Transcript Credit Card Reconciliation Classroom Training

Credit Card
Reconciliation
Finance Systems Training
Finance Business Solutions – User Support & Training
Agenda
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What is Credit Card?
Process flow
Add to favorites
Identify cards that needing
reconciliation
Customise your screen layout
Reconcile a statement
Reconcile personal expenditure
Disputed Transactions
Statements & Attachments
Reports
NS Financials Overview
Asset
Management
Expenses
Credit Card
eProcureme
nt
Accounts
Payable
Purchasing
Billing
General Ledger
Accounts
Receivable
What is Credit Card?
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Credit Cards are issued to employees to pay for Travel and
University expenses.
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Eliminates the need for employees to claim reimbursable
expenses.
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Assets should not be purchased with the Credit Card.
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Cards are to be reconciled monthly or they could be
cancelled.
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No Receipt – Choose GST code NIAO.
Responsibilities
UNSW Credit Card Procedure
http://www.fin.unsw.edu.au/files/CreditCard/Credit_Card_Procedures.pdf
UNSW Finance Website – Credit Card Services
https://www.fin.unsw.edu.au/OurServices/FinancialOperations_CreditCard.ht
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• Cardholder
• Reconciler
• Manager/Approver
Cardholder Responsibilities
- UNSW Business Purposes / NOT personal expenses Personal Expenses must be reimbursed
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Reconciled monthly –
Must notify Reconciler/Card Administrator of extended absences
- Provide Reconciler with –
Chartfields, Invoices/Receipts and Supporting Documents
- No Tax Invoices or Receipts – Transaction Declaration form
required.
- Identify disputed transactions promptly and action immediately
- Cardholder and their manager to sign statements.
Reconciler Responsibilities
- Reconcile no later than 14 days after the end of the statement period.
- Notify Card Administrator if rec cannot be completed within timeframe.
- Ensure disputes are raised immediately. Staff should also notify
Cardhelp if they have flagged an item as in dispute.
- Print Statements only after receiving notification at the end of each
statement period AND only after each transaction has been reconciled.
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Attach Receipts/Tax Invoices/Supporting Documents to the statement.
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Before sending on to Accounts Payable - Cardholder & the
Cardholders Manager must sign.
Manager / Approver Responsibilities
- Confirm all transactions are for UNSW business purposes and have an
attached Tax Invoice or Receipt and supporting documentation where
appropriate
- Ensure reconciliations are correct – Comments, Chartfields, Tax Codes
- If approving transactions without supporting Tax Invoices or Receipts,
ensure they have signed the Cardholders signed Transaction Declaration
form and Tax Code changed to NIAO for these transactions
- Sign all statements after confirming transactions & reconciliations
- If absent for UNSW for extended periods, delegate authority and notify
Accounts Payable – [email protected]
Process Flow
Cardholder makes
purchase.
Bank sends daily file
to UNSW and direct
debits UNSW’s bank
account monthly.
Card Administrator
loads file daily.
Yennie Fadjar Ext. 53885
Reconciler
YOU
Reconciles transactions
daily, weekly or monthly.
Prints Statement monthly
when email received.
Arranges for Cardholder
and their Manager to sign
the Statement.
Scans receipts & signed
statement and add as
Credit Card Attachment in
NS Financials
Compliance Officer
performs audit of
Statements.
Compliance Officer records
Statement as received in NSF
(returns Statement if receipts
missing etc).
Workflow e-mails
Statements:
1. When to Print Statement
2. Compliance Officer - Overdue Statement &
Documentation
Reconciliation Reminders:
1. Transactions overdue - 21 day reminder email
Budget Checking Errors:
1. Budget Checking Errors
The Credit Card Menu
Searching for statements
Searching for statements
Customise your screen layout
Customise your screen layout
Customise your screen layout
Customise your screen layout
Customise your screen layout
Customise your screen layout
Each purchase must have:
1. A Business Purpose
2. An Expense Type
3. Comments
4. Chartfield Combination /Accounting
Distribution
5. Approval
Reconciliation steps
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1.
A Business Purpose
2.
An Expense Type
3.
Comments
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Chartfield Combination /Accounting
Distribution
5.
