, your balance is positive in UM Reports.
New PO Criteria for FYE 2017
• POs with an encumbrance of less than $2,500 will be
closed
– Regardless of when they were created
– Regardless of when they were last paid
• Reduces PO volume by approximately 4,000 POs
(four less roll ranges)
• Lower roll volume helps eliminate risks
Other PO Reduction Closures
• All U Market POs, except those with equipmentrelated categories/Accounts
• POs created 15 months ago or longer with no
voucher activity after 4/1/2016
• Blanket orders totaling less than $50K that are
older than three years (created before 6/1/2014)
• POs with errors or ineligible status
Ineligible to Roll Examples
• POs that are not in dispatched status with a valid
budget
• Partial receipts: receipt does not have a voucher;
quantity or amount imbalance
• POs with voucher errors (examples: match
exceptions, budget exceptions)
• POs with $0 lines
Resolve Budget Errors Now
• Budget errors are worst-case scenarios
• If they are not resolved by FYE:
– Purchasing has to force close them
– Encumbrances will be forever trapped
– These CANNOT be fixed or reversed
– Reports will always show the encumbrances
– FY17 will NOT be opened to fix these errors
Requisition Cleanup Reminders
• Procurement Specialists are strongly encouraged
to attend FYE Sessions
• Preparers: please clean up your requisitions
– Thousands of old reqs haven’t been cancelled
– 60 day old+ reqs will get closed starting June 1
– Do NOT cancel requisitions in budget error or they
will forever be in error and show on reports
– Contact the Financial Helpline for assistance
Ordering from U Market
• Plan ahead
• U Market orders must be placed and approved
by Friday, June 23 at 2:00 pm
• During cut-off period
– Phone orders will be accepted by U Market Services
for “U Market Stock” items only
PCard Reminders
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Cardholders can continue to use cards
PCard files will continue to load daily
Cardholders may still access My Wallet
Activity that must be posted to FY 17 must be
processed to an ER by the deadline
• 90+ day unapproved transactions will be forced
onto an ER starting June 1
Resources
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Year-end Calendar:
http://finsys.umn.edu/fye/index.html
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Unclaimed Property:
http://finsys.umn.edu/generalledger/unclaimedproperty.html
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Annual Report:
http://finsys.umn.edu/index.html
note: PDF is on right-side
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Questions:
[email protected]
Questions?