Multi-Year Fund Balance Report

Prerequisites

Prior to reading the instructions on the Multi-Year Fund Balance Report instructions, it is beneficial to review the following sections of the IU Accounting Standards Book to gain foundational information along with report requirements and best practices:

  1. Accounting Fundamentals Standards Section
  2. Chart of Accounts and General Ledger Standards Section
  3. Financial Statements Accounting Standards Section

Overview

The Multi-Year Fund Balance Report was introduced to help monitor and analyze fund balances within an entity. The Multi-Year Fund Balance report provides users the ability to track fund balances for 3 or 5 years with an option to include or exclude current balances. The report is designed to allow comparative measurement and identification of fund balance on the account, department, responsibility center, and campus to the consolidated university level on a fiscal year basis. Poor management and review of a unit’s fund balance can result in a negative fund balance due to a unit’s liabilities being greater than the unit’s assets or net deficit. For more information on what makes up the fund balance from an accounting perspective, see balance sheet in the accounting standards book.


How the Multi-Year Fund Balance Report Works

The Multi-Year Fund Balance Report is designed to show comparative year-end fund balances for either 3 or 5 of the most recently closed fiscal years. Users also have the option to include the current year fund balance in addition to the 3 or 5 years. If current year is selected, users have the option to select fund balance amounts through any completed fiscal period in the current year. Users are encouraged to select 5 years for a more comprehensive and in-depth review and analysis. The Multi-Year Fund Balance report also comes with a graph for a visual representation of the fund balance changes throughout the 3 or 5 years within the unit.

The Multi-Year Find Balance Report is made up of several essential transactions. It is important that users understand what each of these transactions represents. A brief description of each report line item is included below:

  • Beginning Fund Balance (July 1) – This represents the opening balance as of July 1 pulled directly from the balance sheet for the periods selected.
  • Net Income (Loss) – This represents the net of income earned and expense incurred for the period, pulled directly from the income statement for the periods selected.
  • Transfers In – This represents the total transfers in from the income statement to the balance sheet and typically represents revenue transfers. If users select the sum net transfers parameter, the net of total transfers will be shown as a single line in the report.
  • Transfers Out - This represents the total transfers in from the income statement to the balance sheet and typically represents expense transfers. If users select the sum net transfers parameter, the net of total transfers will be shown as a single line in the report.
  • Direct Transfers to 9899 on Asset Transfer Document – This is an entry done internally by UCO using an asset transfer (AT) document. Typically these entries are done at the campus level.
  • Direct Hits to 9899 on JV Document – This is an entry done internally by UCO using a journal voucher (JV) document. Typically these entries are done at the campus level.
  • Net Capital Purchased and FB Offset Mismatch – Due to the organizational structure of fund groups within IU, the offsetting entries used to make capital purchases are not recorded within the same fund group (typically the sale is recorded in a general or designated fund and the asset is recorded in the plant fund). This line represent the mismatch between the two fund groups to correctly record the entire purchase within one fund.

Below is an example of a Multi-Year Fund Balance Report representing 5 years and includes current year (FY 2020) fund balance amounts. In this example, transfer amounts are netted.


Running the Report

Define the search parameters to return results relevant to your organization or to a specific account. The search parameters available in the Multi-Year Fund Balance Report are divided into three parameter types: chart of account report parameters, report specific parameters and display parameters.

If there are questions related to running the report, requirements or reviewing results, please contact your (RC) fiscal officer or campus office. Each campus may have individual specific requirements related to the Forecast Report, so be sure to reach out to the related campus office or fiscal officer prior to quarter closings.

General Notes: Do not include any special characters other than approved wildcards in any of the below parameters. Additionally, do not run reports by campus as it will take up valuable computing services.

Click Save Parameter Settings to save your parameters for future use of this report. For instructions, review the Saving Parameter Set portion of the Controller's Office Reporting Tools page to learn how.