Approval
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3
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5
Comments
1. Modem
2. Shaleen Batra
3. Replace existing faulty modem
Comments are mandatory – they will appear in the
reports
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Exercise 1: Single Line
Go to Reconcile Statement
Select any transaction line and reconcile the
item:
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Business Purpose
Expense Type
Comments
Chartfield Distribution incl. GL Account
Code
 Status
Chartfield Combinations
Use the defaults or one of the following
FUND: OP001
DEPT: CEIC
PROJ: N/A
OR
FUND: OP001
DEPT: PHYS
PROJ: N/A
Split Chartfields / Accounting
Distribution
Account
Distribution
Icon
Exercise 2: Multiple Chartfields
Use the existing transaction line
Select the distribution icon:
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Select the Distribution Icon
Update the Amount or Percent field
Select
to add a new Distribution line
Update the Chartfield Distribution on the second
line
 Status
Chartfield Combinations
Use the defaults or one of the following
FUND: OP001
DEPT: CEIC
PROJ: N/A
OR
FUND: OP001
DEPT: PHYS
PROJ: N/A
Mixed Supply GST Invoice?
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Ensure the GST code in system matches to Tax Invoice
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Does the tax calculated by the system agree to GST on Tax
invoice?
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GST 1/11th of Total invoice/sale price
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Look out for items marked with symbols
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Invoices may also show GST calculations
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Mixed Supplies – need to enter Taxable items and GST free
items on separate lines with GST code (Telstra bills, Cabcharge,
Hotels, Travel, basic food, etc)
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Calculate the pre GST amounts for taxable totals prior to
reconciliation
When Does GST Apply?
When is it applicable?
Taxable supply
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for consideration
in course of furtherance
of carrying on enterprise
connected with Australia
registered or required to
be registered
not GST free or input
taxed
Taxable sales
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price includes GST
pay GST on sales
claim GST on purchases
1/11th of Total invoice/sale
price
When is it not applicable
GST free sales
 Basic food - meat, milk,
bread, fruit and vegetables
 Most education, child care,
health
 Most exports – goods within
60 days
 Can claim a input tax credit
on purchases
 Input Taxed sales
 Residential property
 Financial transactions
 Cannot claim GST credit
Exercise 3: Group Invoice Task
In groups of 2 or 3 review each of the 9 invoices
Indicate which of these is for:
 Taxable items only
 Tax Free items only
 both Taxable and Tax Free items – that is have a
mixed GST treatment and would require splitting
lines
Taxable Invoices:
GST = 1/11th of the Total
Tax Free Invoices:
GST = $0.00
Mixed Treatment Invoices:
GST NOT = 1/11th of the Total
Important: Invoice & Systems Tax
Match
Taxable Invoices:
GST = 1/11th of the Total
Tax Free Invoices:
GST = $0.00
Invoice 1 – Officeworks
Invoice 2 – Redcoal
Invoice 4 – Optus *
Invoice 6 – Apple Store
Invoice 7 – Cabcharge *
Invoice 8 – Integrated DNA Technologies
Invoice 3 – Boris FX
Invoice 9 – Voyager
* You may wish to consider the use of BULK
Purchase orders for these suppliers.
- prior payments received
- previous unsettled charges
- tax free items
Mixed Treatment Invoices:
GST NOT = 1/11th of the Total
Refer to Finance Knowledge Base under
Purchasing for guidance –
The systems will automatically apply a GST
FREE default to FX transactions.
Invoice 5 – Coles Randwick
Taxable Items –
GST –
Tax Free Items –
Total -
$
7.21
.72
33.67
$ 41.60
Tax Invoice Examples
Splitting Lines
Note:
When you split
a line it is split,
you cannot
unsplit it.
If you make a
mistake you will
need to be
creative.
STA Tax Invoice Example
Is the GST Amount
1/11th of the Invoice
Total?
This invoice includes
both taxable and tax
free items
NS Financials – Credit Card Reconciliation
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Merchant Fee is taxable - $19.83 + $1.98 GST
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Remaining charges - $1,453.79 Tax Free
Business Purpose : Travel International & Expense Type : Airfare
International
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Defaults VAT code to FRAO (tax free)
NS Financials – Credit Card Reconciliation
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Merchant Fee is taxable - $19.83 + $1.98 GST
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Remaining charges - $1,453.79 Tax Free
NS Financials – Credit Card Reconciliation
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Merchant Fee is taxable - $19.83 + $1.98 GST
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Remaining charges - $1,453.79 Tax Free
NS Financials – Credit Card Reconciliation
Business Purpose :
Expense Type :
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Merchant Fee is taxable - $19.83 + $1.98 GST
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Remaining charges - $1,453.79 Tax Free
Travel International
Other GST, or Transact Fee GST-Intl Airfare
- Defaults VAT code to AO (taxable)
Exercise 4: Mixed GST – Split Line
Select an AUD transaction line
Reconcile the transaction:
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Select a Business Purpose & Expense Type
Enter comments for the transaction item
Select the Distribution Icon & complete the Chartfields
Ensure only the line you want to spilt is selected (ticked)
Select Split Line
Enter description (e.g. Tax Free Item) & Update the Amount
Select
to add a the second line
Enter description (e.g. Taxable Item) & Confirm the Amount
Select OK to confirm the split
Note: once you do this you cannot reverse the split.
