Fiscal Year 2019-2020 Year End Closing Schedule and Guidance

In order to finalize the annual financial report, we are providing the following year-end closing schedule and guidance.   

Please review this memo in conjunction with the April 30 year-end email from Procurement, the May 18 communication from Payroll, and any communications issued from Grant and Contract Accounting (GCA) regarding Sponsored Projects.    

YEAR-END CLOSING SCHEDULE 

Please note: Your Chancellor’s Office or Central Business offices may direct you to have earlier deadlines to conduct internal reviews before the deadlines outlined below. Be sure to consult with your respective office.   

DATE* TOPIC ACTION

July 2020 

Friday, July 10 

Cash Receipt Journals 

Cash journals prepared and submitted to Cashier’s Office for approval in the June FY20 period. 

Friday, July 17 

Cash Receipt Journals 

Cashier’s Office to have all FY20 Cash Journals approved. 

Monday, July 20 

Accounts Payable 

Accounts Payable application will close for FY20. 

Wednesday, July 29 

5:00pm 

Final Day for Units to Enter Project Ledger Transactions 

Final day to prepare Project entries for the June FY20 period. Units/Schools deficits must be cleared by this date in the Projects Ledger. 

 

Friday, July 31 5:00pm 

Final Day for Units to Enter General Ledger Transactions. 

Final day to prepare General Ledger entries for the June FY20 period. 

 

August 2020 

Monday, August 3 through Wednesday, August 12  

12:00 noon 

Controller’s Office and Chancellor Office Accounting Entries 

Controller’s Office to work on final close out entries in the Project sub-ledger and general ledger in the June FY20 period.  Chancellor’s Offices may also have entries to record in the June FY20 period. 

Thursday, August 13 

Reports 

Schools/Units can run reports on final FY20 activity/balances. 

Thursday, August 13 until the end of the financial statement audit 

JUN-ADJ Period Opens 

University Controller’s Office will record adjusting entries for financial statement purposes to the June Adjusted 2020 period.  Please note that during this period, entries may be recorded to your unit’s U-D-O as appropriate when recording entries such as invoice accruals as we continue the search for unrecorded liabilities through the end of the audit. 

* Dates are subject to change. 

OTHER YEAR-END GUIDANCE 

NON-SPONSORED PROJECTS 

Units should ensure that all non-sponsored projects, including designated, gifts, endowment operating, and capital have positive balances and all deficits are cleared. 

CASH JOURNALS 

Cash journals, to be reflected in the June FY20 period, should be prepared and submitted by Friday, July 10, 2020. This will permit time for the Cashier’s Office to review and approve these journals by Friday, July 17, 2020.  

PAYROLL 

The last salary payroll of the year will be on Friday, June 26, 2019. Accordingly, there will be a salary payroll accrual at the fiscal year end for the 2 remaining business days in the month, June 29 and 30.  Central Accounting will be preparing a manual journal entry to accrue for hourly payroll through Tuesday, June 30.  Please refer to the Payroll communication on May 18 for important dates related to Employee Charging Instructions (ECI).   

INVOICE ACCRUALS 

The Controller’s Office will record Accounts Payable invoice accruals in the June FY20 period after the Accounts Payable ledger is closed which will be approximately on Monday, July 20.  Departments should not record invoice accruals without contacting the Controller’s Office and providing supporting documentation which can be emailed to the Financial Management Help Desk at finance_helpcenter@finance.rutgers.edu  We will ensure that the invoice has not been accrued and will record the entry on the unit’s/school’s behalf for any invoice $25,000 and greater.  Departments will be responsible for recording invoice accruals which are less than $25,000.   

REVENUE ACCRUALS 

Please remember that any revenue related to FY20, but not received in FY20, should be accrued for appropriately with the recording of a receivable and revenue as the university reports its financials on an accrual basis of accounting as opposed to a cash basis.  The Controller’s Office should review all supporting documentation attached to the general ledger journal entry for any revenue accruals that are booked.  Therefore, revenue accruals will need to have a secondary approval from the Controller’s Office.   

