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DMAS Departmental Management Accounting System Controller’s Office Training Presentation Updated January 7, 2015

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DMAS Departmental Management Accounting System. Controller’s Office Training Presentation Updated February 2014. Objectives of This Presentation. Account Numbers and Their Attributes Sub-Object Codes Transaction Types and Codes Batch Reference ID Transaction Fields Important Formulas. - PowerPoint PPT Presentation

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Page 1: DMAS Departmental Management Accounting System

DMASDepartmental Management Accounting System

Controller’s OfficeTraining Presentation

Updated January 7, 2015

Page 2: DMAS Departmental Management Accounting System

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Objectives of This Presentation

Recognize terms and concepts you will encounter while using the University’s computerized accounting systems

Use the DMAS screens as tools for your monthly account reconciliations

Recognize the numerous subsystems that feed transactions into accounts

Follow the guidelines provided for reconciling subsidiary and general ledger accounts

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TERMS & CONCEPTS TO BE FAMILIAR WITH

Account Numbers and Their AttributesSub-Object CodesTransaction Types and CodesBatch Reference IDTransaction FieldsImportant Formulas

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Subsidiary Ledger (SL) Accounts and Their Attributes

• The purpose of the account • The Responsible Person generally has primary responsibility for control of

the activity within the account• The 5 digit Department # & 2 digit Sub – Dept. # that the account belongs to • Account fund group • Only Sponsored Accounts (start with a 6) have an end date • Accounts have year end codes as follows:

• P (project year) - balances that accumulate from the start date to the end• F (fiscal year) - accounts do not have an end date and the balance may or

may not carry forward to the new fiscal year• The account status may be open, frozen or deleted

Accounts attributes or characteristics include the following:

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General Ledger (GL) Accounts

These are the accounts that start with a zero

The analysis of the associated General Ledger accounts in DMAS should not be overlooked as it is an important part of the account reconciliation process

Control codes 1XXX and 2XXX balances need to be reviewed except for Control codes 1100 (Claim on Cash) and 2100 (Accounts Payable) which are both system generated

Be prepared to provide support and answer questions for any GL balance

Be proactive to avoid last minute phone calls and e-mails at year end

Contact Medical Finance for questions regarding GL accounts at Medical campus

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Frozen Account Status

Transactions are prevented from posting to frozen accounts unless there is an outstanding open commitment for the item

All other transactions to frozen accounts will default to a suspense account within the Controller’s Office for further research and clearing to an approved active account number

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Delete 1 & Delete 2 Status

When an account is placed in “delete 1”

status, all outstanding open

commitments have cleared and

transactions can no longer be posted into the account.

Accounts placed in “delete 1” status will systematically roll to “delete 2” status at the end of the fiscal

year.

The account will remain in “delete 2”

status in the FRS system until the end

of the following fiscal year at which

time it will be systematically

purged from the system and may no longer be viewed in

FRS.

Although FRS does not display a

deleted account after it is

systematically purged, DMAS does

display historical data for 10 fiscal

years prior to current fiscal year.

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Sub-Object Codes

Sub-object codes are 4 digit codes to be used along with the 6 digit account number

Sub-object codes are categories used to record transactions in the Subsidiary Ledger (revenue/expenses)

Always provide the full 10 digits (account & sub-object) when processing requisitions, eBERF’s, journal entries and all other transactions

A listing of revenue/expenses and their explanation is found on the Controller’s Office web site in the General Accounting section at http://www.miami.edu/finance/index.php/general_accounting/

GL (general ledger) accounts that start with a -0- utilize Control Codes not sub-object codes

The Controller’s Office can not stress enough the importance of using the appropriate sub-object code for classification of expenses and revenues. Please call us if you are not sure.

