Statewide Financial System Program 1 GL 205 Processing Journal Entries Welcome.

Statewide Financial System Program1

GL 205GL 205Processing Journal EntriesProcessing Journal Entries

GL 205GL 205Processing Journal EntriesProcessing Journal Entries

Welcome


Refrain from side conversations

Obey building safety rules and regulations

Silence cell phones, PDAs, refrain from checking email

Ask Questions

Take breaks as needed

Ground Rules


Learning Objectives

After completing this course you should be able to:

Create, Validate, Approve, and Post Journals.

Use Journal Entry Tools

Process Intra- and Inter-Agency Journals

Create Standard Journals.

Inquire Upon Journals and Ledgers.

Run General Ledger Reports.

Explain the scope of SFS General Ledger (GL) training.

Locate additional training materials, job aids, and other useful information.


Training Methodology

Training Steps:

Tell Me – Facts, Concepts, Terms, Definitions. Show Me – Relevant Demonstrations of Process Steps. Let Me – Hands-on practice in User Productivity Kit (UPK) and

Live Environment. Help Me – Facilitator Support.

Training Materials:

Course Presentation. UPK Simulations. Training Exercises and Data Sheets. User Guide and Job Aids.


Agenda

SFS GL Terms & Concepts

Entering, Validating, and Submitting Journals

Using Journal Entry Tools

Processing Intra- and Inter-Agency Journals

Processing Standard Journals

Inquiring and Reporting Upon Journals

SFS GL Learning Path and Resources



In this lesson, you should learn:

Key SFS General Ledger terms and concepts.

Key SFS General Ledger process changes.

Key SFS General Ledger ChartField values.


Key Terms and Concepts


Term / Concept Definition

ChartFields ChartFields can be thought of as “short codes" that represent a longer string of numbers used to categorize financial and budget transactions. Collectively, these basic fields make up the Chart of Accounts (COA). For example: Program, Fund, and Account.

Ledgers Ledgers summarize posted general ledger journals for a set of ChartField values by accounting period and fiscal year. Multiple detail Ledgers can be linked together in a Ledger group.

GL Workflow An automated process that allows journals to pass from one approver to another for approval / denial. Rules are set up in the system to determine the workflow paths and approval limits.

Budget Check Compares encumbrance & expenditure transactions against remaining budget to determine if a transaction should be allowed to post.


Process Changes (1 of 4)


Old Process New Process

Many agencies create journal entries using one side of the entry and the current systems provide the other half of the entry.

SFS requires two-sided entries, so accounting entries must be correctly entered with balanced debits and credits by fund and GL business unit.

Journal vouchers are entered into CAS after review and approval outside of a system.

SFS contains multiple levels of automated workflow approval for GL journals.

An agency’s Journal Vouchers are entered, then forwarded to OSC for final approval. After OSC approval, journals are completed.

Agencies enter GL transactions directly into SFS where they are subject to both agency and OSC approval via an automated workflow process.





Some agencies have immediate checking for invalid account and cost center combinations because their legacy systems will not let them enter an invalid accounting string.

Agencies check the validity of ChartField combinations after the transaction is entered (combo-edit process).

Current systems operate on Cash Basis accounting.

Agencies use Modified Accrual Accounting (MACR) with SFS, which introduces the concepts of assets and liabilities.

Current systems do not require accounts to be balanced by agency.

SFS requires entries to be balanced by agency (GL business unit), which may introduce transactions and accounting principles unfamiliar to users.





Agencies make changes to the Chart of Accounts they manage in their agency-specific legacy systems.

All changes to the Chart of Accounts will be subject to the governance and completed centrally.

OSC validates interagency payment requests against a running cash balance calculation.

SFS validates cash availability at time of payment. This is the same general process as is currently used, but will be enforced throughout SFS.

Journal Vouchers are the method by which changes are made to ledgers.

Journal entries will be the method by which changes are made to ledgers, however, they are designed to be used only when it is not appropriate to make the change to the ledger from the originating module.





Agencies re-enter a journal as a new journal voucher when there is a need for an identical transaction.

Agencies copy a previously applied journal entry and use it as a new journals.

Agencies re-enter a journal when it occurs in a recurring manner.

Agencies define a set of criteria that will control the recurrence of a journal entry.

Journal entries (Journal Vouchers, or JVs) are entered directly into CAS. JVs are used to adjust or correct entries.

Agencies record adjustments in the system of original entry instead of directly into the General Ledger. If not available in the other modules, users will make other adjusting journal entries directly to the GL.



At the transactional level, the SFS Chart of Accounts is comprised of two elements:

General Ledger Business Unit (BU) – Defined for each entity that maintains and reports on its own transactional data.

Chartfields – Codes used to categorize financial and budget transactions.

• Statewide chartfield segments include Department, Program, Fund, Account (CAS Object code).

• Agency-specific chartfields include Operating Unit and Product.

The SFS Chart of Accounts may be explored further in the GL 105: Introduction to Chart of Accounts course.

More details about the SFS Chart of Accounts may be obtained at:

Chart Of Accounts


Entering, Validating & Submitting Journals


How to enter and validate journals

How to inquire upon combination edit rules

How to submit journals for approval

How to approve journals

How to review journal statuses



The basic steps of the SFS General Ledger process are depicted below.



A Journal Entry, or “journal”, in SFS is used to record financial transactions directly to the General Ledger, including to transfer spending or revenue between programs, accounts, funds, or other categories either within or between agencies.