Units should use the general ledger journal entry ‘categories’, entitled “RU Accrual/Deferral”, and “RU PGM Revenue Accrual” to be able to create year end (JUN-20) journal accruals and/or deferrals that will automatically reverse in the JUL-21 period.  These categories, when used with a date of 6/30/20, will require two levels of approval. The first level will be the preparer’s finance approver and the second level of approval will be in the University Controller’s Office. The second level of approval is only required during the year end close. Please attach appropriate backup to these journals so the first and second level approvers can evaluate the appropriateness and understand the implications of the entries.    

The “RU Accrual/Deferral” category is used when creating an accrual journal for departmental general ledger accounts. “RU PGM Revenue Accrual” category is used for Non-Sponsored projects.   

PROJECT TO GL COST TRANSACTIONS 

For year-end (JUN-20) project cost accruals, follow the job aid for Project cost transactions with the following exceptions: 

  • In the header section of the journal, select “Yes” in the Accrual Batch field. The Non-Labor  Costs spreadsheet does not have a category field, therefore, by selecting “Yes” in the Accrual Batch field, the system recognizes the journal as a cost accrual. 
  • In the Expenditure Batch and in the journal line section of the journal, in the Expenditure Item Date use the date of 06/30/20.  

For year-end (JUN-20) revenue accruals, follow the job aid for Project to GL revenue transactions with the following exceptions: 

  • Change the journal category to RU PGM Revenue Accrual.
  • Use the date of 6/30/20 in the Accounting Date.
  • Ensure the contract number, project number and task number are entered in the Account Details region.

ACCRUING RECEIVABLES OR PAYABLES 

If you are accruing a receivable or a payable, please use your U-D-O-L with the same fund type as the revenue or expense and a business line of 9999.  When accruing a receivable, please use, A/R Miscellaneous #12845.  When accruing a payable, please use Accounts Payable Year End #20306, unless you find a more appropriate value to use.  Additional guidance on accruals/deferrals can be obtained from the following job aid on the Controller’s website.   

INVOICE ACCRUALS 

Central Accounting will be recording invoice accruals manually for invoices dated after July 1 for invoices related to FY2020 goods and services that are $25,000 and greater.  For sponsored projects, the accrual will be recorded in the general ledger but not to the project.  All other non-sponsored invoice accruals will be to the project, if applicable.  If you have an invoice related to FY2020 that should be accrue which was not, then please contact finance_helpcenter@finance.rutgers.edu.  

FINANCIAL REPORTS 

In order to assist users with running appropriate financial reports, the Controller’s Office has compiled a list of the most frequently used reports called the “Go-To Reports”. The reports in this list are grouped by subject areas, such as GL, Sponsored Projects, Procure-to-Pay, etc., along with a brief description and associated job aids (e.g. user guides, step-by-step instructions) as applicable.  

In addition, specifically to help users with year-end activities, the Financial Information Systems team has created the following resources:  

  1. Video: Account Analysis Report (RU GL 089) – This report provides detailed GL transactions, including relevant sub-ledger information, such as project#, task, PO#, revenue source, etc. for reconciling sub-ledger transactions to the GL. 
  1. Video: Scheduling a BI Publisher report (e.g. Project cost detail report – RU PJ 073) – This video outlines the reasons why scheduling a report would be beneficial and also walks the user through the process of scheduling a sample BI publisher report and email the report output. 
  1. Please remember if a department has tracked any expenses for COVID-19 using the new Activity Code 9105, there are communications for tracking these expenses and information about running P&L reports using this new Activity Code.   

MOVEABLE EQUIPMENT AND SOFTWARE 

As of July 1, 2020, departments will be required to use the new capital natural accounts added to the chart of accounts segment listing for moveable equipment and software purchases.  Please refer to the Fixed Assets website.  

It is important to communicate the dates and information in this memo to the appropriate members of your staff.  Please ensure your staff is closely reviewing their Financial Reporting Studio and project queries in detail to record their correcting entries sooner than later during the closing process.