YearEnd Presentation FY 21 Closing and FY 22

Year-End Presentation FY 21 Closing and FY 22 Opening Procedures University Payables Purchasing University Payroll & Benefits University Accounting & Financial Reporting 10/19/2021 1

Session Objectives The objective of this presentation is to enhance the understanding of the information published in the University of Illinois System FY 21 Closing/FY 22 Opening Procedures document. At the end of this presentation, you will be able to: § Understand the importance of implementing year-end closing and opening procedures for your unit § Anticipate year-end impact on daily activities § Plan for critical year-end dates § Work with 2 fiscal years § Identify unique characteristics of various funds § Locate helpful resources and links 10/19/2021 2

System Impact Annual Financial Report § Stakeholders § External Auditors § State Regulations What’s In This For Me! § Do you make purchases, responsible for finding your FOAPAL balances? § Do you reconcile your FOAPALs? § Peace of mind 10/19/2021 3

Year-End Terminology Important Terms § Accounts Receivable § Allowance for Uncollectible Accounts § Fiscal Year § Lapse Period § Unearned Revenue § Prepaid Expenses 10/19/2021 4

Year-End Terminology Important Terms § Encumbrances § Overdraft § Excess Funds § Transaction/Default Date § Preliminary Statement § Period 12 § Period 14 10/19/2021 5

Mark Your Calendars § June 30: End of FY 21 § July 1: New fund codes, default codes, index codes § July 2: T-Card, Travel/Misc Invoices, TEM approvals § July 16: P-Card, i. Buy, JVs, Receiving Reports, FABweb § July 17: P 12 Closed § July 30: FY 21 State appropriations (100021) invoice vouchers to Payables § July 31: P 14 Closed § August 20: FY 21 State appropriations (100021) § JV’s, approval queues, receiving reports 10/19/2021 6

i. Buy § June 4: Discontinue use of FY 21 state fund § July 1: FUND CODE CHANGES! § Profiles must be manually updated from 100021 to 100022 § July 16: Departmental approval queues must be cleared § Approve or reject ALL requisitions 10/19/2021 7

PO Encumbrances § September 1 § All orders with a balance of zero are automatically closed. § All FY 21 State Funded orders are closed § All Standing Orders are reviewed and closed (if appropriate). § All remaining open Standing Orders must be closed via request. § All Regular Orders with a remaining encumbrance are left open unless a request is sent. § Send requests to: § UIUC – Service Desk Request Form § UIC – uicpurchasing@uillinois. edu § UIS – uispurchasing@uillinois. edu 10/19/2021 8

Purchase Order Reports § Renewal of FY 21 Standing and Multi-Year Orders § List of orders that Purchasing believes may need renewal § Procedures to renew or establish annual Order § Receipts Required Report § July 16 th for FY 21, otherwise posts to FY 22 § August 13 th if using State Fund code 100021 10/19/2021 9

Common Processing Errors All FY 22 Requisitions need to have a Transaction Date of July 1, 2021 or later. 07/01/2021 An incorrect transaction date will cause Purchasing to be unable to process a corresponding PO, and the requisition will have to be cancelled and re-submitted with the correct Transaction Date. 10/19/2021 10

Common Processing Errors If you are cancelling an FY 22 requisition with a Transaction Date of July 1, 2021, or later, your Cancel Date must also be July 1, 2021, or later. 07/01/2021 Using a Cancel Date that is before the Transaction Date will prevent the completion of the cancellation. Your requisition will remain active and could be assigned a Purchase Order, which would cause an encumbrance on your FOAPAL. 10/19/2021 11

Common Processing Errors – i. Buy Requisitions All FY 22 Requisitions initiated in i. Buy must have an Accounting Date of July 1, 2021, or later. 07/01/2021 10/19/2021 12

Purchasing Contacts Urbana-Champaign § Service Desk Request Form (217) 333 -3505 Chicago § uicpurchasing@uillinois. edu (312) 996 -2850 Springfield § uispurchasing@uillinois. edu (217) 206 -6606 System Offices § procurement@uillinois. edu (217) 333 -9289 10/19/2021 13

UPAY Critical Dates July 1 § All P-Card default C-FOPs on state funds will be converted automatically from the FY 21 fund code to the FY 22 fund. § All Travel and Expense Management (TEM) project codes which contain an FY 21 state fund will be copied and new FY 22 project codes will be created. July 2 § Vouchers/Invoices to Payables by 5: 00 PM—all funding sources § All FY 21 PO-related invoices and other invoices which are not appropriate to process via TEM. § All travel and other reimbursement expense reports for travel or purchases made prior to July 1, 2021. July 16 § Departments must create general encumbrances by 5: 00 PM for FY 21 petty cash and travel expenditures incurred but not reimbursed by June 30 10/19/2021 14

