Accounts Receivable & Billing
A Business Process Managed by Accounts Receivable Serv. & Sponsored Financial Reporting
This business process includes billing and accounts receivable activity, customer maintenance, printing invoices, handling payments, collections, billing related correspondence (e.g., statements, dunning letters), applying inbound Electronic Funds Transfer (wire transfers) payments, and the recording of bank card transactions (related to merchant accounts).
If a department receives a check that is paying an EFS invoice, do NOT enter a departmental deposit. Instead send the check to the lockbox via US Mail. Use this Lockbox Label Template (doc) to print an entire sheet of labels or address your envelope to:
Regents of the University of Minnesota
PO Box 1450
Minneapolis, MN 55485-5960
- Credit Invoice Approvals (pptx)
- EFT Payment Application Process and Procedure
- Merchant Card Processing, including PCI DSS
Policies & Job Aids
Visit the Policy Library for more information about policies related to accounts receivable, including:
- Adjust Entire Bill (pdf)
- AR Monitoring (pdf)
- Attaching supporting documentation to an invoice (pdf)
- Billing for Sponsored Program Income (pdf) updated January 30, 2014
- Credit Invoice Approval (pdf)
- Departmental Deposits finance training page; scroll down to the section for Departmental Deposits
- Find an invoice in Process Monitor (pdf)
- Reprinting invoices (pdf) updated March 2012
- Search for Invoices and AR Items (pdf)
- Search for Journals (pdf)
- Vendor Refund Procedures (docx)
- Vendor/ Supplier Information (pdf)
AR01 Item entry
AR02 Payment Entry, incl Lockbox, Dept Deposits
AR04 Payment Application, incl Payment Predictor
AR06 Collections, incl Customer Correspondence
AR07 Analyze Receivables, incl Aging
AR08 Item Maintenance
AR09 Sales Tax Reporting
AR10 Merchant Card Processing, incl PCI DSS
AR11 AR Maintenance
AR80 Batch Processing
BI01 Customer Maintenance
BI02 Create Bills
BI05 Finalize and Print
BI06 Adjust Bills
BI08 BI Maintenance
BI80 Batch Processing
Grants, Projects, Contracts
GPC01 Award Close Out
GPC04 Grants Analysis
GPC05 Grants Maintenance
GPC06 Management Reports
GPC08 Managing Award Billing
GPC09 Managing Awards
GPC11 Managing Financial Reporting
GPC12 Managing Program Income and TIP
GPC13 Modifying Awards
GPC80 Batch Processing
Frequently Asked Questions
The banking detail you are providing to your customer/contact will post to the Non-Sponsored Accounts Receivable bank account. In order to record this money to your department's EFS ChartField string, an EFS customer MUST exist prior to receipt of funds and an EFS Invoice will need to be created.
Work with your cluster billing specialist to follow the instructions in the Create Bills (pdf) manual (Requesting a New Customer). Please allow 48 hours for customer set up completion.
Please provide the wire directions to your customer via fax or email, or include the information as a Header Note on the invoice before sending. If your invoices are mailed out centrally from the Controller's Office, the electronic payment information is now included on the back of the invoice.
Yes - currently, creating an invoice in EFS is the only way to record either ACH or wired funds coming into this bank account.
ACH payments are electronic payments processed through the Automated Clearing House (ACH) network. They typically post to a bank account 2 days after being initiated by the payor. Wire payments are usually used for international transactions and are immediate and irreversible.
By creating a customer in EFS prior to receiving funds, you are providing at the very least a "parking spot" for the money versus posting these funds to an unidentified customer with little information for Non-Sponsored Accounts Receivable to research. By creating an invoice prior to receiving funds and requesting your customer to include this invoice # in their bank addenda detail or "Originator to Beneficiary Info" (for wires), the payment will be applied to the EFS invoice within 2 business days.
