Chart of Accounts & POETAF Navigation

Purpose

The following guide is intended for all users to define and understand the utilization of the Chart of Accounts (COA) and POETAF segments.

Chart of Accounts Terminology

Chart of Accounts (COA): The Chart of Accounts (COA) is the basic structure used to record all financial transactions in the General Ledger (GL). Each segment in the COA has a distinct definition and purpose but when combined, it provides a full view of the financial transaction.

· Entity – The Entity segment is used to identify:

· A major institutional unit

· A major separate legal Unit

· Examples: Booth School of Business, UChicago Charter School Corp

· Organization – The Organization Segment is used to identify units/departments that incur costs and/or generate revenue. Generally, Organizations have:

· An ongoing objective (e.g., a distinct function)

· A permanent assembly of individuals

· An established Budget

· Fiscal oversight by a responsible individual

· May occupy physical space

· Examples: Office of Registrar, Art History

· Account – The Account segment is used to record the nature of the transaction (“Natural Account”) and are categorized as:

· Assets, Liabilities, Equity, Revenues, and Expenses

· Examples: Cash, Accounts Receivable, Accounts Payable, Tuition Revenue, Office & Admin Supplies

· Fund – The Fund segment is used to track pots of money that the institution chooses to account for separately. More specifically, it is used to track spending restrictions and designations to categorize net assets (or fund balance); detailed values track individual funds.

· Examples: General Operating, a named Endowment, a named Gift, Institutionally Designated Funds

· Purpose – The Purpose segment is used to designate the high-level purpose, mission or NACUBO classification.

· Examples: Instruction - General, Research – Sponsored Organizationed, Operations & Maintenance, Institutional Support

· Program – Programs are formal, ongoing, sets of activities conducted by academic and administrative units.

· Examples: Study Abroad, Joint JD/MBA Degree, Becker Friedman Institute, and Equity, Diversity, & Inclusion

· Activity – Activities are events, occurrences, initiatives, etc., that generate revenues and/or incur expenses. Activity segment values are used to “tag” revenues and expenses that are generated or incurred in connection with a specific undertaking or event.

· Examples: COVID-19, Staff Development, Commencement, Seminar A, Recruiting - Faculty

· Site – The Site segment is used to track financial activity (primarily revenues and expenses) to a specific operating location.

· Examples: Burton-Judson Courts, Bartlett Dining Commons, Stagg Field

POETAF Terminology

Projects Portfolio Management (PPM): Project Portfolio Management (PPM) is a module available in Oracle Cloud ERP that supports project cost accounting, such as the management of sponsored and non-sponsored projects at the University. PPM is a subledger of the University’s General Ledger.

· Project – Body of work that is being performed.

· Organization – Organization that is transacting against the project specified; corresponds to the Organization in the COA.

· Expenditure Type – Description of expense being recorded against the project specified; corresponds to the Account in the COA.

· Task – Component (s) of the body of work being performed; multiple tasks can be under one project. However, a task is unique to a project. Task is the most granular level of detail within a project.

· Award – A funding agreement supporting projects and tasks. Umbrella record containing overall financial and demographic information. Only applicable to the Grants and IADF workstream.

· Funding Source – The funding source providing support for the award, options generally include sponsors or internal sources.

Using COA and POETAF

· Requisitions & Expenses – During the creation of a requisition or expense report, users must enter the charge string for each line by entering either the COA or POETAF (or a combination where costs are being split).

· Equipment Purchase Request to a Sponsored Project: POETAF

· Professional Services Request to an Organization: COA

· Expense Report to a Faculty Discretionary Project: POETAF

· Expense Report to an Organization: COA

PPM Subledger Uses (Project Types)

· Sponsored Projects – All Sponsored Project related transactions will use the full POETAF chart string.

· Individual Awards and Discretionary Funds – All internal awards or individual discretionary projects will use the full POETAF chart string.

· Capital Projects – All Capital Projects will use the shortened POET chart string (no Award or Funding Source is required).