Journal Entry Procedures

Purpose of J/E's
  • To reclassify transactions resulting from processing errors.
  • To overcome system errors/limitations.
  • Processing errors and system errors/limitations are revealed with J/E's and should be investigated and corrected if possible.

J/E Procedures
  • The Preparer creates the J/E and attaches all applicable backup to it.(Required)
  • Attached backup should clearly outline the purpose of the J/E & include copies of all relevant source documents.(Required)
  • The J/E is then forwarded to the Supervisor/Director or above for review and approval (Only Finance & Administrative Services division Supervisors/Directors and above can approve J/E's).(Required)
  • All J/E's are to be approved before they are entered regardless of preparer level.(Required)
  • After authorization the J/E goes to a designated person with security access to enter J/E's into Colleague.
  • Generally, only Finance & Administrative Services personnel have access to enter a J/E into Colleague.
  • At the Colleague J/E input screen the Enterer records their name as the 'Author" and then records both the name of the Preparer and the Description of the entry (from the J/E template) into the 'Comments' section of the screen.
  • See Example(1) of Author (Preparer) and Example(2) of Comments (Description of Entry).
  • After the J/E is processed the person entering the J/E must record the J/E number given by Colleague onto the J/E form.(Required)
  • The original J/E is forwarded to Finance & G/L Systems via Interoffice Mail.(Required)
  • Originating department should keep a copy.
  • G/L files the J/E in one central location of the Finance & G/L department for research & auditing purposes.
  • G/L audits compliance with procedures (e.g., J/E approval, description, etc.) and investigates breaks in sequence (missing J/E's).  Results are reported to the Director of MIS Training & G/L Systems and recurring issues are escalated upward when necessary.
  • J/E's are posted to the General Ledger in two hour intervals. (No change to current practice.)

For a hands on copy of the above procedures please print out the Powerpoint link below:

 G/L Journal Entry Procedures