 Update the VAT for the Tax Free line to FRAO
 Update Status & Save
Disputed Transactions
Raise disputes promptly and advise the Card
Administrator – [email protected]
Disputed Transactions
Business Purpose
Other Expenses
Expense Type
Other GST/ No GST
Account
6486
Disputed Transactions
Exercise 5: Dispute a Transaction
Select any transaction line
Reconcile the transaction:
 Select Business Purpose Other & Expense Type Other GST / No
GST
 Enter comments for the transaction item
 Select the Distribution Icon & complete the Chartfields
Note the GL Account Code should be updated to 6486
 Update Status & Save
 Select the Disputed Transactions tab
 Enter the Amount in Dispute
 Enter the Description “In Dispute”
 You would also usually email the Card Administrator to advise a
dispute has been raised – [email protected]
 You should include the Cardholder Name & ID, Merchant, Amount
Disputed
Personal Spend
Default GL Account –
IMPORTANT: DO NOT
CHANGE
ACCOUNT: 7573
No Receipts - Transaction Declaration
Form
IMPORTANT: CHANGE VAT CODE TO NIA
Exercise 6 & 7: No Invoice & Personal
Spend
Select any transaction lines
Reconcile a transaction for an item without an invoice/receipt:
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Select a Business Purpose & Expense Type
Enter comments for the transaction item
Select the Distribution Icon & complete the Chartfields
Select the No Invoice tick box
Update the VAT for the line to NIAO
Update Status & Save
Reconcile a transaction for a Personal Expense:
 Select Business Purpose Private Expend & Expense Type Private
Expend
 Enter comments – 1. Personal Expense, 2. Name, 3. To be reimbursed
to UNSW
 Select the Distribution Icon & complete the Chartfields
Note - Do not change the GL Account: 7573
 Update Status & Save
Print Statement
Print Statement
Print Statement
Statement
Signature Requirements
Line Manager signature on the statement
is mandatory and this responsibility
cannot be delegated.
Cards that fail this audit are in danger of
being cancelled.
Adding Scanned Attachments
 Print your statement and have the cardholder
and their manager sign it (this is an ATO
requirement).
 Once you have scanned your signed statement
and receipts for the period (click here for tips on
scanning) you should attach them electronically
to your statement in NS Financials. You can
scan them into one file or several files, it is up to
you.
Adding Scanned Attachments
 Go to the Credit Card Attachment menu and search for the
cardholder and statement period that you are loading the
attachments for.
Adding Scanned Attachments
 Use the Add Attachment button to add attachments to the
statement. If you have multiple attachments you can keep
pressing the Add Attachment button until you have loaded all
your documentation.
Adding Scanned Attachments
 When you have loaded your attachments press the Save
button.
It is NOT necessary to send your hard copy documentation to Accounts
Payable.
Reports
Standard Reports
Print Statement
Statements should be printed within 21 days of the
online statement date. Only when e-mail is received
with permission to print.
Credit Card Transactions
Purchase Summary by Vendor
Expected Credits
Support & Guidance
• Finance Website – Accounts Payable - Credit Cards
http://www.fin.unsw.edu.au/OurServices/FinancialOperations_CreditCard.ht
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• Credit Card Services
Yennie Fadjar, Card Administrator
Ext. 53885, Email [email protected]
• UNSW Credit Card Procedure
http://www.fin.unsw.edu.au/files/CreditCard/Credit_Card_Procedures.pdf
• Online Training Tool
http://www.fin.unsw.edu.au/NSF_KnowledgeBase/OnlineTrainingTool.html
• Quick Reference Guides
http://www.fin.unsw.edu.au/NSF_KnowledgeBase/QRG.html
User Support & Training
Questions?
• Finance Website – Training
https://www.fin.unsw.edu.au/NSF_KnowledgeBase/FKB_Training.html
• Training Enquiries
Rohin Whitford, Finance Trainer
Ext. 53550, Email [email protected]