Distribution of Income and Expense (DI)

The Distribution of Income and Expense (DI) e-doc is used to distribute income or expenses from a holding account to one or more appropriate account(s) when one accounts has incurred expenses or received income on behalf of one or more other accounts. For example, one would use a DI for a program with shared costs in which accumulated income or expenses need to be distributed or moved to other accounts.

The DI e-doc can also be used to move income, expenses, assets and liabilities to other sub-accounts, object codes, or sub-object codes. However, the DI e-doc should not be used to bill other departments for goods or services that you provide to them (use either the Internal Billing or Service Billing e-doc).

Tips for DI e-docs

The DI e-doc is used to move costs or income (e.g., booking external sales, clearing travel expenses) and must be approved by a fiscal officer or a delegate.

• DI Matrix (PDF, 34 KB): Effects of debits and credits on assets, liabilities, revenues and expenses
• Negative amounts are not allowed.
• Can be processed with data either in both sections or only in the From or To sections.

Example:

• When expenses exceed the trip advance, put the account receivable (AR) in the To section, and travel expense in the To section
• For external sales, put the AR in the To section, and income in the To section.

Roles and Access Rights | Business Rules | Workflow

Roles and Access Rights

The following roles are available for the DI e-doc:

Requestor: A proposed, optional, additional step whereby a request for a DI is sent to a KFS-user who has the authority/ability to initiate the e-doc ("initiator"). The requestor is not a KFS-user role, it is locally delegated authority. The requestor is an individual within local units who has been identified by the organization as having the authority to request a DI.

Initiator: The initiator is responsible for preparing a DI and must understand the institutional need for a DI financial transaction. This individual may or may not be the same as the requestor. The Initiator will have a financial role at the university. Before initiating a DI transaction on behalf of the university, the initiator is responsible to assess whether the proposed transaction supports the university's mission.

Other roles:

• Within Unit

• Fiscal officer is responsible for approving the DI and understanding applicable policies, inherent business rules, and KFS

• Central Only

• C&G processor (specific to C&G accounts). This review step will be required if the transaction includes a C&G account.

The following guidelines must be adhered to:

• In cases where the initiator and requestor are not the same person, the initiator ensures that the requestor has the authority to request a DI transaction
• Any necessary prior approvals have been acquired
• The DI transaction is Cornell-allowable
• The DI transaction is:
  • in furtherance of the university missions
  • ordinary and reasonable
  • within planned budgetary constraints
  • in compliance with any funding designations and/or guidelines
  • in compliance with appropriate university policies and procedures
  • in compliance with operating unit guidelines
• There is appropriate documentation

Best Practice recommendation: Attach back-up/relevant documentation whenever possible. If documentation is not attached, clearly indicate where back-up documentation is located.

Top

Business Rules

• Do not used budget codes on a DI
• When you process a transaction, debits must equal credits
• KFS automatically generates cash offset entries as defined by the information entered into the e-doc
• Anything put in the From section serves to reduce the amount of the object code in that section; anything put in the To section will increase the amount

Top

Workflow

Download DI Workflow (PDF, 293 KB)

Top