Creating and Posting Encumbrance Data to PeopleSoft Enterprise Financials

This chapter provides an overview of posting processes and describes how to:

Run the posting processes.
Report encumbrance error messages.

Understanding the Posting Processes

A useful feature of the Commitment Accounting business process is that you can post your encumbrance data to PeopleSoft Enterprise Financials, ensuring that the two systems are synchronized. Before you can post encumbrance data, calculate it using either the Fiscal Year Encumbrances process (PSPENANN) or the Nightly Encumbrances process (PSPENNHT).

Use the Fiscal Year Encumbrances process to calculate encumbrances for the entire fiscal year. Use the Nightly Encumbrances process to update encumbrance data as you make changes to budget or person data. After running each of these processes, run the Encumbrance GL Interface process (PAYGL03) to post the results to the general ledger. The following diagrams illustrate how the data moves from PeopleSoft Enterprise HRMS to PeopleSoft Enterprise Financials. If you are using PeopleSoft Enterprise Financials for Education and Government, you will transfer encumbrance data to the PeopleSoft Enterprise General Ledger ledgers. If you are using core PeopleSoft Enterprise Financials, you will transfer encumbrance data to the Commitment Control ledgers.

Posting PeopleSoft Enterprise HRMS encumbrance data to PeopleSoft Enterprise General Ledger for Education and Government

Posting PeopleSoft Enterprise HRMS encumbrance data to PeopleSoft Enterprise Commitment Control

Running the Posting Processes

This section discusses how to:

Calculate fiscal year encumbrances.
Run the fiscal year encumbrance process (PSPENANN).
Calculate nightly updates to encumbrances.
Run the nightly encumbrances process (PSPENNHT).
View and modify suspense combination code encumbrance transactions.
Run the encumbrance GL interface process (PAYGL03).

Common Elements Used with Encumbrances

Fiscal Year	Enter the fiscal year for which you want to create pre-encumbrance and encumbrance transactions.
Fiscal Year Begin Date	Enter the date from which the fiscal year begins.
Fiscal Year End Date	Enter the fiscal year end date.
Encumbrance Begin Date	Enter the date that you want the system to start calculating encumbrances. For example, if your fiscal year runs from April 1 to March 31, and you specify May 1 as the Encumbrance Begin Date, the encumbrance calculations are prorated to 335 days (rather than 365). The first time you run a fiscal year encumbrance, specify the Encumbrance Begin Date to be the same as your Fiscal Year Begin Date, unless you need to recalculate your entire fiscal year’s encumbrance after you’ve already posted actuals data (for example, if there is a significant budget change). In that case, set the Encumbrance Begin Date so that only encumbrances for the remaining part of the fiscal year are calculated.
After [X] record(s) have been processed, the Maximum Error % allowed is	Enables you to specify how many errors the system allows before the process terminates. Set the system so that after it processes a certain number of records, the maximum error % allowed can't exceed a specific amount. For example, you could specify that the After 10 record(s) have been processed, the Maximum Error % allowed is field value is 10.000. In other words, only one in 10 records can produce an error before the process stops.

Pages Used to Run the Posting Processes

Page Name	Object Name	Navigation	Usage
Fiscal Year Encumbrances	RUNCTL_ENC_FY	Set Up HRMS, Product Related, Commitment Accounting, Process Encumbrances, Fiscal Year Encumbrances	Calculate fiscal year encumbrances.
Nightly Encumbrances	RUNCTL_ENC_NHT	Set Up HRMS, Product Related, Commitment Accounting, Process Encumbrances, Nightly Encumbrances	Update encumbrance calculations after changing data.
Encumbrance Suspense ComboCode	HP_ENCERN_SUSP_DST	Set Up HRMS, Product Related, Commitment Accounting, Encumbrances Information, Encumbrance Suspense ComboCode	View earnings encumbrance transactions that the system posted to the suspense combination code. Change the account information.
ChartField Detail	HMCF_HRZNTL_CFLD	Click the Edit ChartFields link on the Encumbrance Suspense ComboCode page.	Use to select individual ChartField values or search for an existing combination code.
Encumbrance GL Interface	RUNCTL_PRCSDATE	Set Up HRMS, Product Related, Commitment Accounting, Process Encumbrances, Encumbrance GL Interface	Creates transactions to post to PeopleSoft Enterprise Human Resources encumbrance records (to both the general ledger system and the Actuals/Encumbrance table in PeopleSoft Enterprise Human Resources). The Actuals/Encumbrance table, in turn, updates both the Department Budget Actuals and Budget Actuals pages. Run the Encumbrance GL Interface process (PAYGL03) after you run the nightly or fiscal year encumbrance processes.

