The Kuali Financial System (KFS) Accounts Receivable module does not allow invoices or credit memos to be posted to a previous fiscal year. All invoices and credit memos that should be posted to fiscal year 2018 must be created and approved prior to July 1. If you do not create the invoices and credit memos in June, you will need to accrue the receivables. For assistance, please contact Accounts Receivable at firstname.lastname@example.org.
Non-Student Accounts Receivables Write-Off Deadlines
According to IU policy I-500, Accounts Receivable balances over 12 months old and lacking current productive activity will be written off even if the invoices are placed with a collection agency. Any invoices 365 days old prior to June 30, 2018 should be written off by the billing organization no later than close of business on June 22, 2018. Please also add collection notes in the Notes and Attachments section of any KFS invoices that will be 90+ days old prior to fiscal year end.
Please ask the following questions prior to writing off an invoice to ensure you are using the correct edoc in KFS:
- Is the invoice a duplicate or need to be reversed? If the answer is yes, and the invoice is from the current fiscal year, please use the Invoice Correction edoc to reverse the invoice. If the invoice is from a prior fiscal year, please email email@example.com for additional information.
- Was the invoice short paid due to returns, price adjustments, or to remove open balances that will not be received due to costs associated with doing business, i.e. bank fees deducted for wire transfer payments? If the answer is yes, use a Credit Memo edoc to clear the remaining balance of the invoice.
- Is the balance of an outstanding invoice due to non-payment stemming from the customer not being able to pay (bankrupt, dispute, unresponsive, etc.). If the answer is yes, use the Write-Off edoc to write off the invoice as bad debt. Please do not use the Write-Off edoc to clear small balances under $1 from invoices.
Remember…writing off an invoice does not prevent you from collecting the money from the customer!