banner basic accounting concepts aa roundup june 27, 2007

Banner Basic Accounting Concepts

AA Roundup

June 27, 2007

South Texas College - Business Office 206/27/2007

What is Banner? Banner is a suite of integrated software

programs Data is share within the Banner system. For

example, transactions in the Student and Human Resource modules feed to Finance module.

Financ

ial A

id

Banner

Student

Finance Human

Resou

rce


Access to Banner Finance Access to Banner Finance is needed if you:

Need to review budget status for organizations under your department

Need to input online requisitions for your department

To request access, complete Banner Finance Access Request Form. Form is available to download on the Business Office

website http://www.southtexascollege.edu/businessoffice/index.html


Accounting Equation

Assets = Liabilities + Fund Balance (General Ledger)

(Revenue – Expenses) (Operating Ledger)


Banner Chart of Accounts “S”

Chart of

Accounts

“S”

FF OO AA PP AA LLFund(6 digits)

Orgn(6 digits)

Acct(6 digits)

Prog(4 digits)

Actv Locn

General

Ledger

Required

Not used

Used by

Fixed Assets

Operating

Ledger

Required

Not used

Used by

Fixed Assets


Fund Where funds are coming from (funding source). Banner Fund Structure:

1xxxxx – Unrestricted Funds 2xxxxx – Restricted Funds 3xxxxx – Auxiliary Funds 4xxxxx – Loan Funds 8xxxxx – Agency Funds (Clubs) 91xxxx – Plant – Unexpended Funds 92xxxx – Plant – Renewal & Replacement Funds 93xxxx – Plant - Retirement of Indebtedness Funds 94xxxx – Plant – Net Investment Fund


Organization Who is responsible (department). Structure is based on STC’s

Organizational Chart. Banner Organization Structure:

1xxxxx – Office of the President 2xxxxx – Instructional Services 3xxxxx – Student Services and Development 4xxxxx – Finance and Administrative Services 5xxxxx – Information Services and Planning 6xxxxx – Workforce and Resource Development


Accounts- What funds are used for

Account Unrest Aux Rest Agency Plant

1xxxxx – Assets X

2xxxxx – Liabilities X

3xxxxx – Control Accounts

4xxxxx – Fund Balance X

5xxxxx – Revenues X X X

61xxxx – Salary Expenses X X X

62xxxx – Benefit Expenses X X X

71xxxx – Direct Expenses X X X X

73xxxx – Travel Expenses X X X

74xxxx – Capital Expenses X X X X

75xxxx – Scholarships X

77xxxx – Construction X

79xxxx - Depreciation X


Programs Why funds are used (NACUBO function) Banner Program Structure:

1xxx – Instruction 2xxx – Research 3xxx – Public Service 4xxx – Academic Support 5xxx – Student Services 6xxx – Institutional Support 7xxx – Operations & Maintenance 8xxx - Scholarships


Budget An organization must have budget to be used. The Budget Planning Process initiates on the Banner

Budget Development application accessed through Jagnet.

Only Financial Managers and additional requested staff have access to update organization’s proposed budget (Banner Budget Development Access Request Form).

Departments submit proposed budget for organizations under their control.

Proposed budget is reviewed by Vice Presidents. Once budget is approved by the Board, it becomes the

organization’s Original Budget.


Review Budget Status on FGIBAVL

FGIBAVL is the form Banner uses to check Non-Sufficient Funds

(NSF)

The available balance on FGIBAVL is reduced by complete, incomplete, suspense and unapproved transactions (requisitions, POs, invoices and journal entries)


Review Budget Status on FGIBDST

Unlike FGIBAVL, only complete and fully

approved documents post to FGIBDST

FGIBDST also provides a more detailed summary by account code while FGIBAVL shows a

summary by account pool.


Available Balance Calculation on FGIBAVL and FGIBDST

Adjusted Budget

- Year-to-Date (YTD) Activity

- Commitments (Encumbrances)

= Available Budget Balance


Transaction Detail - FGITRND

The field column can help you determine the type of transaction.• OBD – Budget transaction• RSV – Encumbrance transaction from requisition• ENC – Encumbrance transaction from PO• YTD – Expense transaction from invoice, journal entry or feeds from other system (Student, HR)

- “I” documents are Invoices, “J” documents are Journal Entries, and “F” documents are feed transactions


Transaction Cycle

Field Document

1) Requisition Reservation for Enc RSV “R”

Encumbrances (EL)

2) Purchase Order Encumbrance ENC “P”

Reservation -RSV “R”

3) Invoice Expense YTD “I”

Encumbrance -ENC “P”


Document Inquiry Forms

FPIREQN – Requisition Query Form

FPIPURR – Purchase Order Query Form

FAIINVE – Invoice Query Form

FGIDOCR – Document Retrieval Inquiry


FOIDOCH - Associated DocumentsREQ – RequisitionPO – Purchase OrderINV – Invoice

Enter document number


Reporting – Data Extracts

Reports can be created through data extracts on various forms.FGIBDST – Report of Summary by AccountFGITRND – Report of Detail Transactions

To run reports, go to form and click on

Help / Data Extract / Extract Data No Key


Reconciliation Tips Reconcile the account pools separately. Extract detail transactions from FGITRND

for each account pool separately.

71% - Operating Transactions73% - Travel Transactions74% - Capital Transactions


Reconciliation Tips

On Reconciliation Worksheet, associate related documents. For example, the requisition, PO, Invoice related to the same transaction.

Use FOIDOCH to find associated documents.


Reconciliation Tips Make sure totals for Budget, Commitments and

YTD Activity tie to FGIBDST for each pool.

Uncheck “Include Revenue Accounts”

to get net totals

71 – Operating Transactions73 – Travel Transactions74 – Capital Transactions


Reconciliation Worksheet

Should tie to FGIBDST Net Totals

Check Figure to make sure Available Balance ties to FGIBDST


Update Reconciliation

Data extract from FGITRND

Only update Reconciliation Worksheet with transactions posted after last reconciliation update


Thank you!Thank you!

Questions?Questions?

banner basic accounting concepts aa roundup june 27, 2007

Documents

xxxxx finance

xxxxx loan funds

xxxxx restricted funds

xxxxx auxiliary funds

xxxxx unrestricted funds

xxxxx office

xxxxx liabilitiesx

xxxxx workforce