Workday and ERA Teams continue to work behind the scenes to address any system issues affecting F&A. Below is a summary of updates on known system issues:
New Updates (Added 11/15/2018)
ERA Awards and Workday Show Different F&A Rate Agreements
A system integration issue was causing ERA Awards and Workday to display different Rate Agreements and thus, different F&A rates. A fix was implemented in both systems and Rate Agreements are now consistent in ERA and Workday.
In order to correct F&A transactions that posted with incorrect rates, F&A transactions posted to Workday since 07/01/2018 will be reprocessed during the week of 11/12/2018. This bulk action is expected to have little to no impact on units beyond seeing additional F&A journal lines for the month of November.
Payroll F&A Encumbrances
The F&A encumbrance integration is a boomerang that is triggered after payroll posts (both for on and off cycle payroll). It creates a journal to reverse the prior F&A encumbrance that had posted and it posts another, newly calculated F&A encumbrance journal.
The journal to post the newly calculated F&A encumbrance has been posting successfully, but sometimes the reversal journal fails if related worktags on the grant (such as activity code) have changed in the interim. This results in F&A encumbrances that are overstated. KED is now being notified when the reversal integration fails so that any errors can be corrected and the integration re-run.
F&A encumbrances were overstated earlier this week due to a failed reversal on November 2nd; the errors were corrected and F&A encumbrances are now correct.
Manual F&A Adjustments
As the Workday Team continues to address system issues affecting F&A, additional reprocessing of posted F&A transactions might be necessary in the future. As F&A fixes are implemented, the Workday Team will review and track how such fixes affect manual F&A adjustments. In order to reduce potential issues with transaction reprocessing and F&A manual adjustments, units are advised that AMT will no longer process unit-level requests for manual F&A adjustments. AMT will continue to conduct F&A reconciliations during invoicing and close-out and will process manual F&A adjustments as necessary.
Unit F&A Reconciliations
As the Workday Team continues to navigate system issues affecting F&A, units are advised that total grant balance reflected in Workday might be inaccurate while fixes are implemented to Workday and/or ERA. As best practice, units should continue to do internal F&A reconciliations when doing budget projections and preparing monthly financial reports. This will ensure accurate account balances while F&A system issues are addressed.
Units that have not yet updated internal processes to accommodate the implementation of Workday can use the following process for budget projections and grant balances:
1. Pull the Budget to Actuals – Grant report in Workday.
2. Export the report to Excel.
3. Note that the Excel version of the report only includes data. Users will need to add formulas to the “Total” row and “Available Balance” column.
4. In the Excel version of the report, add any planned expenses that are not captured in Workday under the Encumbrance column (by Ledger Account).
5. Use the FA Calculator to estimate F&A.
6. Add the F&A total from calculator to Encumbrance column.
As a reminder, unit F&A reconciliations are intended to provide accurate account balances to PIs only and manual F&A adjustment request should not be submitted to AMT. AMT will continue to monitor F&A and process manual adjustments as necessary.
F&A on Posted Expenses
In Advantage F&A posted once per week. In Workday, F&A will post in real time for every posted transaction giving a more accurate representation of total expenditures for ASU awards.
ASUF F&A Rate
The F&A rate for Charitable Grants in Workday will only list the ASU portion of the F&A rate. For example, in Workday, the rate for charitable grant with an F&A rate of 10% (5% ASUF, 5% ASU) will be listed as 5% only.
Be aware that this change does not increase the amount of funds available for expenditures. For charitable grants, units are advised to use the grant’s total direct cost total for the spending limit.
Workday Subaward Ledger Account
In Advantage, there were two different object codes applicable to subawards 7314 (Sub Agreements <=$25K) and 7315 (Sub Agreements >$25K). In Workday, there is only one ledger account for subaward agreements, 7201. In ERA, AMT applies an F&A basis limit to identify the $25,000 direct cost amount that can be assessed F&A. Be aware of account for this change when doing monthly reporting and budget projections.