Fiscal Services Office Rev September 1, 2016 Processing a distribution of income and expense document on-line training Welcome to Processing a Distribution of Income and Expense On-line Training. This guide will first provide an overview of the Journal Entry Documents in KFS and then cover of the Distribution of Income and Expense document. Fiscal Services Office Rev September 1, 2016

Overview KFS has six different electronic document (eDocs) to process journal entries. Use is dependent on the type of transaction. In most cases, eDocs will route for at least one other approval other than the initiator to ensure separation of duties for internal control purposes. For eDocs involving extramural accounts, the following should be documented: Reason for the journal entry Certification that amounts are (1) allowable per sponsored agreement / Office of Management and Budget (OMB) Cost Principles (2) allocable - supports / benefits the project within the award period and (3) reasonable KFS has six different electronic documents used to process journal entries. Use of the different electronic documents or eDocs is dependent on the type of transaction. In most cases, eDocs will route for at least one other approval other than the initiator to ensure separation of duties for internal control purposes. For eDocs involving extramural accounts, the following should be documented: Reason for the journal entry Certification that amounts are (1) allowable per sponsored agreement / Office of Management and Budget (OMB) Cost Principles (2) allocable - supports / benefits the project within the award period and (3) reasonable

Six Journal Entry eDocs Distribution of Income and Expense (DI) Distribute income or expense from one account to one or more account(s) Distribute costs to sub account(s) or sub object(s) General Error Correction (GEC) Correct account(s) and/or object code(s) on previously posted entries Transfer of Funds (TF) Transfer cash between accounts Internal Billing (IB) Bill for goods/services provided by one university department to another university department Service Billing (SB) Note: Use of this document requires special permissions and authorization Salary Expense Transfer (ST) Correct or transfer salary and fringe benefit expenses from one account to one or more account(s) The six journal entry documents in KFS are the Distribution of Income and Expense, the General Error Correction, the Transfer of Funds eDoc, Internal Billing, Service Billing and Salary Expense Transfer

Distribution of Income and Expense eDoc Journal Entry eDoc Common Uses Distribution of Income and Expense (DI) Distribute income or expense from one account to one or more account(s) Distribute costs to sub account(s) or sub object(s) General Error Correction (GEC) Correct account(s) and/or object code(s) on previously posted entries Transfer of Funds (TF) Transfer cash between accounts Internal Billing (IB) Bill for goods/services provided by one university department to another university department Service Billing (SB) Note: Use of this document requires special permissions and authorization Salary Expense Transfer (ST) Correct or transfer salary and fringe benefit expenses from one account to one or more account(s) The journal entry document discussed in this tutorial is the Distribution of Income and Expense

Distribution of Income and Expense (DI) Distribute income or expenses from a holding account to one or more account(s). Holding account received income or incurred expenses on behalf of one or more accounts. (e.g., programs with shared costs) Navigation: Main Menu tab > Transactions > Financial Processing > Distribution of Income and Expense The Distribution of Income and Expense or (DI) document type is used to distribute income or expenses from a holding account to one or more appropriate account(s), when one account has incurred expenses or received income on behalf of one or more accounts. You would use a DI when you have accumulated income or expense and need to distribute/move it to other accounts (e.g., programs with shared costs). Navigation: Main Menu tab > Transactions > Financial Processing > Distribution of Income and Expense

DI Document Layout DIs have seven (7) tabs. The Accounting Lines tab is used to enter the account distribution information. The General Ledger Pending Entries tab displays the debit/credit information based on the accounts used in the Accounting Lines tab. The Notes and Attachments tab is used for attaching supporting documents.

Distribution of Income and Expense (DI) Document Overview Tab Complete the Description and Explanation fields. DIs involving extramural accounts should include reason for distribution and certification that amounts are (1) allowable per sponsored agreement / OMB Cost Principles (2) allocable - supports / benefits the project within the award period (3) reasonable The first tab on the DI is the Document Overview tab. In the Description field enter your 3 digit FO Code followed by a short description for the document. Use the Explanation field to provide a more detailed explanation of the description. For DIs involving extramural accounts, the following should be documented: reason for distribution certification that amounts are allowable per sponsored agreement / OMB Cost Principles allocable - supports / benefits the project within the award period and reasonable The Total Amount field will display after the accounting lines are entered and the document is saved. This field cannot be edited.

