Balance Sheet Account Reconciliation

• The information transmitted to, contained in, and reported from UCSD's financial systems is accurate, complete, and recorded in a timely manner;
• The information can be relied upon for making financial and administrative decisions; and
• Any fraud, theft, compliance violations, and other irregularities are quickly detected and reported to the appropriate authorities.

Best Practices for Internal Controls require campus departments to review and reconcile balance sheet accounts for their financial units.  That Blink page provides information on how to perform this activity.

For questions and reconciliation support, please submit a ticket via Services & Support [About: Financial Accounting, Related to: Internal Controls, More Specifically: Internal Controls Support].

• Run the General Ledger Panorama (GLP) - General Ledger Balances Report for the last three accounting periods (quarterly) for each financial unit within the department or its area of responsibility.
• Select accounts starting with 1 and 2.  Exclude account 100000 - Interfund Cash Account (this account is reconciled by ICA).
• Document that current balances are appropriate and correct. Properly adjust balances at the source of the original transaction creating the balance.
• Run the Transaction Details Report (TDR) to review transaction data.

• Review account balances that have not changed over time because it could mean the balance is not correct, especially for accounts not frequently used.
• Some balance sheet accounts contain subledger transactions like Accounts Receivable and Accounts Payable that clear in the next accounting period.
  • Review of Receivable Aging Report in the Accounts Receivable Panorama.
    • Refer to KB0034333: Accounts Receivable (AR) and Revenue Matrix for the Non-SP AR and PPM COA Billing Exception Reports for information regarding which unbilled and billed accounts used for Receivables transactions.
  • Review of Procure to Pay Action Items in the Procure to Pay Panorama for invoice holds, invoices pending approval, uncleared Concur credit memos, etc. Also, review the Outstanding Card Charges report for unreconciled expense reports.
    • Example accounts: 200003 - Accounts Payable and 200004 - Concur Accounts Payable
• Transactions that need to be corrected at the source of the transaction.
  • For journal entries, contact the creator to process a correction journal.
    • For journals created by a central office, complete and submit the Subledger Transaction Correction form. Select Journal (Manual/Spreadsheet) from the dropdown menu.
  • For invoices that originated from PPM Billing, correct the contract and invoice(s).
    • See KB0033499, PPM Contract Amendments, for detailed instructions.
  • For other Receivables, complete and submit the Subledger Transaction Correction form.
    • Select Receivables and Cash Management from the dropdown menu.
  • For Payables, request correction through the Subledger Transaction Correction form using the Posted Payables Cost Transfer Request form (Excel).

Review balance sheet account owners (Excel).

ICA has established internal procedures for monitoring balance sheet account reconciliations.  Those procedures are outlined in the this document: Internal Controls and Accounting monitoring procedures (Word file).