Calculating Fiscal Year Encumbrances

Once you've set up your budgets and encumbrance information at the appropriate levels—department, position pool, position, job code, or appointment (job)—you're ready to run the Fiscal Year Encumbrance process, which calculates encumbrances for the fiscal year and then posts encumbrance data to the general ledger. Then, on an ongoing basis throughout the year, you may want to calculate and post updates to your encumbrance data using the Nightly Encumbrance process.

The Fiscal Year Encumbrance process creates baseline pre-encumbrance and encumbrance transactions for the fiscal year. It builds transactions for all filled and vacant positions based on the Job Data - Payroll page (JOB_DATA2), Job Earnings Distribution page (JOB_DATA_ERNDIST), Position Data - Specific Information page (POSITION_DATA5) (for vacant positions), and Department Budget component (DEPT_BUDGET).

The Fiscal Year Encumbrance process only calculates encumbrances for departments for which you've enabled the Commitment Accounting business process on the Departments - Comm. Acctg. and EG page (DEPTARTMENT_TBL_CA).

The Fiscal Year Encumbrance process:

Estimates earnings for the entire fiscal year.
Estimates deductions and taxes as a percentage of earnings plus a flat amount (if stated on the Encumbrance Definition page (ENCUMB_DEFN)) for the entire fiscal year.
Uses funding information from the Job Earnings Distribution page, Job Data - Payroll page, or Dept Budget Earnings page (DEPT_BUDGET_ERN) to determine funding sources for earnings.
Uses the funding information from the Encumbrance Definition page to determine funding sources for employer-paid deductions and taxes.

When calculating encumbrances, the system doesn't look at a person's actual benefits enrollment and tax situation; it estimates these based on the information on the Encumbrance Definition page. Tax class and benefit budget group-level default values at the department, job code, position pool, position and appointment level are defined to calculate the benefit and tax estimates for encumbrances. pre-encumbrance and encumbrance calculations reflect future-dated budget, encumbrance definition, position, or job changes.

The Fiscal Year Encumbrance process allocates transactions without funding sources or adequate funding to the department budget’s suspense combination code. View these transactions and specify a new combination code on the Encumbrance Suspense ComboCodes component (HP_ENCUMB_SUSPNSE).

The system processes transactions that exceed their budget cap if the funding source has the Allow Overspend check box selected on the Department Budget component. The process generates a warning for these transactions.

Setting Up Encumbrance Definitions

Entering Payroll Processing Data

Entering Position-Specific Information

Running the Fiscal Year Encumbrance Process (PSPENANN)

Access the Fiscal Year Encumbrances page.

Run Previous Errored Encumbrances

Select to restart a previous process that contained errors. The system reprocesses only those records containing errors.

Complete Restart/Ignore Previous Errors

Select to remove all processed values from the system and restart the process. Run the process again.

Encumbrance Prorate Option

If you are prorating encumbrances across accounting periods, you can prorate using calendar or work days. Indicate if the encumbrance prorate option is Cal Days (calendar days), Work Days, or N/A (not applicable).

Note. After running fiscal year encumbrances, run the Encumbrance GL Interface process (PAYGL03) to post the encumbrances.

Calculating Nightly Updates to Encumbrances

As you change data in your system, your encumbrance calculations may require adjustment. Update the encumbrance calculations by periodically running the Nightly Encumbrances process (PSPENNHT). You can run this process at any time and as frequently as required.