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How Sub Object Codes are Numbered

•These are revenue codes including 0011 the Balance Forward code found in certain accountsCodes from 0001 to 0999

•These are used by the Payroll Office for payroll related expendituresCodes starting with digit 1

•These are used by the Payroll and Benefit Offices for fringe benefit related expendituresCodes starting with digit 2

•These are supplies and services type categoriesCodes starting with 3, 4 , 5

•These are used for Capital such as Equipment, Library, Art Objects and Non UM Title Purchases•Also used for Land, Buildings, Leasehold Acquisitions & ImprovementsCodes starting with 6

•Transfer codes are listed as 71XX and 73XX•Other 7 codes are expenses such as Annuities and Actuarial Liabilities, Debt Service for Plant FundCodes starting with 7

•These codes are Indirect Costs and Cost SharingCodes starting with 8

•These are Allocations codesCodes starting with 9

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Fixed Assets - Sub Object Codes

There are two categories of Fixed Assets:

Moveable Equipment – Sub-object Code 6103: The unit cost of the Item is $2,500 or more and has a useful life of

more than one year

Fixed Equipment – Sub-Object Code 6101: Equipment added

as part of the building, i.e. elevators, AC units. Must be

used with a plant (8) account

If a capital equipment code was used in error or was not used when it should have been, the transaction will be denied by Property Accounting and it will systematically go back to the beginning of the approval loop

If you are not completely sure about using a capital equipment sub object code while submitting a purchase requisition on UMeNet, call the Property Accounting area of the Controller’s Office at x84656

If fixed asset has not arrived and been installed and ready for use by May 31, it must be considered an expense for the following fiscal year, cannot accrue if not received, need proof of delivery

Visit the Property Accounting web site at: http://www.miami.edu/finance/index.php/property_accounting/ for information regarding capitalization of movable equipment and non-capital expenditures and also to review custodial department’s responsibilities

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Three Types of Transactions found in your accounts

• These are shown as a systematic yearly feed dated 06/01• Some accounts may include budget revisions during the fiscal year

Budget transactions

• Journal Entries, wire transfers (EFT), A/P – DEGA, cash disbursements and cash receipts are examples of actual transactions

Actual transactions

• These are used to decrease the free balance of an account• They can reflect a commitment for which payment has not been made • They can reflect a commitment for indirect costs • They limit expenditures to a specified level either authorized by the sponsor or

determined by the university

Encumbrance transactions - (also called Commitments)

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Encumbrance Transactions

• Salaries and Fringe Benefits• Purchase Orders• Telephone Services• Restricted Funds in

Sponsored Accounts

Used to record

commitments for these

categories:

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Transaction Codes

Transaction Codes these are the three digits that identify the

type of transactions in your accountsYou will find them on journal entry forms

and in the first column of the Account History Detail screen in DMAS.

For a complete listing and explanation visit the General Accounting section of the

Controller’s Office website

Budget – 020 to 029

Actual – Cash Receipts - 030 to 039

Actual – Cash Disbursements - 040

to 049

Encumbrance – 050 to 059

Actual – Journal Entry – 060 to 069

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Batch Reference ID Field

Batch reference initials identify the individual or sub-system that

originated a transaction

Controller’s Office web-site General Accounting section contains a current listing of all authorized ID’s

and their contact information

Batch reference numbers are used on budget, actual and encumbrance

transactions

The last three digits typically correspond to the transaction code.

For example, journal entry transactions would start with a 6

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Transactions in Your Accounts Contain the Following Fields

Transaction Code

Debit/Credit account and sub-object

Reference 1 and 2

(7 characters) Date Description

(20 characters) Amount

Indicator•D (debit) or C

(credit) or left blank to default

•P/F/N – partial, final or no liquidation of commitment

Batch # – includes

subsystem or individual employee’s

3 digit ID

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Important Formula To Know

• This formula represents the available balance on your accounts• Budget minus Actual minus Commitment = Budget Balance

Available (BBA)

Budget Balance Available

Formula

• DMAS Account Summary• In the last column (Balance)

• FRS Screen 019 (List 6 Digit SL)• In the last column (Avail)

• Report FR90 in the Account Statement in Whole Dollars• Balance Available column

Budget Balance Available Column appears in the

following screens/reports

This slide and the next two explain three formulas you should know. You will find the components and results on DMAS and FRS screens as well as in RDS Report 90.

