Year-End Closing Policies and Procedures for FY 2026

Procurement (PSO) Timeline

Timeline	Activity	Responsible Party	Notes
July 1	PSO to roll Forward Procurement Documents #1	PSO	All open Purchase Orders will roll forward into the new fiscal year unless closed. Rolled-forward POs will encumber FY27 budget funds.
July 1-14	Requesters to select appropriate Receipt Date	Requesters	Requesters must update the Receipt Date to reflect the actual date the goods or services were received. Example: If goods or services were received on June 26, but the Receipt Task is completed on July 3, the Receipt Date should be changed to June 26 on the Information tab. Note: The Receipt Date cannot be set earlier than the Purchase Order date. If the PO is created after the goods or services are received, you will receive an error when attempting to backdate the receipt.
July 14	Requesters to close unneeded Purchase Orders	Requesters	Open POs that are no longer needed should be closed before fiscal year-end. Request via an RSC Ticket.
July 15 (Day 1 Close)	PSO to roll Forward Procurement Documents #2	PSO	All open Purchase Orders will roll forward into the new fiscal year unless closed. Rolled-forward POs will encumber FY27 budget funds.
July 15 (Day 1 Close)	PSO to do the Receipt Accrual Process	PSO	PSO will accrue received goods and services that have not yet been invoiced as of this date.
July 15	P-Card Holders & Approvers to complete tasks by Deadline	P-Card Holders & Approvers	Cardholders and approvers must verify Procurement Card transactions and approve Procurement Card Verifications (PCVs).
July 16	PSO to create the P-Card Journal Entry Accruals	PSO	Review Procurement Card transactions with a billing date of June 30 and any prior months that have not yet been verified or whose PCVs have not been approved and prepare the appropriate journal entry (JE).

PSO Items to Note

Requesters must verify the receipt date when completing the receipt task to the actual date goods or services were received.

Requesters should close all unneeded purchase orders by July 14.

PSO will roll forward open purchase orders on July 15.

PSO will accrue for goods and services receipted but not yet invoiced and P-Card transactions that have not been verified and/or Procurement Card Verification not yet approved will be accrued for by PSO on July 16.

Accounts Payable Timeline

Timeline	Activity	Responsible Party	Notes
Now – July 7	Submit Expense Reports with correct Expense Report Date	Requesters	Use the actual date expenses were incurred (not submission date). Example: Expense incurred June 26 but entered July 3 → report date must be June 26. ⚠️ Allow time for approvals.
Now – July 7	Submit: • Purchase Order Invoices - Send to accpay@rit.edu • Supplier Invoice Requests through Workday ‘Create Supplier Invoice request’	Requesters	Submit early to allow time for entry, matching, and approvals before July 7 (Preliminary Statements). Items submitted after July 7 may still post to FY26 if fully: ✅ Processed ✅ Received ✅ Approved by July 15 (Final Close)
Now – July 14	Resolve Invoice Match Exceptions	Requesters	Complete required actions for FY26 items: • PO change orders • Receipt creation/adjustments • Cleanup of incomplete receipts
July 1 – July 10	Submit Accrual Journal Entries (if invoices not yet received)	Requesters	Use when goods/services were received by June 30 but not yet invoiced. ⚠️ Allow time for approvals.
Now – July 14	Process invoices, expense reports, RSC reimbursements, and supplier invoice requests	Accounts Payable	AP remains open and continues processing FY26 transactions.
July 7	Process accruals for Preliminary Statements	Accounts Payable	AP will accrue: • Invoices ≥ $5K that missed the cutoff period • All travel/expense reports
July 15 (Day 1 Close)	AP Closing	Accounts Payable	FY26 AP is closed
July 16	Process accruals for Final Statements	Accounts Payable	AP will accrue: • Invoices ≥ $50K

AP Items to Note

Requesters should submit expenses and ensure selection of proper Expense Report date to the actual date the expenses were incurred by July 7.

Requesters need to submit all pending Invoices/Supplier Invoice requests for processing by July 7.

