Best Practices: Budget Journals/Budget Transfers

• Budget transactions are processed in a timely manner and departments are properly funded at all times
  

• These practices help minimize errors in submissions so that Budget Journals and Transfers are accurate and not delayed.

• Refer to Budgeting Revenues and Expenditures – Guidelines by fund to determine what Budget Entries are allowed or recommended for each Fund. This document is updated each Fiscal Year and during the year as needed. Updates are always announced on the Status Call. Always be sure to have the most recent version.

• It is recommended that the Budget Journal pages are used to enter both Journals and Transfers. It is easier to find budget transactions and Approvals are more accessible if all Budget transactions are entered through the Budget Journal pages, as opposed to using both the Budget Journal and Budget Transfer pages.

• Include adequate descriptions and documentation for Budget Journals and Transfers. Cross-reference any related GL Actual Journal Entries or other related Budget Entries. Backup documentation should always be attached when increasing the budget in fund 20400.

• Do not use project chart strings in Budget Journals or Transfers. Project Budgets are maintained through Grants and cannot be referenced or adjusted by Budget Journals or Transfers.

• Do not attempt to move budgets between funds. Movements between funds are very rarely appropriate and would be specifically directed by the Budget or Commitment Management Offices.

• Revenue Budgets for Account 499100 (Prior Year Carryforward) can never be increased or decreased, but can only be moved.

• For funds or situations where expenditure and revenue budget journals are required to keep the budget in balance, always submit both journals at the same time and cross reference each in the descriptions.

• Revenue Budget Journals are created for Ledger Group DEPT_REV. The Ledger is found on the Budget Header. Revenue Budget Journals should only include revenue accounts, which begin with 4.

• Expenditure Budget Journals are created in Ledger Group DEPT_CHILD. The Ledger is found on the Budget Header. Expenditure Budget Journals should only include Expenditure accounts. Expenditure accounts begin with 5,6,7,8, or 9.

• Always specify “Adjustment” Budget Entry Type and Parent Budget Entry Type. These settings are found on the Budget Journal Header. “Original” Budget Entry Type is used by Central Offices Only.

• Always select “Generate Parent Budget” and “Adjustment” for the Parent Budget Entry type when entering Expenditure Budget Journals. These settings are found on the Budget Journal Header.

• Always use the Current Fiscal Year for the Budget Reference. The Budget Reference (Bud Ref) should be the current Fiscal Year, and this field cannot be left blank.

• The Budget journal amounts should be in whole dollars and should be rounded accordingly. Cents are only allowed on Carryforward/Prior Year Budgets.

• University of Georgia Internal Auditing Division: Audit Process

• Budgeting Revenues and Expenditures - Guidelines by Fund

• Budget Journal for Revenue Budget

• Budget Journal for Expenditure Budget

Queries – Used to check the Budget Balance on Revenue and Expense Chartstrings. Financial Management System Queries provide live/up to date information. Once the Budget Journals/Budget Transfers are approved and posted by Commitment Management, these queries can be run to check the current budget balance on the Chartstring.

UGA_KK_DEPT_EXP_REV_BALS - Departmental Budget Balances – Used to check Department balances using the criteria below:

UGA_KK_PARENT_EXP_REV_BALS_SUM - Dept Parent Budget Balances – Used to check budget balances summarized by Department and Fund.

Contributed by Amanda Lapczynski, Gina Roberts, Elisa Collins

Last updated 05/17/2021