UPAY Critical Dates July 16 transactions completed/approved 5: 00 PM § All FY 21 transactions, including general ledger and accounts payable transactions, routed to approval queues. § All P-Card transactions with a transaction date of June 30, 2021, or earlier must be reconciled and approved in the P-Card system. § Any unapproved P-Card transactions still on FY 21 state funds at the end of Period 12 will be converted automatically from the FY 21 fund code to the FY 22 fund code. § All receiving reports required for FY 21 purchase orders must be completed in Banner. § All i. Buy departmental invoice acknowledgements must be completed. 10/19/2021 15

P-Card June 30 § Last swipe date for FY 21 funds July 1 § All P-Card default C-FOPs on state funds will be converted automatically from the FY 21 fund code to the FY 22 fund. § Any unapproved P-Card transactions still on FY 21 state funds at the end of Period 12 will be converted automatically from the FY 21 fund code to the FY 22 fund code. July 16 § All P-Card transactions with a transaction date of June 30, 2021 or earlier must be reconciled and approved in the P-Card system by 5: 00 PM. General encumbrances are not required 10/19/2021 16

General Encumbrances Why? § § State, Institutional Funds, Self Supporting Use for Petty Cash, Travel Expenditures, contractual services Not for Internal Transactions or P-Card/T-Card, Stores, i. Buy General Encumbrance number must be referenced in the upper right hand corner of voucher submitted for payment. When? § July 16 established in Banner § July 17 roll to FY 22 How? § FGAENCB or General Encumbrance Training 10/19/2021 17

Travel & Miscellaneous Reimbursements § Travel and other reimbursable expenses incurred prior to July 1 must be recorded in FY 21. § Travel and other reimbursable expenses incurred after June 30 must be recorded in FY 22. § July 2 T-Card Transactions reconciled and approved by 5: 00 p. m. 10/19/2021 18

Helpful Hints from Payables § Track and adjust all encumbrances to ensure balances meet expenses prior to June 30 § Review all forms/documents for: § Accurate, complete information § Signatures/approvals § Provide correct PO number to vendor § Particularly if department has active standing orders for FY 21 and FY 22 with same vendor § Complete receiving reports in Banner in a timely manner § FY of payment is determined by the date of goods/services receipt, not order date 10/19/2021 19

Payables Contacts If you need additional information: University Payables Customer Service and Inquiry Help Desk § Service Desk Request Form § OBFSUPAY@uillinois. edu § (888) 872 -9953 Phone § (217) 333 -6583 Phone 10/19/2021 20

Payroll Calculation Dates June 29 § BW 14 § Departmental approvals by 12 noon § Superusers must complete approvals by 5: 00 p. m. June 30 § Current pay period adjustments must be submitted through PARIS by 10: 00 a. m. 10/19/2021 21

Payroll Calculation Dates July 8 § MN 7 July 9 § Current pay period adjustments must be submitted through PARIS by 10: 00 AM 10/19/2021 22

Payroll Calculation Dates July 13 § BW 15 § Departmental approvals by 12 noon § Superusers must complete approvals by 5: 00 p. m. July 14 § Current pay period adjustments must be submitted through PARIS by 10: 00 a. m. 10/19/2021 23

Payroll Calculation Dates Prior Underpayment Adjustments § June 18 § Submitted in PARIS by 5 pm will be paid on Friday, June 25 § Submitted in PARIS by 5 pm will be paid on Friday, July 2 § Submitted in PARIS by 5 pm will be paid on Friday, July 9 § Submitted in PARIS by 5 pm will be paid on Friday, July 16 § Submitted in PARIS by 5 pm will be paid on Friday, July 23 § This will post in FY 22 10/19/2021 24

2021 Year-End Payrolls § 2021 BW 15: 30% FY 21 and 70% FY 22 § 2021 MN 7: 50% FY 21, 50% FY 22 § 2021 MN 7: State Funded 9 over 12 are 100% FY 22 § FY 21 accrual pay periods BW-998, MN-999, BW-999 § Mobius View and My-UI-Financials—Payroll Expense by Person reports § HRPAY 00104 -pay period version § HRPAY 00103 -month end version 10/19/2021 25