Many foreign banks will charge their customers a wire fee and deduct it from the amount being sent. You may want to inform the customer they are expected to cover these fees by asking them to include "all fees paid by remitter" in the addenda information, and that you are expecting full payment in US Dollars. Typically these small short-pay dollar amounts are not pursued through collections and will be written off.
At the time of billing a BI journal entry is created:
Debit 110000 (this happens automatically and the remainder of the chartstring is "inherited" from the string entered on the invoice)
Credit Revenue (the string you enter on your invoice)
At the time the payment is applied:
Credit 110000 (clearing out the debit to AR from above)
These transactions may cross fiscal years on reports, i.e. a receivable may be recorded on 6/29/yy and the payment may post on 07/22/yy.
Contact Darla Schroeder, 612-626-7215 or firstname.lastname@example.org to discuss accepting online credit card payments through our secure website (www.pay.umn.edu). You can request a dollar limit that is acceptable for your cluster, and the credit card fees associated with these transactions will be allocated to your department monthly.
Contact 612-625-2392 or email@example.com with questions regarding merchant card accounts.
Contact Non-Sponsored Accounts Receivable.
When entering a Departmental Deposit (navigation: Accounts Receivable > Payments > Online Payments > UM Prepare Deposit), you may receive a dialog message stating that there is an out of balance condition. This is not truly a problem within the Accounts Receivable module. It is an error condition that occurs when edit routines detect an out of balance deposit.
Background on functionality: The UM Prepare Deposit page is used to enter deposits that will be deposited at a local bank.
After required data is entered and saved, the preparer clicks on the 'Print Deposit Detail Report' button in the upper right corner of the page. This will place a job in the processing queue that, when complete, will result in the display of the Deposit Detail Report on the screen in a separate window. The preparer can then print the Deposit Detail Report to a local/network printer as needed.
There have been a number of cases where the preparer enters the 'correct' dollar amounts in the Distribution Line window and when they complete the entry, they get a dialog window stating that the Distribution Line(s) Amounts do not balance to the Original Deposit Amount. In most cases, preparers check the dollar amounts and they are the same. Since we are using a double entry accounting system, the transaction must 'balance' and accordingly, any entry in the Distribution Line section of the page where the Original Deposit Amount is positive (+) must be entered as a negative (-).
For example, let's say the Original Deposit Amount shows as positive (+) 66.28.
When the preparer creates the Distribution lines to enter the Chart of Accounts information, the Line Amounts must be entered as a negative (-) value totaling the Original Deposit, or (-) 66.28.
See exhibit page; on it there are two sequence lines in the Distribution Lines window. Sequence Line 1 is an entry for -61.65 to Fund Code 1026 (Account 520601) and Sequence Line 2 is an entry for -4.63 to Fund Code 1026 (Account 720802). The total of these two sequence lines is -66.28. This entry will now 'balance' because the total of the Distribution Line(s) entered offsets the Original Deposit Amount of +66.28.
If you have access to Accounts Receivable in EFS, you can check on invoice payments or activity via this navigation:
Accounts Receivable > Customer Accounts > Item Information > Item List
- Click on the Advanced Search tab.
- Change the Status in the upper left to All via the dropdown.
- In the Reference Data area, enter the invoice in the Item ID field.
- Click Search.
- Click on the underlined invoice to drill in.
- Click on the Item Activity tab at the top.
- Make sure you click on View All in the Item Activities area to see everything that has happened with the invoice.
This decision matrix will help identify the type of deposit and the correct location to bring your deposits to.
The "Cannot Save Changes to Invoice Error" occurs when an invoice is created and then finalized using the invoice icon. At that point, if the user navigates to any link on the page while the invoice is processing (Next in Page Series, Notes, Address, etc), this error message will occur on their NEXT invoice. In order to avoid this issue, please avoid clicking any links while the invoice is processing. This issue has been reported to PeopleSoft and they have told us it will be fixed in the next version of PeopleSoft. Once you log out of PeopleSoft and log back in you should be able to continue to create invoices without a problem. Just be sure not to click around the page after you hit the invoice icon.