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Another Important Formula

• The formula represents the open commitment remaining balance and is as follows:• Original Amount less Liquidating Expenditure + or –

Adjustments = OCCA

Open Commitment Current Amount

Formula

• DMAS Open Commitments screen• Current column

• FRS screen 021 (List OC Records)• Current column

• Report FR90 – Open Commitments Status• Current Amount column

Open Commitment Current Amount

Column appears in the following

screens/reports

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Purchasing Encumbrance Formula Found Only in DMAS

• The original amount of the PO less liquidated amounts less adjustments

• This equals the Purchase Order Remaining Balance as of today

Purchase Order Remaining Balance

(PORB)Formula

• DMAS Purchasing Menu – Document Inquiry• Look at the line towards the top that reads:

Purchase Order Remaining Balance as of today

PORB Appears in the following DMAS

screen

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DMAS

Highlights of DMASSigning OnMain MenuAccount Menu Screens

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Highlights of the DMAS System

There is 10+ years of account data in

DMAS

Subsystem transactions as well as manual

journal entries are found in DMAS

Subsystem feeds may be daily or

scheduled, e.g. bi-monthly or month end payroll labor

distribution transactions

Some DMAS screens allow you

to download information into Excel for further

analysis

Certain transactions

contain a globe that allows you to

view imaged documents such as

BERF’s

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DMAS - Signing On & Proceeding to Main Menu

Upon reviewing the Bulletin Board information, X out to access the DMAS Main Menu

After signing on, you will see a pop up window containing a Bulletin Board with key dates for your review

The bottom of the screen lists different options for you to follow if you encounter issues while using DMAS

DMAS can also be accessed via the General Accounting section of the Controller’s web site

The DMAS Sign on page is located at the following link : https://dmas.ir.miami.edu/DMAS/signon.asp

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Sign On Screen

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DMAS Main MenuThis is the menu screen you will see after successfully logging in to DMAS: Fiscal Year End Survival Kit Training

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DMAS Main Menu

• Used to view a specific account number if you already know the six digit numberAccounts

• You select the level of accounts you wish to view such as Sub/Department, Department or higher levels

• Then you click on a particular account from the Account ListDepartments

• Used to view Purchasing subsystem informationPurchasing

• Click on the following link to go to the Controller’s Office Home Page: http://www.miami.edu/finance/index.php/treasurer/areas/controllers_office/

Controller’s Office

These are four helpful sections accessible from the Main Menu which can be used during your fiscal year end review and any time.

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DMAS Account Menu Screens

• This screen provides you with a summary listing by sub-code• Budget, Actual, Encumbrance and Balance columns are shown

Account Summary

• This screen provides a helpful listing by sub code of open current commitments or commitments that are now -0- but had activity during the fiscal year

• The original amount minus liquidated expenditure plus or minus adjustment(s) equals the last column (Current)

Open Commitments:

• This screen provides a view of the transactions for a particular month for a specific sub code

• Used for preparation of sales tax spreadsheet – accounts with revenue

Account Transactions by

Month

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Account MenuThis is the menu screen you will see next when you select Accounts from the DMAS Main Menu.

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Account Summary Screen

Defaults to current fiscal year

Lists Responsible Person, Status and Associated GL

Shows Department/Sub-Department that account belongs to

Select another fiscal year if other than the current is needed

Download to Excel feature is available on this screen

Lists sub-objects with Budget and/or Actual activity

Budget, Actual, Encumbrance and Balance columns

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Open Commitments Screen

Open Commitments for 304### (FY 2014)

SAMPLE UHEALTH ACCOUNT RECORD REVENUES & EXPENSES FOR SAMPLE UHEALTH

Subcode Description/Vendor Date Document Original Liquidated Adjustments Current3225 CARDINAL HEALTH 110 12/18/13 MR58579 9.96 0.00 0.00 9.96

