1. SOLUTIONS TO PS FORM 1412 PROBLEMS Pacific Area Finance Training February 2008

2. 2 Handling PS Form 1412 Adjustments Both sides of the PS Form 1412 must be equal. If you adjust one entry, you must make an offsetting entry. Overstated - the amount on the PS Form 1412 is more than the total amount on the supporting documents. Understated - the amount on the PS Form 1412 is less than the total amount on the supporting documents.

3. 3 Handling PS Form 1412 Adjustments (Cont.) PS Form 1908, Financial Adjustment Memorandum  Issued if adjustment is necessary  Form is used to document adjustment to the consolidated Unit PS Form 1412  Close-out employee issues PS Form 1908

4. 4 PS Form 1908

5. 5 Adjusting the Unit PS Form 1412 AIC 247, Financial Differences Overage AIC 647, Financial Differences Shortage Note: POS adjustments for 247/647 should be made first, offsetting with the appropriate AIC.

6. 6 Original & Clearing AICs The table below lists trust/suspense & 1908 AICs and offsets. AICDESCRIPTIONOFFSET 057Employee stamp credit overage457 068Employee cash overage468 247Financial differences overage647 Financial differences shortage247 754Salary advance issued receivable354 755Emergency travel advance issued355 764Employee cash shortage364 767Employee stamp credit shortage367

7. 7 AIC Helper Self- service tool to help you with your PS Form 1412 issues or problems. Located on the Accounting Services website: http://acs.usps.gov/help/aic.php Option Selection Reporting Technology: (ie., POS, IRT, eMOVES) Over / Understated: Overstated Understated Same Day Detection?: No Yes AIC Code:

8. 8 AIC 247/647, Financial Differences AIC 247/647 must be tracked, monitored, and promptly resolved and cleared. To track use Form 25, electronic spreadsheet, or ADM FPR-Line Detail report Identify, review and/or research in ADM:  Accounting>Shared Reports>Postmaster Folder>FPR Net Financial Differences (AIC 247/647) – Line Detail. Unit exhausts all resources trying to resolve discrepancies:  Email: Help Desk, Accounting – St. Louis, MO  Phone: 866-9SHARED (866-974-2733)

9. 9 CASE STUDIES

10. 10 How Do You Adjust PS 1412? Case Study 1 While consolidating RA #1’s PS Form 1412, you discover that the RA has overstated the box rent (AIC 115) by $10.00.

11. 11 How Do You Adjust PS 1412? (Cont.) Solution: Case Study 1 Closeout person to increase AIC 247 by $10.00 and offset AIC 115, which will result in a $10.00 decrease to AIC 115, on the Unit 1412. Issue PS Form 1908, Financial Adjustment Memorandum, to RA #1. RA #1 enters $10.00 in AIC 647 the next business day to “clear” the PS Form 1908.

12. 12 How Do You Adjust PS 1412? (Cont.) Case Study 2 While consolidating the RAs PS Forms 1412, RA #2 has overstated credit card sales (AIC 762) and understated debit card sales (AIC 772) by $50.00.

13. 13 How Do You Adjust PS 1412? (Cont.) Solution: Case Study 2 On the Consolidated Unit PS Form 1412, increase AIC 772 by $50.00 and decrease AIC 762 by $50.00.

14. 14 How Do You Adjust PS 1412? (Cont.) Case Study 3 RA #2 has an entry for a Refund, AIC 553, with no supporting documentation. What supporting documentation is required and what is the solution?

15. 15 How Do You Adjust PS 1412? (Cont.) Solution Case Study 3 Decrease AIC 553 and offset the decrease with AIC 647. Issue a PS Form 1908, Financial Adjustment Memorandum, to RA #2. RA#2 makes an entry to AICs 247 & 553 on next day’s PS Form 1412, and submits PS Form 3533, Application & Voucher for Refund of Postage, which is the required documentation to support AIC 553 entry. If no PS Form 3533, no entry in AIC 553.

16. 16 How Do You Adjust PS 1412? (Cont.) Case Study 4 (IRT/eMOVES only) A stamp stock audit was performed on RA #1 stock, which resulted in a shortage of $100.00. RA#1 has entered $100.00 as an Employee Stamp Credit Overage (AIC 057) instead of the required Employee Stamp Shortage (AIC 767)

17. 17 How Do You Adjust PS 1412? (Cont.) Solution Case Study 4 Issue a PS Form 1908 to RA #1 & instruct the retail associate to make an entry to AIC 767 for $100.00.Also, clear overage by entering AIC 457 for $100.00 and offsetting to AIC 090. Record RA’s shortage on PS Form 25, Customer Trust Fund or Log. Complete PS Form 571 and mail to OIG. Issue RA Letter of Demand (LOD).