Clear fund overdrafts throughout the year. All fund overdrafts in excess of $1,000 must be cleared by fiscal year-end by identifying the source of overdraft, determining the appropriate course of action and completing correcting journals. Fund transfers, as needed, are generally submitted to Fund Accounting.
Before You Start
You must have access to OBI Financial Reporting and be able to run the Fund Statement report found under the OBI Revenue and Fund Management Dashboard>Fund Statement Tab.
Identify Funds or Awards
Determine Source of Overdraft
- Examine the award activity to determine what created the overdraft and what corrective action is required. Be attentive to the following possibilities:
- Determine if the overdraft was caused by an improper journal posting.
- Examine the expenditures recorded on the award to determine if those expenditures are more appropriately recorded to another award.
- If all activity recorded to this award is appropriate, determine if funds can transfer into this award to clear the overdraft.
Clear the Overdraft
- If the overdraft was caused by an improper posting, initiate a correcting journal to move the activity to the appropriate award. Refer to iJournals How To instructions for more information.
- If the overdraft resulted from expenditures which should have been posted to another award, prepare a journal to move the expenditures to the correct award. Refer to iJournals How To instructions for more information.
- If the activity recorded to the award is appropriate, identify another award which would be the source for a fund transfer. Refer to How to: Request a Fund Transfer for more information.
- Fund transfer requests are processed throughout the month.
- To make sure all deficits are cleared, departments can use the OBI Revenue and Fund Management Dashboard>Fund Statement Tab to verify current balances.
- For questions about fund accounting for non-sponsored funding, find your designated school/department contact.