3811 GOLD COAST LINEN SER 06/01/13 MP69212 146.32 0.00 0.00 146.32

3811 PITNEY BOWES GLOBAL 06/01/13 MP69451 320.20 0.00 0.00 320.20

3811 DIRECTV 06/01/13 MP72258 84.65 0.00 0.00 84.65

3811 CARDINAL HEALTH 06/01/13 MQ55459 297.51 0.00 0.00 297.51

3811 BRINKS INC 06/01/13 MQ58597 235.56 0.00 0.00 235.56

3811 PITNEY BOWES GLOBAL 06/01/13 MQ60505 638.78 0.00 0.00 638.78

3811 GOLD COAST LINEN SER 06/01/13 MQ60518 115.00 0.00 0.00 115.00

3811 PLANTIQUE INC 06/01/13 MQ61504 6.00 0.00 0.00 6.00

3811 DIRT PROS 06/01/13 MQ69180 537.84 0.00 0.00 537.84

3811 OFFICEMAX INC 06/01/13 MR04129 24.36 0.00 0.00 24.36

3811 BRINKS INC 06/10/13 MR21877 6,000.00 5,233.24 0.00 766.76

3811 KONICA MINOLTA MEDIC 10/07/13 MR44521 1,250.00 0.00 0.00 1,250.00

3811 PHYSICIAN SALES & SE 12/05/13 MR55804 119.07 0.00 0.00 119.07

3811 JET GRAPHICS INC 01/06/14 MR59882 245.00 245.00 0.00 0.00

3811 PRINT FARM INC 02/03/14 MR65789 2,170.00 0.00 0.00 2,170.00

3811 ARIBA REQUISITION 02/05/14 AEU1202 8,922.12 0.00 8,922.12 0.00

3811 PRINT FARM INC 02/17/14 MR68677 1,380.00 0.00 0.00 1,380.00

3852 ENCUMBRANCE 01/31/14 JEH0013 11,445.60 0.00 0.00 11,445.60

3858 ENCUMBRANCE 01/31/14 JEH0013 409.20 0.00 0.00 409.20

3873 ENCUMBRANCE 01/31/14 JEH0013 280.00 0.00 0.00 280.00

Totals:

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THE STEPS TO CLOSE THE BOOKS AT MONTH END

What you should be doing before each month endWhat happens when it is time for the month end close

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Account Reconciliation Involves the Following

Analyze monthly reports including RDS Report FR90 , also Labor Distribution & Salary Encumbrance reports if you reconcile salaries

Track account information in DMAS (download to Excel feature) or FRS screens – integrity of data used in reconciliation is vital

Review the overall financial standing of your accounts (BBA formula) also examine the transactions posted to your accounts in detail and look at the backup documentation including imaged documents in DMAS

Submit journal entries as needed including FA11 sponsored journals

Prepare findings and follow up on and resolve/correct any pending transactions in a timely manner

Refer to How to Reconcile Accounts presentation on Controller’s Office Education & Training page for more in depth information on account reconciliation

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FR90 Financial Report Found On RDS/EOS

• FR90 (Form 90) is a monthly account statement provided as a tool to the authorized signer and designees for reconciliation of their individual accounts.

What is the FR90 Report?

• Summary • Open Commitments Status• Report of Transactions

FR90 contains these three sections for

each account listed:

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What are the Steps Involved in Your Purchasing Encumbrance Review of

Open Commitments

• By reviewing the DMAS Open Commitments screen • Or the Open Commitments Status section of RDS Report FR90

Review the validity of open encumbrances:

• Refer to Purchasing Policy BSJ-010- Change or Cancellation of an Order• http://www.miami.edu/finance/index.php/purchasing/policies_procedures/

• Contact the Purchasing Dept. at your campus if you need their assistance or you think there might be a system issue with the remaining encumbrance

What should you do if you encounter open PO’s that have no invoices pending

and should be closed

• Review releasing encumbrances/closing PO’s document instructions• To log on to UMeNet go to: http://enet.miami.edu

UMeNet has an e-form tool that may be used to release

encumbrances from the account and delete the PO

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Preparing Non Salary Journal EntriesThe Journal Entry (JE) form is located in the Controller’s web-site Forms section

Individual submits Journal Entry and Batch Control Form (with their Batch Reference ID) for real time data entry by the Controller’s Office or Medical Finance

Form FA11 is to be used only when Sponsored accounts are involved

If cash related, use the appropriate Bank number on the Batch Control form (which should be attached to the front of the journal entry)

Journal entries are used to modify account totals in the respective accounts

Always attach explanations and supporting documentation including approvals

Review and become familiar with Financial Policies & Procedures B016 Journal Entries found in the Controller's Office web site

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Summary

The presentation covered terms and concepts such as encumbrances and Batch Reference ID’s that you will encounter while using DMAS

You should be able to use DMAS screens to look at Purchase Orders and Invoices and also as a tool for your account review

Recognize that there are numerous subsystems like PCard (GEDA) and Telecomm (CTX) that feed transactions into accounts

Follow the guidelines provided for reconciling and reviewing accounts in a timely manner each month

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Thank You for Reviewing this Controller’s Office Presentation

Please Visit our Website: http://www.miami.edu/finance/index.php/treasurer/areas/controllers_office/

for Additional Information