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Queen's University
 

Journal Entries

Journal entries are used for the following purposes:

  • to allocate costs to accounts
  • to transfer monies from one area to another, e.g. the annual allocation of investment income
  • to correct errors
  • to adjust accounts for accruals etc.

All departments should use the on-line journal entry functionality in PeopleSoft.  The functionality is easy to use, allows journals to be input into the system on a real-time basis, and allows departments to control the journal description entered into the system.  

Supporting Documentation

All journal entries entered into the system must be adequately supported by documentation that explains the rationale and supports the amount of the journal.  The journal number should be clearly indicated on all supporting documentation.  Supporting documentation may be requested at any time by an auditor or Financial Services.

Support for journal entries which recode charges from one account to another must contain sufficient information to enable a reviewer to identify the specific charges in the original account. Under no circumstances should a person recode charges from one account to another when charges were not incurred in the first account.

Support for journal entries that distribute or reallocate revenue to other business units must contain sufficient information to enable a reviewer to understand the reason for the revenue transfer and to support the amount being transferred.  If the amount being transferred is discretionary, this can be noted on the journal as the support for the amount being transferred.

Support for journal entries charging shared supplies must include sufficient information to permit a reviewer to identify the specific charges in the original account.

Support for journal entries correcting errors must include sufficient information for a reviewer to understand the original error and how the current journal will remediate the error.

Support for journal entries recording accruals must include sufficient information to support the accrual being made, including a clear explanation of what the accrual is for, why it relates to the current accounting period, and include documentation to support the accrual (i.e. calculation, invoice from supplier, etc.).

Departments which maintain central stores and charge accounts from the central stores account must

  • maintain records sufficient for an reviewer to determine what specific items are charged to an account and how the cost was determined
  • ensure that, where an account is subject to restrictions, purchases do not contravene those restrictions (this may require confirmation and/or sign off by grant holders if the charges are to be applied to research grants)

Journal Source Codes

All Journals in PeopleSoft have a source. The source determines where it was generated from i.e. Payroll, ITS Computer Store or from within a Faculty etc.

The PDF document below includes all active sources and short description, frequency of the journals and  contacts.

Journal Source Codes (90KB)

    Retention and Storage of Supporting Documentation

    In general, supporting documentation for journals not entered by Financial Services must be maintained for a period of seven years.  For research projects, supporting documentation must be maintained for a period of seven years after the research grant was closed. 

    Supporting documentation for journal entries must be maintained by departments and not sent to Financial Services.  Departments may store supporting documentation either in physical or electronic format, as long as the format is readily accessible, and supporting documentation can be produced quickly and easily should it be requested.  For supporting documentation stored in electronic format, careful attention should be paid to the data archiving policies of the business area to ensure supporting information will be available for the requisite period of time.

    Journal Entry Approvals

    Journal entries should be reviewed and approved by a knowledgeable approver.  Evidence of approval should be maintained.

    Journal Data Entry and Posting

    For all journal entries, debit entries must equal credit entries.  Journal entries are posted nightly through an automated process in PeopleSoft.  Journals must have a valid status to be posted by the overnight process.

     

     

     

Kingston, Ontario, Canada. K7L 3N6. 613.533.2000