Run the Encumbrance GL Interface process (PAYGL03) after you run of the Nightly Encumbrance process.

Overview of the Nightly Encumbrance Process

Various online events cause a pre-encumbrance or encumbrance to process. Only current and future records can create an encumbrance trigger for effective-dated rows. When these events occur, the system writes a record to the Encumbrance Trigger table (ENCUMB_TRIGGER). These trigger records serve as the input for the Nightly Encumbrances batch process (RUNCTL_ENC_NHT) to build the full encumbrance records.

The Nightly Encumbrance process only calculates encumbrances for departments for which you've enabled the Commitment Accounting business process on the Departments - Comm. Acctg. and EG page.

The Nightly Encumbrances process (PSPENNHT) is virtually identical to the Fiscal Year Encumbrance process (PSPENANN), except that it is created by the trigger records. That is, it processes only those job data records and positions that have changed. When you run the Encumbrance GL Interface process (PAYGL03) after running the Nightly Encumbrances process, these records post to both the PeopleSoft Enterprise General Ledger system and the Department Budget Actuals page in PeopleSoft Enterprise HRMS.

The Nightly Encumbrance process:

Estimates earnings from the run control specified date to the end of the fiscal year.
Estimates deductions and taxes as a percentage of earnings plus a flat amount (if stated on the Encumbrance Definition page) from the date that the process is run to the end of the fiscal year.
Uses funding information from the Job Earnings Distribution page, Job Data - Payroll page, Position Data - Specific Information page (for vacant positions), or Dept Budget Earnings page to determine funding sources for earnings.
Uses funding information from the Encumbrance Definition page to determine funding sources for employer paid deductions and taxes.

The Nightly Encumbrance process allocates transactions that are without funding sources or adequate funding to the department budget’s suspense combination code. View these transactions and specify a new combination code in the Encumbrance Suspense Distributions component.

The system processes transactions that exceed their budget cap if the funding source has the Allow Overspend check box selected in the Department Budget component. The process generates a warning for these transactions.

Triggering Pre-encumbrance Transactions

A pre-encumbrance transaction is triggered when:

You add or correct job opening data (and the changes affect the pre-encumbrance calculation), and you’ve indicated on the Position Data (POSITION_DATA) or Job Code (JOB_CODE_TBL) component that the system is to encumber when you requisition a job or position.
Position data information is inserted, deleted, or corrected (and the changes affect the pre-encumbrance calculation), and the position indicates to encumber immediately.
Department budget information is inserted, deleted, or corrected for an entity, and the changes affect the pre-encumbrance calculation for all entities that belong to it and don't have a lower-level budget.
Encumbrance default information is inserted, deleted, or corrected for an entity on the Encumbrance Definition page and the changes affect the pre-encumbrance calculation for all entities that belong to it and don't have lower-level defaults.
In the Job Data pages (JOB_DATA), an incumbent is removed from a position and the new number of incumbents is less than the maximum head count for the position.

Triggering Pre-encumbrance Reversal Transactions

A pre-encumbrance reversal transaction is triggered when a new pre-encumbrance reverses all prior related pre-encumbrances. For example, a pre-encumbrance reversal transaction is triggered if you eliminated a position that you had encumbered upon requisition without ever filling it.

Triggering Encumbrance Transactions

An encumbrance transaction is triggered when:

A position data change impacts the encumbrance calculation for the incumbents.
Department budget information is inserted, deleted, or corrected for an entity, and the changes affect the encumbrance calculation for all incumbents that belong to it and don't have a lower-level budget.
Encumbrance default information is inserted, deleted, or corrected for an entity on the Encumbrance Definition page, and the changes affect the pre-encumbrance calculation for all entities that belong to it and don't have lower-level defaults.
Job Data records are added, corrected, inserted, or deleted.
Contract pay information is added or modified.

