Ledger Review

GLRS - Completing the Process

Note: This page discusses the General Ledger Review System, which is the system being used by UC Davis for ledger review through June 2015.  Starting with the July 2015 ledgers, a new Ledger Review process will be used at UC Davis.

What documentation is needed during ledger review?

There is not a written policy on how much documentation must be looked at while performing ledger review. The key is to be confident in your decision to mark a transaction as valid or invalid. Some transactions have more documentation available than others. The table below shows common transactions and possible types of documentation to be used in determining a transaction's validity. In the absence of documentation, check with others who are familiar with the transaction, then add detailed notes when annotating. Documentation is discussed further in the Accounting Manual.

Transaction Type  Documentation 
Direct Charge (DC)  Hard copy invoice from the vendor, packing slip 
Vendor Invoice (VI)  Hard copy invoice from the vendor, packing slip, DaFIS DPO/PO 
Current Budget Adjustment (CB)  Department memo, e-mail 
Interdepartmental Bill (IB) or other type of recharge activity  Memo from the recharge department, electronic access to the recharge department's system 
Distribution of Expense, Error Correction, Restricted Error Correction  Department memo; vendor invoice; e-mail correspondence from MSO, faculty, etc. 
Feed Payment Distribution (FPD)  Packing slip, invoice copy from vendor 
Credit Memo (CM)  Invoice from vendor, credit memo from vendor, DPO/PO 
Statement of Cash Collections (SCC) 

Copy of check, gift acknowledgment sent to donor 


How do I get to the annotation screen?

If the period you're reviewing is closed:

  1. Log into DaFIS Decision Support (DS).
  2. On the main menu, click General Ledger.
  3. Click General Ledger Review.
  4. On the Ledger Review menu, click Review Ledgers.
  5. On the Start Ledger Review screen, select the organization to review. If an organization you're looking for isn't listed, have the plan manager check the plan set-up.
  6. Select the Fiscal Period you want to review. Click the down arrow to see all available periods.
  7. Select the plan you want to review. If you see multiple plans and don't know which one to choose, click View Plan for details.
  8. If you're interested in only one account, select one from the down arrow. Note: If your plan has more accounts than the maximum displayed in the list, your specific account may not show. In that case, remove the account; it can be entered on the subsequent screen.
  9. Click the continue button; this takes you to the Transaction Listing (2) report.
  10. On the Transaction Listing (2) report:
    • The Custom Object Group field for most users shows DaFIS Object Consolidation/Level (PUBLIC) or DaFIS Object Consolidation (PUBLIC). If you use Custom Object Groups, you'll have other options under that menu, but do not use them because they won't enable you to annotate your ledger.
    • If you are responsible for only some of the accounts in the plan, you can specify those accounts by using the Account field. Specifically, to see one account, enter the account. If you want to see more than one account, click List, enter an account then click Add; repeat until all accounts are added.
    • If you prefer to annotate by document rather than by line item, click the Include option for Document Summarization. Annotating on a summarized document line will never annotate transactions on other accounts.
    • Click Show Notes to see notes attached to each document or line item previously annotated.
    • Do not click Include for Payroll Detail because this turns off annotation. Payroll ledgers are reviewed outside of this system; see Payroll Ledgers for details.
    • Leave the Output Format set to HTML; the other choices turn off annotation.
  11. Make any other changes desired on the screen and then click the process query button. See How do I annotate?.


If the period you're reviewing is open:

  1. Log into DaFIS Decision Support.
  2. In the Query Jump box, enter 2 and press Enter on your keyboard.
  3. On the Transaction Listing (2) input page, do the following:
    • The Month Range fields show the current fiscal year and fiscal period. Do not change those fields unless you want to view closed periods.
    • Change the Chart if applicable.
    • Complete the Organization field or if you prefer to review one or only a few accounts, use the Account field.
    • Click Enable Annotations.
    • Click Show Notes to see notes attached to each document or line item previously annotated.
    • Do not click Include for Payroll Detail because this turns off annotation. Payroll ledgers are reviewed outside of this system and are explained at Payroll Ledgers.
    • Leave the Output Format set to HTML; the other choices turn off annotation.
    • Make any other changes desired on the screen and then click the process query button. See How do I annotate?.


How do I annotate?