Requesters need to resolve Invoice Match Exceptions by July 14.

Requesters processing payment for goods or services in advance of receipt of those goods or services (Prepaids) should submit the invoice to AP and indicate “FY27 Prepaid” on the invoice submitted to AP. AP will process to a prepaid account and set up a prepaid schedule to amortize the expense.

AP will review final Accrual needs:

Invoices ≥ $5K as needed by July 7
Invoices ≥ $50K as needed by July 14

Notes on Accrual and Prepaid entries:

Accruals:

Journal Entry with Journal Source: 'Accrual'
Accounting Date: 06/30/2026
Debit the Department expense account; Cost Center, Project, Gift, Grant, Spend Category, Worktags etc as appropriate.
Credit AP Accrued Expenses, Ledger Account: '20400 Accrued Expenses' and Cost Center CC00337 (Accounts Payable); spend category not required.
Create Reversal: Flagged
Reversal Date: July (for year end)

Prepaids:

Journal Entry with Journal Source: 'Prepaid'
Accounting Date: 06/30/2026
Debit Prepaid Expense, Ledger Account: '13120 Prepaid Expense' and your relating Cost center ; spend category not required.

Credit the Department expense account; Cost Center, Project, Gift, Grant, Spend Category, Worktags etc as appropriate.

Create Reversal: Flagged

Reversal Date: As applicable

Payroll

Your FY26 budget will include payroll expenses for all wages earned through June 30, 2026, regardless of when they are paid.

For biweekly payroll, this includes June 12 – June 25 (14 days) and includes June 26 – June 30 (5 days from the next pay period). Total accrued to FY26: 19 days of payroll expense.

These amounts will be accrued to FY26 and automatically reversed in FY27.

Semi-monthly payroll (June 16-30, paid June 30) is fully included in FY26 (no accrual required).

Accrual detail will now be visible on the Payroll Distribution Report.

Historically, these accruals were not reflected in payroll reports and required separate reconciliation. With Workday, departments will now be able to see these accrual amounts directly in their payroll reporting, improving transparency and reducing the need for manual tracking.

All Workday online payroll entries for work completed prior to July 1 must be entered and approved by June 23 for Semi-monthly and June 26 for Bi-weekly for salary items to be included in the preliminary department statements. Items still in progress or pending approval after this date will not be accrued.

Accounts Receivable

All income for goods or services provided to an organization outside of RIT during FY26 should be recorded with a June 30 or prior date, even if the payment has not yet been received from the customer.

Full approval for invoices has to be received by Day 3 at 1:00pm to be included in FY26 Final statements.

Journal Entry Process Monitoring

To prevent in-progress Journal Entries (JEs) from being canceled on Day 2 of closing, it will be important for approvers to monitor their tasks daily and for originators to assist in monitoring the process. A job aid for this process can be found here.

Approvers: Best practice at month-end and year-end to address tasks regularly and If you are going to be on vacation, please delegate your responsibilities to keep business processes moving forward (see Training Dashboard for “Employee – My Tasks and Delegations”)

Originators: Best practice at month-end and year-end to monitor your In-progress activities and reach out to those that may be holding up the approval process

Year-End Closing Dates

Preliminary (Soft) Close Wednesday, July 7:

Purchase orders received but not invoiced will be accrued and month-end allocations will be posted and WD operational transactions, accounting and payroll adjustments, and manual journals can continue to be processed during this period.

Final Close Wednesday, July 15 through July 20:

Day 1 (Wednesday, July 15): Payroll, Accounts Payable and Procurement activities close

Day 2 (Thursday, July 16): Accounting Adjustments and Manual JE’s close at 4:00pm

In-progress manual journal entries at 4:00pm on Day 2 will be canceled
In-progress operational transactions at 4:00pm will be recorded in July when approval process is complete

Day 3 (Friday, July 17): Accounts Receivable, Cash/Investments, PPE close

Day 4 (Monday, July 20): Final close is completed with allocations