Labor Redistributions Fiscal-Year-End Deadlines for Labor Redistributions Performing Year-End Labor Redistributions job aid July 9 § Must be approved (disposition 60) in Banner by 5: 00 PM to be included in the June Preliminary Statements. July 15 § Last redistribution opportunity for FY 21 § Must be approved (disposition 60) in Banner by 5: 00 PM to be included in June Period 12 Statements. Labor Redistribution Page (PZAREDS) 10/19/2021 26

Labor Redistributions - PZAREDS 10/19/2021 27

Labor Redistributions BW 14, MN 6, and earlier § Posting Date field = June date BW 15, MN 7 § Posting Date field = Leave blank MN 7 9 over 12 (Eclass AA, AB, BC, BD) § Posting Date field = July date 10/19/2021 28

Helpful Hints from UPB § Review deadlines found on the Payroll Schedules § Payments made in error on a state or grant fund need to be redistributed to an unrestricted fund to ensure proper credit when payment is repaid or corrected § Review Payroll Expense by Person reports found in Mobius View or My-UI-Financials § HRPAY 00104 -pay period version § HRPAY 00103 -month end version § Verify Posting Date on Labor Redistribution Page (PZAREDS) 10/19/2021 29

UPB Contacts University Payroll & Benefits § Customer Service Representatives • • 10/19/2021 Chicago: (312) 996 -7200 Springfield: (217) 206 -7144 Urbana: (217) 265 -6363 Payroll Inquiries – payinq@uillinois. edu 30

Other Important Transactions Accounts Receivable § June 17 (SAR) and (GAR) feeders no back dating 5: 00 p. m. § June 30 (SAR) and (GAR) manual charges and credits 5: 00 p. m. Deposits § June 30 All monies for FY 21 must be received by 2: 00 p. m. Petty Cash and Change Funds § July 1: Annual Renewal Forms 10/19/2021 31

Reports June Preliminary Reports § Cut off July 10, available July 12 § Mobius View folder name Jun 28, 2021 12: 00 AM June P 12 Reports § Close July 17, available July 19 § Mobius View folder name Jun 29, 2021 12: 00 AM June P 14 Reports § Close July 31, available August 2 § Mobius View folder name Jun 30, 2021 12: 00 AM 10/19/2021 32

Encumbrances § Open Encumbrance Report § Banner—Organizational Encumbrance List Page (FGIOENC) Job Aid § EDDIE and My-UI-Financials—FIGL Encumbrance Balances § Mobius View—FIGLENCUM# § Mobius View and My-UI-Financials—Payroll Encumbrance by Person § HRPAY 00102—Month end § HRPAY 00098—Pay Period 10/19/2021 33

Fixed Assets • July 1: Equipment received, gifted, or fabricated • July 2: Construction completed • July 16: New acquisition details • July 21: Software development completed • July 21: Transfers and Disposals completed § Capitalization and depreciation calculations • Corrections/Changes § Each item requires 1 debit and 1 credit § JV transaction date • July 24 -31: FABweb unavailable 10/19/2021 34

Fact Sheets § Who needs to complete a Fact Sheet? § All Self-Supporting Funds § When does it need to be completed? § Carefully review P 12 reports § July 21 - received by University Accounting Services § Subject to audit § Upcoming Fact Sheet Webinars § June 10 and July 7 10/19/2021 35

Helpful Hints from UAFR § June 1: Terminate Inactive FOAPAL segments § Payroll Encumbrances § Liquidate on July 3 § FY 22 will calculate approx. July 17 § Transaction Date field controls fiscal year § Use My-UI-Financials Resource Page § Gift Fund FAQs § Accounting & Financial Reporting Frequently Asked Questions § Guide to Finding Your “Accounting String” Balance 10/19/2021 36

Journal Voucher Mass Entry – FGAJCM 10/19/2021 37

Journal Voucher Entry - FGAJVCD 10/19/2021 38

Journal Voucher Quick - FGAJVCQ 10/19/2021 39

UAFR Contacts Accounting & Financial Reporting Who to Ask Servicedeskaits@uillinois. edu • (217) 333 -3102 Urbana-Champaign and Springfield • (312) 996 -4806 Chicago 10/19/2021 40

State Funds § June 4: Discontinue use of state fund in i. Buy § July 1: State Fund 100021 to 100022 § July 2: TEM, Misc. Invoice/Travel vouchers; T-Card reconciled and approved § July 16: PO Receiving reports completed § July 16: General Encumbrances established § July 28: Request exchange state & institutional: Budget Office 10/19/2021 41

State Funds § Lapse Period § Received before July 1 st 100021 § Received after June 30 th 100022 § July 30: All FY 21 State appropriations (100021) invoice vouchers/travel to Payables § August 13: All FY 21 State appropriations (100021) JV and receiving reports § No transactions post to 100021 after the close of period 02, FY 22 10/19/2021 42