Triggering Encumbrance Reversal Transactions

An encumbrance reversal transaction is triggered when a new encumbrance is triggered. The remaining encumbrance balance (original encumbrance less liquidation) is reversed.

See Also

Classifying Jobs

Setting Up Encumbrance Definitions

Enabling and Controlling Department Information for Specified Customers

Classifying Jobs

Increasing the Workforce

Creating Positions

Running the Nightly Encumbrances Process (PSPENNHT)

Access the Nightly Encumbrances page.

Encumbrance Prorate Option

If you are prorating encumbrances across accounting periods, you can prorate using calendar or work days. Indicate if this option is Cal Days (calendar days), Work Days, or N/A (not applicable).

Note. After running the Nightly Encumbrance process, run the Encumbrance GL Interface process to post the encumbrances.

Viewing and Modifying Suspense Combination Code Encumbrance Transactions

When the Fiscal Year Encumbrance process (PSPENANN) and Nightly Encumbrance process (PSPENNHT) encounter transactions without funding, they post the transactions to the transaction’s department budget suspense combination code. When each process has finished running, the system displays these transactions on the Encumbrance Suspense ComboCode page. View the transactions and enter new combination code information before you run the Encumbrance GL Interface process (PAYGL03).

To view and modify earnings suspense combination code encumbrance transactions:

Access the Encumbrance Suspense ComboCode page.
Review the transaction.

The Encumbrance Suspense ComboCode page displays all the information about the transaction, including the person name and ID, the fiscal year, the original combination code (the combination code that did not have enough to fund this transaction), the encumbered earnings amount, and the funding level.
Enter a new combination code to fund the transaction.

Enter a new combination code in the ChartField Detail page to fund the encumbrance transaction. You cannot change the data in any other fields.

Note. Click the Edit ChartFields link to search for an existing combination code or select a unique combination of ChartFields on the ChartField Detail page.

See Entering or Reviewing ChartFields in PeopleSoft HRMS Transactions.

Running the Encumbrance GL Interface Process (PAYGL03)

Run the Encumbrance GL Interface process (PAYGL03) whenever you run the nightly or fiscal year encumbrance processes or make changes to the earnings suspense combination code transactions. The Encumbrance GL Interface process creates transactions to post human resources encumbrance records to both the general ledger system and to the Actuals/Encumbrance table in PeopleSoft Enterprise Human Resources. The Actuals/Encumbrance table, in turn, updates both the Department Budget Actuals and Budget Actuals pages.

See Also

Setting Up Encumbrance Definitions

Modifying Actuals Distribution After GL Posting

Reporting Encumbrance Error Messages

This section explains how to generate the Encumbrance Messages report.

Page Used to Run the Encumbrance Messages Report

Page Name	Object Name	Navigation	Usage
Encumbrance Message Report	RUNCTL_BUD009	Set Up HRMS, Product Related, Commitment Accounting, Reports, Encumbrance Messages	Run an Encumbrance Message report (BUD009), which provides information on encumbrance processing error messages. Before using this page, you must have run the encumbrance processes

Page Name

Object Name

Navigation

Usage

Encumbrance Message Report

RUNCTL_BUD009

Set Up HRMS, Product Related, Commitment Accounting, Reports, Encumbrance Messages

Run an Encumbrance Message report (BUD009), which provides information on encumbrance processing error messages.

Before using this page, you must have run the encumbrance processes

Running the Encumbrance Messages Report

Access the Encumbrance Message Report page.

Department ID (or "ALL")

Enter the department ID whose encumbrance messages you are reporting. Enter ALL to report on all departments in the selected SetID.

Run Previous Errored Encumbrances	Select to restart a previous process that contained errors. The system reprocesses only those records containing errors.
Complete Restart/Ignore Previous Errors	Select to remove all processed values from the system and restart the process. Run the process again.
Encumbrance Prorate Option	If you are prorating encumbrances across accounting periods, you can prorate using calendar or work days. Indicate if the encumbrance prorate option is Cal Days (calendar days), Work Days, or N/A (not applicable).