DI Accounting Lines Tab – From Represents a decrease in income (revenue), expense, asset or liability. Required fields to complete are Chart, Account Number, Object, and Amount. Enter information directly into fields, use the drop downs or perform lookup by clicking on magnifying glass icons. Click “add” button to record accounting line in the document. The From section of the Accounting Lines tab represents a decrease in income (revenue), expense, asset or liability. Required fields to complete are Chart, Account Number, Object and Amount. You may enter the information directly, use the drop downs or you can use the Account Number or Object lookup by clicking on the magnifying glass icon and performing a search for the correct code.

Distribution of Income and Expense (DI) Accounting Lines Tab – To Represents an increase in income (revenue), expense, asset or liability. Distribution can be to one or more accounting lines. Total in the To section must equal the Total in the From section when both From/To sections are completed. May have two entries in either the From or To section. The To section of the Accounting Lines tab represents an increase in income (revenue), expense, asset or liability. Required fields to complete are Chart, Account Number, Object and Amount. You can distribute the accounting line information in the From section to information in one or more accounting lines in the To section. Be sure to confirm the Total in the To section matches the Total in the From Section in the Accounting Lines tab. NOTE: There may be instances when you may have two entries in either the From or To section of the accounting lines in order for the debit and credit entries to balance. An example is provided in processing a General Error Correction Tutorial.

DI Capital Edit Tab Completion required if a Capital Object Code used in the Accounting Lines.   Asset Number field is required if DI eDoc is for a known asset. Complete Create New Assets Section if Asset Number is not known After the asset is added, Campus, Building and Room fields appear, & may be required. The Capital Edit tab is required to be completed if you used a Capital Object Code in the Accounting Lines tab.   The Asset Number field is required if this Distribution of Income and Expense eDoc is for a known asset. If the Asset Number does not apply, and you used a Capital Object Code in the accounting lines, then the remaining fields in the Capital Edit tab are required. Note: After the asset has been added then the fields for Building and Room will appear, and in most instances are required.

Distribution of Income and Expense (DI) General Ledger Pending Entries (GLPE) Tab Displays the debit/credit information based on the accounts used in the Accounting Lines tab. Displays while document is ENROUTE or SAVED. Once fully approved, route status changes to FINAL, the transactions post to the General Ledger (GL) in the nightly process and the data on this tab is subsequently removed. Verify the GLPE against the accounting entries. The General Ledger Pending Entries (GLPE) tab displays the debit/credit information based on the accounts used in the Accounting Lines tab. The data on this tab is updated when the document is saved or submitted and will only be available while the transactions are pending. Once the document is fully approved, the route status changes from ENROUTE to FINAL, the transactions post to the GL in the nightly process, and the data on this tab is subsequently removed.   Note: It is good habit to check the GLPE to verify the accounting entries for your respective eDoc.

DI Notes and Attachments & Ad Hoc Recipients Tabs For extramural accounts Attach invoice/worksheet to support charges. Attach PI’s authorization. If >90 days from posting of initial transaction, explain why not timely and how & how distributions will be made timely in the future. If notes and/or attachments are necessary click on the Notes and Attachments tab and populate the fields where applicable.   For DIs involving extramural accounts, the following should be documented: attach invoice / worksheet to support charges attach evidence of PI's authorization, if applicable for instances where the distribution is being made more than 90 days from posting of initial transaction, include an explanation as to why the distribution was not made in a timely manner and, how distributions will be made timely in the future. Use the Ad Hoc Recipients tab to route the document to someone who is not in the normal routing.

Distribution of Income and Expense (DI) Route Log Tab The Route Log tab can be reviewed prior to and/or after the submission of the eDoc to see the workflow of the document. Click the “submit” button at the bottom of the eDoc below the Route Log tab.

KFS Contacts FMO website - http://www.fmo.hawaii.edu/ Kuali Financial - kfs.hawaii.edu/ Submit a Trouble Ticket - http://www.hawaii.edu/kualifinancial/feedbackForm.php KFS Help Desk - ph. 956-4357 Financial Systems Training - ph. 956-4357 or email fissrv@hawaii.edu

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