Institutional Support Funds § July 2: TEM, Misc. Invoice/Travel vouchers; T-Card reconciled and approved § July 16: P-Card reconciled and approved; New Equip. § July 16: PO Receiving reports completed § July 16: General Encumbrances established § July 17: Encumbrances roll § July 28: Request exchange state & institutional: Budget Office § Aug 1: Beginning Budget Balances 10/19/2021 43

Self-Supporting Funds § Subject to Excess Funds calculations § July 2: TEM, Misc. Invoice/Travel vouchers; T-Card reconciled and approved § July 16: General Encumbrances established § July 16: P-Card reconciled and approved; New Equip. § July 16: PO Receiving reports completed § July 17: Encumbrances/GL Balances/Requisitions roll § July 21: Fact Sheets due to University Accounting Services § Early September Unrelated Business Income Tax schedules 10/19/2021 44

Practice Plans § July 2: TEM, Misc. Invoice/Travel vouchers; T-Card reconciled and approved § July 16: P-Card reconciled and approved; New Equip. § July 16: PO Receiving reports completed § July 17: Encumbrances/GL Balances/Requisitions roll § July 21: Fact Sheets due to University Accounting Services 10/19/2021 45

Gift & Endowment Income Funds § June 11: Reinvest endowment income § June 30: Deposits to UIF § June 30: Depts. clear all overdrafts § July 2: TEM, Misc. Invoice/Travel vouchers; T-Card reconciled & approved § July 16: P-Card reconciled & approved; New Equip. § July 16: PO Receiving reports completed § July 17: Encumbrances/GL Balances/Requisitions roll 10/19/2021 46

Grants and Contract Funds § May 16: Clear Sponsored projects overdrafts (400000 -599999) § July 1: Yes, Year-End applies to Grants and Contracts § July 2: TEM, Misc. Invoice/Travel vouchers; T-Card reconciled and approved § July 16: P-Card reconciled and approved; New Equip. § July 16: PO Receiving reports completed § July 16: State of Illinois sponsored projects (560000 -599999) expenditures 10/19/2021 47

Other Non-State Funds § May 16: Eliminate overdrafts § June 1: Request to terminate inactive funds § July 2: TEM, Misc. Invoice/Travel vouchers; T-Card reconciled and approved § July 16: P-Card reconciled and approved; New Equip. § July 16: PO Receiving reports completed § July 17: Encumbrances/GL Balances/Requisitions roll 10/19/2021 48

It’s July 1 – Now What? FY 22 System Changes in Banner § State Appropriations new fund code 100022 § FWS converts to FY 22 498122, 498222, 498422 § Index codes/defaults, override to use FY 21 fund § P-Card/T-Card C-FOP will change to new fund numbers § State Appropriation on labor distribution ***Default date on transactions to FY 22*** Manually update your i. Buy profile for the State fund Manually change the Transaction Date to June for FY 21 10/19/2021 49

Audit Improvements § Awareness of University Policy and Procedures § Adhere to published deadlines § Timely reconciliation 10/19/2021 50

Links and Resources § OBFS » Accounting & Financial Reporting » Year-End Procedures § OBFS » Payroll & Benefits » Payroll Schedules § OBFS » Accounting & Financial Reporting » Year-End Procedures » Fiscal-Year-End Deadlines for Labor Redistributions § http: //www. obfs. uillinois. edu/about-obfs/who-to-ask / § http: //www. obfs. uillinois. edu/training/materials / § http: //www. obfs. uillinois. edu/i. Buy/ § http: //www. obfs. uillinois. edu/card-services/P-Card/ § http: //www. obfs. uillinois. edu/payments/ § http: //www. obfs. uillinois. edu/payroll/ § http: //www. obfs. uillinois. edu/accounting-financial-reporting / 10/19/2021 51

Links and Resources § OBFS » Training Center » Job Aids & Training Materials » Payroll & Benefits Training Materials » Labor Redistribution: § Performing Labor Redistributions § Year-End Labor Redistributions § OBFS » Accounting & Financial Reporting » Year-End Procedures » Fact Sheets § OBFS » Purchases » Reports § Receipts Required Report § Renewal of Standing and Multi-Year Orders - select the appropriate location § OBFS » Accounting & Financial Reporting » Reports » Encumbrance Reports » Open Encumbrance Report § OBFS » Purchases » Ordering & Payment Methods » Banner Orders » Process to Reduce Standing Purchase Order Encumbrances 10/19/2021 52

Questions 10/19/2021 53