General Ledger Encumbrance Utility - MY Action Code

Owned by Knowledge Assistant
Last updated: Nov 21, 2024
Description of Issue
  • Site ran GL Encumbrance Utility (GLENCUTE) and have questions about MY Action Codes
  • What is the significance of MY Action Code if it says to add a JNL?
  • The same account is listed for two fiscal years is this a MY?
Context
  • General Ledger Encumbrance
  • GLENCUTE
  • Encumbrance
Cause
  • The Multi Year warning is used when there are transactions that cross years
  • Encumbrance Debit amount in one fiscal year while Liquidation Credit amount is in another
Resolution
  1. On the report, sum the column PO/CONTRACTS/EE for both years for the account in question and compare to the sums for the GENERAL LEDGER AMT and JOURNAL AMT columns. 
    • If the amounts match for the account do not take any action, Encumbrance should balance itself out at the end of the year
    • If the amounts DO NOT match reconcile each fiscal year's listed amount reconcile both fiscal years, please view How to prove encumbrances
      • Contact Munis Financials General Ledger Purchasing if assistance is needed
  2. errors to the same account. One error for current year and the other error for next year for the same amount indicates a cross year transaction. Report may indicate that a JNL is needed however this MUST be verified before making any GEL journals otherwise could result in issues during year end since MUNIS will make the appropriate journal to carryforward any needed encumbrances during year end it is recommended to test closing the year in training and verify if the 2 errors are then cleared.
  3. Typically, all errors should be cleared before the fiscal year is closed in Train, (2 errors for the same account is the exception if testing is needed to prove the errors will clear) proven correct encumbrances in last and new year then run again once year opened.
Additional Information
  • While the utility is smart enough to know journals are needed it does not know the Close Fiscal Year/Open Fiscal Year processes post their own journals automatically resolving the issue
    • Close Fiscal Year posts a Year End Close (YEC) journal to period 13 that liquidates encumbrance with a Credit amount
    • Open Fiscal Year posts a Start of Year (SOY) journal to period 0 of the new year for carry forward encumbers with a Debit amount
  • If a GEL is entered to fix JNL next the MY Action Code and is not needed it will result in a prior year encumbrance amount, GEL journals do not carry forward
    • Open PO amounts carry forward automatically but GEL manual journals do not, Munis has no way to know the intent of a GEL its not actually tied by the system to the PO
  • Year can be closed in Train database to ensure encumbrances liquidate and carry forward correctly
  • Master Article - How to use the General Ledger Encumbrance Utility - GLENCUTE