Non-student (External)Accounts Receivable System

NON-STUDENT A/R

Current A/R Processing Functions

• Decentralized system allows departments to manage their own receivables

• Payments are sent to a lockbox which is processed centrally

• Accounting entries are automatically generated through Edocs which can be routed for approval or as an “FYI”

NON-STUDENT A/R

• Billing Organization:Department that provides goods and/or services to external customers. Responsible for creating and mailing invoices to customers. Each Billing Organization reports to a Processing Organization.

• Processing Organization:Centralized unit that processes payments for Accounts Receivable invoices created by one or more Billing Organization. Each Processing Organization has a bank lockbox to which customer payments are sent.

NON-STUDENT A/R

• A/R Processing Flow– Billing Org generates & mails invoice– “Remit to” address with tear strip is provided

with invoice– Customer mails payment with strip to lockbox.– Bank transmits funds to appropriate clearing

account sends paperwork to processing org– Processing Org applies funds to invoice or

allocates to an account

NON-STUDENT A/R

• A/R DOCUMENTS – Customer (CUS)—Billing or Proc Org– Invoice (INV)—Billing or Proc Org– Credit Memo (CRM)—Billing or Proc Org– Cash Control (CTRL)—Proc Org– Application (APP)—Proc Org– Organization Options and Accounting

Defaults (OOPT & OADF) – Proc Org

Customer Document – FIS Version

Routes for approval through central administration.

Customer History Inquiry – FIS Version

Kuali Invoice Mockup

Kuali Credit Memo Mockup

NON-STUDENT A/R

• Cash Control Document (CTRL)– Auto-generated by bank if check matched to

invoice– Links deposit of funds in lockbox to App doc– Routes to proper processing org– CTRL does not create any general ledger

entries (App & Ref docs create entries)– Works with various payment types:

• Cash Wire• Credit Card Check

Kuali Cash Control Mockup

NON-STUDENT A/R

• Reference Document– Creates general ledger entry for total amount of Cash Control Document

GL entry: Cash (Proc Org) Debit

Unapplied Cash (Proc Org) Credit– Type of document created is driven by the medium type

• Check = CR, Credit Card = GEC, Wire = DI, Cash = No ref doc created

• Application Document (APP)– Applies funds and credit memos to invoices and can also designate funds as

“non-AR”

GL entry: Unapplied Cash (Proc Org) Debit

Cash (Proc Org) Credit

Cash (Billing Org) Debit

Accts Receivable (Billing Org) Credit

Application Document – FIS Version

Quick Apply – FIS Version

Apply Detail – FIS Version

Kuali Application Document Mockup

Kuali Org Options Mockup

Kuali Accounting Defaults Mockup

NON-STUDENT A/R

• A/R Functions– On-screen Aged Customer Listing– Customer Search– Lockbox Processing– Create Invoice Item Codes– Print Invoices in Batch

NON-STUDENT A/R

Release 3.0 Enhancements

Data Enhancements

• (AR/H2) Convert Customer Data to KFS A/R in bulk

• (AR/H3) Retrospective Aging Report

Statement (AR/H4)

(AR/H1) Additional enhancements to the body slated for Release 4.0

• Add an institutional setting:– Permit the user to enter a receivable

accounting line on the invoice document, or– Use the A/R object code from the Chart table

and the chart/account from the revenue accounting line (traditional IU FIS behavior) or

– Set the A/R object code based on the Sub-fund group of the revenue account (designated in System Parameters)

A/R Objt/Acct Flexibility

Invoice-level receivable

Based on an institutional setting, a new “receivable” tab may be available to the user.

Credit Memo

• Control enhancement– Requires entry of the original invoice before

any processing allowed

• Streamline processing

Write-Off

• Augments existing batch write-off with invoice-level write-off

Recurring Invoices

Enhancements After Release 3.0

Requested for Release 4.0

• Statement/Invoice design (1,400 hrs)– Primarily to support extramural receivables

• Invoice feeding (1,000 hrs)• Support for centralized collection activity (1,800

hours)• Streamline of customer duplicate/overpayment

processing (700 hours)• Tracking of memo “unbilled” amounts (400

hours)