When viewing your ledger, you should see thumbs-up thumbs-up icon and thumbs-down thumbs-down icon icons next to transactions. If you don't see them, return to the previous screen, checkmark the Enable Annotations box, and click the process query button again. If it already had a checkmark, then ask the plan manager to add you as a reviewer.

All transactions other than payroll, encumbrances, and indirect costs must be annotated. Chart H (Hospital) departmental reviewers don’t have to review depreciation, accruals, exchange carts, or patient revenue transactions; these transactions are monitored by central offices.

If the plan uses auto-annotation, you may see an an A next to the thumb icons. There's no need to review those transactions because they've already been marked valid by the system; however, if you annotate them, the an A will change to reflect the action taken (actions are explained below).

If the period is closed, transactions needing review are highlighted in a rose-colored background. If the period is open, there is no indicator to let you know which transactions require review (see best practices).

As you move your mouse, you’ll notice the lines are highlighted in yellow. A single left click on a line while it is highlighted in yellow places a permanent highlight in green. This feature is useful as a placeholder when you are looking for a related document or line item. The green highlight can be removed by a single left click on that line. The green highlight remains only for the current session.

While reviewing a line item, you can drill down on the document type and/or document number for additional detail.

When to click the thumbs-up thumbs-up icon icon
If the transaction meets the following conditions, click the thumbs-up icon to mark the item as valid:

  • Allocated to proper account
  • Supported by proper documentation
  • Allowable per laws, regulations, agreements, and university policy
  • Goods or services have been received

The transaction will now show a checkmark.

When to click the thumbs-down thumbs-down icon icon
If the transaction does not meet the above conditions, click the thumbs-down icon. On the subsequent screen, do the following:

  1. Under Followup Code, click the most applicable reason. If you click Move Within Account, the New Status field changes from Valid to Invalid.
  2. The Note box shows the reason selected under Followup Code. Though not required, some reviewers modify that field. For example, if a charge needs to be transferred to another account, the reviewer could identify the account number. This is particularly useful when someone other than the reviewer will make the correction.
  3. Click the save button.

The transaction will show a question mark if the transaction is valid but still needs follow-up (e.g., change sub-account, sub-object, or project) and will show an an X if it's invalid.

Note: As long as the ledger hasn't been finalized, you can change an annotation from valid to invalid or vice versa, but you can't undo an annotation. In other words, if you mark a transaction by mistake, you can't unmark it.

The GL Review System ensures separation of duties. If you attempt to annotate a transaction for which you were the final organizational approver you will see a note that says, "You have already approved this document and, therefore, cannot validate this transaction." If this occurs, someone else has to annotate the transaction.


How can I add notes?

You can add notes by clicking on the Notes icon, whether it appears as checkmark, an X, question mark, corrected, blank notes field, or box with lines through it. Any previously created notes will be displayed, along with the date of the note and the name and User ID of the person who created the note. Add a note by typing your text in the box, and clicking the save button.


What are some best practices for reviewing plans?

The following tips are intended to help during ledger review:

  • Annotate during the month. In many departments, their process is to pay a bill and then file the paperwork, only to pull the paperwork at the end of the month to perform ledger review. Three advantages of reviewing transactions right away:
    • Assuming you were involved in paying the bill, the transaction is fresh in your mind, so less time is needed to recall the details.
    • You can review the transactions and file the paperwork one time, instead of filing it after paying the bill, then retrieving it when it's time to review ledgers.
    • The time spent performing ledger review can be distributed across several days, enabling you to continue with your other tasks.
  • When reviewing plans before the period closes, be mindful of statistical sampling. If your plan uses statistical sampling, remember that the sample isn't available until after the period closes. If the period is still open, review transactions at or above $2,500 (because they are not subject to statistical sampling) as well as any items identified in the plan as Full Review Items (see plans for details).
  • If you don't have enough information to decide whether a transaction is valid, add a note. Click the Notes field (located to the right of the thumbs-down icon icon) and add a note to remind you that you're still working on that one. For example, you might enter a note that says, "checking with the faculty member to confirm that the appropriate account was used". The advantage of doing this is as you're looking at the transactions, the Notes icon will appear as box with lines through it, which distinguishes it from the transactions that you haven't looked at yet, whose Notes icon appears as blank notes field.

What happens after I've reviewed my plan?

The primary reviewer finalizes the ledgers. You must complete this step in order to meet your monthly ledger review obligation. In addition, you or someone else in your department makes the required corrections.



Supplemental content

General Ledger Review Menu