GEC versus DI Guide

General Error Correction (GEC) versus Distribution of Income and Expense (DI)

Document Purpose Pros Cons

GEC

To correct erroneous accounting string data for general ledger entries generated from other financial transactions.
  • Provides an audit trail connecting the original accounting lines to the corrected accounting lines
  • Validates the accounting string data of the original entry for reversal
  • Ensures you do not move an entry more than once
  • Requires that you reallocate the entire amount of a posted entry (i.e. if only a portion of the entry needs to be moved, requires the other portion be reallocated back to where it originally posted)
DI To distribute the income or expense, assets and liabilities from a holding account to one or more appropriate accounts when one account has incurred expenses or received income on behalf of one or more other accounts.
  • Allows you to move from one accounting line to many accounting lines (and vice-versa)
  • Allows you to move only a portion of a posted accounting entry
  • Does not prevent you from distributing a single amount more than once
  • Is not associated with the originating transaction

What is “accounting string data?”

  • Account, Sub-Account, Object, Sub-Object, Project code values

What constitutes “erroneous?”

  • Incorrect account, object, sub-account, sub-object, project code
  • Accounting string data was missing from the posted transaction

General Guidance

Use the GEC...

  • If the accounting string data on the original entry was not correct and you need to “correct,” “reclassify,” or “move” the transaction
  • To correct the account, object, sub-account, sub-object, or project code to which a transaction is posted
  • Always complete the error certification tab to document what is being corrected even when it is not required

Common GEC uses:

  • Reverse current year use tax
  • Incorrect object code (sub-object) or account (sub-account) was used
  • Forgot to include T# in Org Ref ID for travel
  • Forgot to include a project code on original transaction
  • Correct PCard transaction that auto-approved
The GEC must be used for sponsored accounts

Use the DI...

  • If the accounting string data on the original entry was correct and you are now creating additional entries to “allocate” or “distribute” the entry.
  • To distribute a lump sum transaction (income or expense) to multiple accounts, objects, sub-accounts, sub-objects, or project codes

Common DI uses:

  • Distribute a deposit that posted to a holding account to various accounts
  • Reallocate expense that hit a clearing account to departmental accounts
  • Distribute a deposit to revenue object codes
  • Monthly (or quarterly) allocations of revenues or expenses
  • Allocate a portion of an expense to another account
  • Allocate a lump sum of income or expense to a sub-account or project code
    • e.g. allocating ASC expenses to sub-account
  • Reverse prior year use tax
The DI may not be used for sponsored account expense transfers, with the exception of prior year transfers that cannot be processed on GEC. An error certification form must be attached to the DI justifying the expense transfer.