Account Reconciliation Review

Purpose

Account Reconciliation Review procedures describe the one-to-one match of a department’s supporting documentation to actual charges against the Department’s Cost Centers and Projects. This ensures that expenditures are properly authorized and charged to the correct account and identifies any discrepancies or errors that need to be resolved. This process assures University administration and external parties that fiscal resources are monitored and maintained in accordance with University of Texas System and University policies and procedures.

Policy

Departments must review cost center activity on a monthly basis. The cost center’s administrator may designate a full-time managerial staff member to complete the review process as long as there is a separation of duties between the cost center review and transaction approval functions; however, the cost center’s administrator may not delegate the fiduciary responsibility of assets to another individual. Department cost center balances are to be reconciled to the PeopleSoft System (PS). Any discrepancies should be identified and corrected within 30 days or before the fiscal year end, whichever is sooner.

• Authority
  • University of Texas System Policy 142, Sections 3 - 6
  • University of Texas at El Paso Handbook of Operating Procedures, Section 7, Chapter 5, requires all account administrators to review accounts for which they have signature authority on a monthly basis.

Procedures

The cost center administrator or Reconciler should review expenditures for reasonableness by comparing the monthly activity in PeopleSoft’s SAHARA module to supporting documentation. This procedure provides evidence that expenditures are accurate, complete, and valid. It also ensures that reconciling items are researched and corrected.

As a department expends funds from their cost centers, they will issue different types of documentation. Supporting documentation is available for all expenditures including purchases, salaries, fringes, wages, operating expenses, travel, and equipment. Supporting documentation is the authorization to charge expenses against the departmental cost centers and comprises the bulk of the back-up documentation required for the account review process. The reconciliation, review, and approval process should occur monthly and within 30 days after the month-end close.

The following are examples of the expenditures or income transactions that may occur and the recommended types of documentation likely to support the expenditure/income:

• Purchases - purchase orders (MM), purchase requisitions, PRO Card transactions, should have attached copy of receipts, transaction log, or payment voucher (AP voucher), etc.
• Salaried accounts will only show a dis-encumbrance and associated expenditure. Other documentation includes:
  • Budget page with salary roster
  • Print screens of electronic appointment documents
  • Employment requisition
  • Request & Authorization memos
• Fringe benefits are centrally controlled.
• Wage GL budget category expenditures should match the daily time record for the number of hours processed.
  • Print screens of the electronic timesheet or copies of manual timesheets processed for payment 
  • Employee daily time record
• For operating expenses category:
  • Print screens of the Payment Request Voucher with copies of receipts
  • Print screens of Inter-departmental Charges and associated Purchase Requisition
  • Print screens of Pro Card Payment Voucher, Pro Card Transaction Logs and detailed receipts
• Travel category:
  • A Copy of the Travel Payment Voucher and copies of receipts to support charges to the account
  • Mileage reports and associated Payment Request Voucher print screen
• Income accounts:
  • Print screens of the Regular Deposit screen for deposits along with copies of checks and deposit slips
  • Print screens of Journal Vouchers for adjustments or corrections
• Balance forward categories. These categories are centrally controlled and there is no documentation for the initial and adjusted balance forward entries.

Once all categories have been reviewed, the Cost Center reconciler checks the reconciliation box. SAHARA will log the date and time of the reconciliation, and notify the Approver that the cost center/project is ready for review and approval. This process must be repeated if the department has multiple cost centers. All reconciliations must be completed in the SAHARA module, and all supporting documentation must be uploaded there. Manual reconciliations are no longer required.

Applicability

• Applies to all departments

Definitions

SAHARA Monthly Reconciliation module - The PeopleSoft module that all departments will utilize in processing the monthly reconciliations.  Steps to access the SAHARA module: Main Menu>Financials>UTZ Customizations>General Ledger>Sahara>Process>ARA-Accounts Reconciliation

PeopleSoft - The University's accounting system.

Fiscal Year - The University operates on a fiscal year from September 1st to August 31st.

Responsible Party

Office of the VPBA / Comptroller

Training and Support

Additional training and Support is provided by the PeopleSoft team, through periodic training classes, presentations and quick guides, located in the SAHARA training site.

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Last Updated: June 2025

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