Re: Invoice payment -- "general accounting practice"

Hi all.

I'm curious to know what the point is of said "general accounting
practice"?  Can anyone explain the reasoning for keeping the accounts this
way, besides creating, " a lot of extra record-keeping!"?

Does it save money in each fiscal year doing this "general accounting
practice"? Or is it a more accurate picture of what is truly spent within a
fiscal year by keeping the books in this manner?

Thank you.
-Carol Kornhauser

On Wed, Nov 18, 2015 at 2:35 PM, <acqnet-l_at_lists.ibiblio.org> wrote:

> This happened to us at the College of Charleston probably 15 years ago. It
> creates a lot of extra record-keeping! We are happy to answer any questions
> you might have. I have a fantastic accounting assistant, Salter Scharstein.
> Katina Strauch
>
>
>
> *From:* ACQNET-L [mailto:acqnet-l-bounces_at_lists.ibiblio.org] *On Behalf
> Of *acqnet-l_at_lists.ibiblio.org
> *Sent:* Wednesday, November 18, 2015 10:27 AM
> *To:* acqnet-l_at_lists.ibiblio.org
> *Subject:* [ACQNET-L] Invoice payment -- "general accounting practice"
>
>
>
> Hi all,
>
>
>
> I am hoping to find out if your institution’s Accounting Office is doing
> something similar to what our College’s Financial Services Office calls
> “general accounting practice.”  Recently, we were informed by our Financial
> Services Office that payments for renewals/subscriptions will come out of
> our budget matching exactly when the subscription term takes place.   Our
> fiscal year starts June 1 and ends May 31 the following year.
>
>
>
> Say we just a renewal invoice for database subscription for 01/01/2016 –
> 12/31/2016 that is billed at 1200.00 for the renewal.  Our Accounts Payable
> is now splitting the $1200 into two fiscal year because the subscription
> period falls into two separate fiscal years.  So this is what they are
> doing now – they split the total into two amounts by charging five months
> of the subscription (Jan. 1 – May 31, 2016), $500 against current fiscal
> year budget.  And holding $700.00 to be put against next fiscal year which
> it starts on June 1, 2016.    They would still pay the whole bill in full
> $1200 to the vendor/provider.   So basically at the Library we have to
> invoice $500 for current fiscal year in our ILS and set a reminder to
> invoice the other $700 when new fiscal year starts in June.    We’ve never
> had to invoice this way for the past 12 years since I’ve been here until
> very recently.   The Accountant in our Financial Services Dept. called this
> as a “General Accounting Practice.”    I was wondering how general this
> practice really is as she calls it  and if any other institution’s
> Accounting Office/Dept. is doing something similar?   I guess I’m looking
> for endorsement to this “general accounting practice” to lower my blood
> pressure … sigh!
>
>
>
> Thanks in advance for any information you are willing to share!
>
>
>
> Best,
>
> Dung-Lan
>
>
>
> *********************************************
>
> Dung-Lan Chen
>
> Bibliographic Services/Acquisitions Librarian
>
> Lucy Scribner Library
>
> Skidmore College
>
> 815 N. Broadway
>
> Saratoga Springs, NY 12866
>
> Voicemail: 518-580-5511
>
> Fax: 518-580-5541
>
> Email: duchen_at_skidmore.edu
>
> *********************************************
>
>
>
> _______________________________________________
> ACQNET-L mailing list
> ACQNET-L_at_lists.ibiblio.org
> http://lists.ibiblio.org/mailman/listinfo/acqnet-l
>
>


-- 

*Carol Kornhauser*

*Acquisitions Coordinator*

*Shadek-Fackenthal Library*

carol.kornhauser_at_fandm.edu

*p. *717-291-3841 | *f. *717-358-4436

*USPS Mailing Address*
*Franklin & Marshall College*
*Library Acquisitions*

P.O. Box 3003

*Lancaster, PA 17604-3003*

*FedEx/UPS/Airborne/DHL Mailing Address*

*Franklin & Marshall College  *
Library Acquisitions

415 Harrisburg Avenue

*Lancaster, PA 17603-2615*


.לִמְנוֹת יָמֵינוּ, כֵּן הוֹדַע;    וְנָבִא, לְבַב חָכְמָה

So teach us to number our days, that we may get us a heart of wisdom.


_______________________________________________
ACQNET-L mailing list
ACQNET-L_at_lists.ibiblio.org
http://lists.ibiblio.org/mailman/listinfo/acqnet-l