FY18 Year-End Biweekly Payroll Accrual

Fiscal Year (FY) 2018 Year-End Biweekly Payroll Accrual

DFA will be processing a biweekly payroll accrual for seven days, June 21, 22, 25, 26, 27, 28, and 29, that must be accrued as a FY18 expenses. This accrual is for financial statement purposes only, there will be no labor ledger entries, nor will it affect effort certification reports. DFA will post the biweekly payroll accrual to period 12 (P12) no later than July 6.

• The accrual will be equal to 70% of the pay period ending June 20 and will exclude student wages.
• The entry will be posted at the account and sub-account level.
• DR (debit) salary accrual 5380.
• DR (debit) benefits accrual 5640.
• CR (credit) accrued expenses 2010.

e-doc Number: FY18YEPRACCR

The entry will be posted as a collector file in P12.

Fund group CG-Contracts & Grants accounts will be posted to central college accounts instead of posting to the individual accounts. This change was implemented to streamline the efficiency of the contract and grant billings, which cannot include any accruals.

FY18 will include the reversal of the FY17 seven-day accrual, plus the FY18 seven-day accrual.

For FY19: Reverse FY18 Year-End Payroll Accrual

• DFA will reverse FY18 biweekly payroll accrual.
• The reversing entry will be posted in July, P1.
• e-doc number: FY18YEPRACCR.
• The reversing entry will be posted as a collector file.

Note: There is no need for a semimonthly payroll accrual, because the pay period ends on June 30.

Reminder

Units should not process any payroll accruals unless preapproved by DFA. If you believe an accrual is necessary, please direct requests to Accounting.