Processing Summer Pay Fiscal Year Accruals

This section provides an overview of the steps for processing Summer Pay Fiscal Year Accruals, including prerequisites and cautions.

Prerequisites

To use the Summer Pay Fiscal Year Accruals option, you must complete preliminary setup steps in the System Administration, Fund Accounting and Human Resources Systems:

• In the Fund Accounting Profile, the Fiscal Year Start and Fiscal Year End date fields in the General section must be populated with the dates for the year entered in the Year field. These date fields are used when processing a payroll to determine if summer pay fiscal year accruals exist and need to be processed.

• In the Human Resources Profile, the Summer Pay Fiscal Year Accruals field on the Local System Options tab must be set to either E - Encumbrance Only or P - Encumbrance and Personnel Flag.

• If the Human Resources Profile's Summer Pay Fiscal Year Accruals field is set to P - Encumbrance and Personnel Flag, the Include in Summer Accruals field on employees' Personnel Tab must be selected. The Include in Summer Accruals field only displays with this profile setting.

• In Human Resources, you must set up and use payroll encumbrances to encumber salaries, benefits and workers' compensation.

• If you have projects associated with employees' pay rates that will be processed through Summer Pay Fiscal Year Accruals, you must determine which expenditure ledger to use as the "Clearing" ledger to create the journal entries for project charging.

Cautions

Before using the Summer Pay Fiscal Year Accruals option, consider the following:

• Texas Customers should not use this option - The Summer Pay Fiscal Year Accruals option does not process through the Texas Crosswalk.

• Refer to your State Regulatory prior to using the Summer Pay Fiscal Year Accruals option. If any of your State Regulatory reports use the detail distribution records, you should not use this option.

• For accurate accruals, you must use payroll encumbrances for the entire fiscal year.

• The batch journal entries created from the Summer Pay Fiscal Year Accruals Post option should not be modified for accurate accruals.

• Pay rate records for employees associated with Summer Pay Fiscal Year Accruals should not be modified after the Post option is run and before the last payroll associated with the summer pay fiscal year accruals has been processed. Updates to the pay rate records will result in incorrect accruals.

• The Redistribute Payroll option will not allow the redistribution of charges for distribution records that were processed through the Summer Pay Fiscal Year Accruals option.

Following are the steps for processing Summer Pay Fiscal Year Accruals. They are intended as a quick reference.

Fund Accounting

1. In Fund Accounting's Account List, you must add the liability accounts that will be used to process your summer pay fiscal year accruals, if they do not already exist. This step must be completed before running the Summer Pay Fiscal Year Accruals page's Load option, which will verify that the liabilities exist on the Account List. If not, you will receive an error on the log file generated during the Load, and no records will be loaded into the Summer Pay Fiscal Year Accruals.

2. In Fund Accounting's Balance Sheet option, you must create a general ledger record for each fund and liability account combination that will be used to process your summer pay fiscal year accruals. This also must be completed prior to running the Summer Pay Fiscal Year Accruals page's Load option, which will verify that the general ledger records exist. If not, you will receive an error on the log file generated during the Load, and no records will be loaded into the Summer Pay Fiscal Year Accruals.

For more information, refer to Fund Accounting Features.

Human Resources

1. In Summer Pay Fiscal Year Accruals, click Liability Setup on the page's Action Bar to create the liability accounts that will be used to process Summer Pay Fiscal Year Accruals. This step can be done at any time prior to running the Summer Pay Fiscal Year Accruals Load option.

2. After completing the final payroll of the current fiscal year and prior to starting the fiscal year end procedures for Summer Pay Fiscal Year Accruals, click Load on the page's Action Bar to create the summer pay fiscal year accrual records for all employees who have remaining balances to be paid on pay rates where the pay code is set to encumber salaries.

3. After the employees are loaded into the Summer Pay Fiscal Year Accruals option, review the data that has been loaded. To review the data in report format, click Report on the page's Action Bar, If applicable, click the Dot icon in the toolbar (Project Charging) and review the data that has been loaded for the projects. You can also click Report on the Summer Pay Fiscal Year Accruals - Project page to review the data in report format.
   Any changes that need to be made to the data in the Summer Pay Fiscal Year Accruals option must be made in the Employee Information detail page. You must run the Load option again to have the changes appear for the accruals. The Load can be run as many times a necessary until you are satisfied with your accrual records.
   It is recommended that if you delete any records that should not be processed through the summer pay fiscal year accruals, you should delete them after your final load has been run. If you delete before the final load, the deleted records will be loaded again.

4. Once you are satisfied with the accrual records, click Post on the Summer Pay Fiscal Year Accruals page to create the journal entries for the accruals in the Batch Journal Entries or Batch Last Year Journal Entries option. Once the post has been run, you will no longer be able to run the Load option for that fiscal year again.If you need these entries to be created for period 12 of the current fiscal year, you must run the Post option and post the batch journal entry prior to running Fiscal Year End in Fund Accounting.
   If you run the Post option after completing Fiscal Year End in Fund Accounting, the batch journal entries will be created for period 13 of the year you just completed.

5. After you have completed the final load and the post, you can run the Update New Year Rates for all employees that are not part of the Summer Pay Fiscal Year Accruals and proceed with your Human Resources fiscal year end procedures.

6. During each summer payroll that includes the employees in the Summer Pay Fiscal Year Accruals option, when you set up your pay run on the Pay Run Setup - Step 3 page, you must select the box to Process Summer Pay Fiscal Year Accruals. Complete your pay run as normal. The accrual records for the employees will be updated when the Fund Accounting Interface is run.

7. After the final summer payroll is complete, review the data in the Summer Pay Fiscal Year Accruals page. For employees with a 0.00 Balance, the Accrual Status will display as C - Completed. Some employees may have a few cents left in their Balance. Click Final Liquidation to set the Balance to 0.00, change the Accrual Status to C- Completed and create the batch journal entries for the remaining accruals.

8. Once your Summer Pay Fiscal Year Accruals are complete, you can run the Update New Year Rates option for the employees that were processed through Summer Pay Fiscal Year Accruals and prepare the employees' records for their first payroll of the new fiscal year.

9. To permanently remove completed records for a fiscal year from the Summer Pay Fiscal Year Accruals option, click Purge. This should only be done when the data is no longer needed by your organization.

For more information, refer to Human Resources Features.