Journals may be subject to differing levels of workflow approval, dependent on their origin or chartfield combinations. The resulting financial transactions are posted in the modified accrual ledger and, as appropriate, the cash ledger.

Agencies and OSC may also post Journals to accrual adjustment ledgers to support financial reporting needs.

According to Generally Acceptable Accounting Principles (GAAP), journals are entered using a double-entry system, where debits equal credits.



Transactions

Entering and validating journals

Inquiring upon combination edit rules

Submitting journals for approval

Approving journals

Reviewing journal statuses


Learning Exercise

Navigation Refresher

You have been asked to find a journal entry.

You must search for a Journal ID.

10 min

Note: Please refer to your exercise sheet handouts which contain the data you

need to complete this activity. The job aid can be used to assist you.


Learning Exercise

Entering and validating a journal

You have been asked to enter a journal to record a revenue transfer.

You must create a journal.

20 min




Learning Exercise

Entering and validating a journal

You have been asked to enter a journal to record a revenue transfer.


20 min






How to create Speed Types

How to enter journals using Speed Types

How to reverse journals

How to copy journals

How to print journals

How to delete journals



Speed Types are shortcut codes that are used to speed up journal entry by automatically populating pre-defined ChartField combinations.

Journals can be reversed to correct errors and make necessary adjustments. Reversals can be made by creating a new reverse journal entry, or by copying an existing journal.



Transactions

Creating Speed Types

Entering Journals Using Speed Types

Reversing Journals

Copying Journals

Printing Journals

Deleting Journals


Learning Exercise

Entering journals using Speed Types

You have been asked to enter a journal to reclass undistributed revenue to actual revenue accounts in SFS.


15 min






How to enter Intra-Agency journals

How to enter Inter-Agency journals



Intra-Agency - GL journal between Funds

Inter-Agency - GL journal between Business Units



Transactions

Entering Intra-Agency Journals

Entering Inter-Agency Journals


Learning Exercise

Entering Intra-Agency Journals

You have been asked to enter an Intra-Agency journal to reclass expenditures between Funds.


15 min




Creating Standard Journals


How to create and identify model journals

How to define standard journals

How to review standard journals



Standard journal entries (SJEs) enable the user to automate the entry of similar or identical journals.

There are two types of SJEs in use in SFS:

Recurring – any entry that is periodically generated according to a schedule, such as monthly rent, lease payments, and depreciation

Template – a data-entry model for other journals that can automatically be reproduced on a fixed schedule, or use on request



Transactions

Creating/identifying model journals

Defining standard journals

Reviewing standard journals


Learning Exercise

Defining recurring standard journals

You have been asked to define recurring journal parameters monthly using a model journal.

Define the parameters to create standard journals.

15 min






How to resolve budget check errors

How to run a report in General Ledger

How to inquire upon journals

How to inquire upon ledgers


Budget check errors found during the Journal Edit process must be resolved before the journal can be submitted for approval.

SFS has a number of ledgers:


Term / Concept

Definition

MOD_ACCRL The main ledger.

CASH The cash-basis ledger.

ACCRUAL Used for GAAP entries that are not part of the MOD_ACCRL ledger.

AGY_ACCRL Used for agency-specific GAAP entries that are not part of the MOD_ACCRL ledger.

ADBMTD Used to support STIP calculations and entries.



Transactions

Resolving budget check errors

Running a report in General Ledger

Inquiring upon journals

Inquiring upon ledgers




The SFS GL training structure.

Where to find training materials and resources.



SFS GL Training Structure



Location of Training Materials and Class Preparation Aids

Location

All Training Courses http://www.sfs.ny.gov/index.php?option=com_content&view=article&id=127&Itemid=658

Job Aids and Reference Materials

http://www.sfs.ny.gov/index.php?option=com_content&view=article&id=124:job-aids-and-reference-materials&catid=83:training-toolkit&Itemid=668

Reporting Toolkit http://www.sfs.ny.gov/index.php?option=com_content&view=article&id=185&Itemid=695

Quick Start Guides http://www.sfs.ny.gov/index.php?option=com_content&view=article&id=138:quick-start-guides&catid=83:training-toolkit&Itemid=678


Summary

Having completed this course, you should now be able to:

Create, Validate, Approve, and Post Journals.

Use Journal Entry Tools

Process Intra- and Inter-Agency Journals

Create Standard Journals.

Inquire Upon Journals and Ledgers.

Run General Ledger Reports.

Explain the scope of SFS General Ledger (GL) training.

Locate additional training materials, job aids, and other useful information.


Thank you for your participation!

Conclusion


Slides for Agency Use (Arial, Font 36)

Agency specific Heading (Arial font 24)

Topic 1. (Arial Font 20)

Topic 2.

Topic 3.

Topic 4.

Topic 5.


Slides for Agency Use (Arial Headings, Font 36 for single line, 32 for double lines)

In this lesson you should learn: (Arial font 24)

Topic 1. (Arial Font 20)

Topic 2.

Topic 3.

Topic 4.

Topic 5.


Slides for Agency Use (Type Topic here)

Agency Specific Key Terms and Concepts (Arial Font 24)

Term / Concept Definition

Term / Concept name (Arial Font 18)

Definition of Term / Concept (Arial Font 16)

Statewide Financial System Program 1 GL 205 Processing Journal Entries Welcome.

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