Correct a Posted Agency Journal

How do you correct an Agency Journal (AGY) that was previously approved and posted to the General Ledger with a mistake in it? Corrections are a three-step process for which the journal creator is responsible.

• Step 1: Find and copy the original posted journal.
• Step 2: In the copy, reverse the mistakes of the original journal.
• Step 3: Create a new Agency Journal (AGY) to correctly record the transaction.

You must have the Original Journal ID of the journal to be corrected. Find it on the GL008 Revenue and Expense Activity Report in the period the transaction was posted to the General Ledger or in NUFinancials Budget Inquiries.

Step 1: Find and copy the original posted journal

Search for the original journal from the NUPortal or from NUFinancials. It is not necessary to copy the original journal, but it is recommended in order to see the original charges to be reversed. From Journal Search in NUFinancials, search for the original journal using the Journal ID from the GL008 or other source.

Navigation: NUFinancials > NavBar > NU Actuals Journal > Add/Update Actuals Journal

1. 1. Enter the original Journal ID.
   2. Click Search. Result: NUFinancials opens a new window and displays the original journal. Scroll down to find the Copy button. 

1. Click Copy. Result: a new journal is created, an editable copy of the original.

Step 2: In the copy, reverse the mistakes of the original journal

1. In Journal Purpose, select Correction Agency Journal.
2. In Original Journal Detail, enter the Original Journal ID and press <Tab>. Complete a 90-day Justification Form if one is required by clicking Not Complete.
3. In the Reason / Description field, explain the correction.

Reverse the signs of the amounts.

If the original journal had some lines that were correct, delete them before proceeding. In Journal Lines, reverse the signs of amounts on the incorrect lines to zero-out the amounts.

4. Reverse the sign on the first line and type REVERSAL in the Reference field and the subsequent field.

Validate and submit the journal to workflow.

5. Verify that Total Debits equal Total The journal must balance.
6. Click Save & Edit.
7. Click Save & Submit.

The approvers of each chart string review and approve the reversal. The word "REVERSAL" appears with the transaction on the GL008 Revenue and Expense Activity Report.

Step 3: Create a new Agency Journal (AGY)

Create a new Agency Journal (AGY) that records the transaction correctly. For help with that procedure, refer to Creating Agency Journals. Visit this webpage for instructions on creating a new agency journal.

Final Notes

The preferred process is to reverse the original journal and submit a separate correction journal. This creates history that is easy to follow and that satisfies financial reporting and control needs. You see a complete transaction trail on the GL008 Revenue and Expense Activity Report, which:

• Preserves the original journal lines
• Isolates the reversal in a separate transaction that is separately trackable, and
• Isolates a correct transaction in a separate AGY that is also separately trackable.

You may include the reversal and correction within the same journal as long as the journal rules are followed (for example, the journal must have both the 4 series and 7 series accounts in the journal). The reversal and correction lines must be separately identifiable and amounts may not be netted.

For additional assistance please contact the IT Support Center at 847-491-4357 (1-HELP) or email servicedesk@northwestern.edu.