Fiscal Year End Process​

​Important Dates

The payment process is the same as usual, but it is necessary to ensure that the expenditure and cash disbursement are in the same month at June 30 by using the correct STARS Effective Date on your fiscal coding. From the Year-End Closing Memo:

  • Process all outstanding "Posted Pending" transactions as soon as possible and no later than July 5
  • July 8, post the U.S. Bank P-card Application payments using a June effective date.
  • No later than July 8, process your payment to U.S.​ Bank for the June expenditures with a June effective date.

Objectives and Processes

Two objectives must be met at fiscal year-end:

  • The P-Card liability account 2105 must be zero at year end
  • The payment to the bank has to be paid in full.

To achieve these objectives, all transactions need to be posted to STARS by the end of June. Any transactions remaining “not verified” and/or “not approved” should be posted/pending through the end of June. Transactions posted by the bank with a July date will have to be reconciled on the June statement, but paid and processed in July for the new fiscal year.

Your agency may have purchases made in the calendar month of June, but these would not be posted and processed by the bank until July 1. The P-Card application uses the bank’s posting date for the effective date when processing the transaction in STARS. Therefore, these transactions will be processed in STARS in the new fiscal year.

The following steps must be followed in order to ensure that the liability account is reduced to zero and remains at zero for year-end processing.

1. As soon as you receive the June Statement, the Administrator will run a reconciliation report for the statement dates and a Potential Post/Pending Report. Both reports should be run for the same time periods. Your Potential Post/Pending amounts should match on the two reports.

2. The P-Card Administrator will execute Posted Pending for transactions through June 30, 20XX. The P-Card Application will flag all transactions that are not verified and/or approved. All transactions flagged “posted/pending”, will process that evening in STARS.

These entries will post to STARS as follows:

  • Dr - Expenditure
    • Cr - P-Card Liability

3. In July, the Agency will pay using a TC28Z, using the effective date of June 30, 20XX for June dated transactions and July, 20XX for transactions posted in July. The payment will clear out the liability account in the closing fiscal year and apply accordingly to the July liability as well.

  • Dr - P-Card Liability
    • Cr - Cash

4. Adjustment transactions for the Posted Pending transactions are done automatically when the Posted Pending transactions are finally approved. Approve these transactions byJuly X, 20XX(closing date). The Post/Pending adjustments will post to STARS with 27A, 27B, 27C & 27C transaction codes. These entries will post as follows:

Post/Pend Original Entries Reverse

  • Dr - Cash
    • Cr - Expenditure

Post/Pending Adjustments

  • Dr - Expenditure
    • Cr – Cash

Reports

Several reports are available in P-Card, STARS, and IBIS to help with the FYE process:

P-Card

  • The Potential Posted Pending report, using statement dates June 1 -30 of the FY and another using dates for the full fiscal year.
  • The Posted Pending report, using statement dates June 1 -30 of the FY and another using dates for the full fiscal year.
  • The Reconciliation report, using the dates of the bank statement at FYE.

STARS

  • DAFR8160 - Trial Balance report

IBIS Statewide Reports

  • P-Card Liability by Calendar (STARS Effective) Date
  • P-Card Liability by Posting (Document) Date