OLE uses the Offset Generation table inherited from KFS to generate appropriate offsets for transactions. This table indicates the object code used in offset generation, based on the transaction's chart, fiscal year, document type, and the balance type it affects. Offsets are generated automatically by a OLE e-doc or in 'Scrubber' during GL processing (i.e. batch jobs).
Normally, offsets are applied to the same account as the transaction that generated the offset. But OLE has a flexible offset feature that allows institutions to have offset entries applied to different accounts. This OLE feature includes two functions:
Flexible banking offset
Flexible offsets by account
Note
Offsets and full General Ledger functions in OLE will continue to be reviewed with Select & Acquire teams as we continue to build queries and budget functionality.
Document types that require a user to specify a bank account number (such as the Advance Deposit or Credit Card Receipt documents) can apply offset entries to a special account associated with this bank account number. If the ENABLE_BANK_SPECIFICATION_IND parameter is set to 'Y,' an additional set of cash entries is created to a designated accounting string (chart, account, sub-account, object code, and sub-object code) defined in the Bank document. These entries occur in addition to the normally generated cash offsets created to balance a set of transactions. In effect, they reclassify the generic cash entry to a bank-specific cash entry for reconciliation and tracking purposes. If the ENABLE_BANK_SPECIFICATION_IND parameter is set to 'N,' the normal balancing cash entries are created but the reclassification of cash to a bank-specific entry is not performed.
This option allows the user to specify the document types on which a bank code should appear. This information, which is specified in the BANK_CODE_DOCUMENT_TYPES parameter, allows you to specify bank information on additional document types that create disbursements or record revenue. A default Bank Code value should be established for each document type by using the DEFAULT_BANK_BY_DOCUMENT_TYPE parameter.
This option allows OLE to redirect offset entries for an account to another specified account. It allows OLE to accommodate tracking offsets such as cash or liabilities in central designated accounts as opposed to tracking such offset entries in every account. The Offset Account document identifies the offset account for an object code and account number combination.
If the offsets by account option is enabled within the parameter USE_FLEXIBLE_OFFSET_IND, OLE goes through a special process in e-docs and in 'Scrubber' during GL processing to determine the account that the offsets should be made to for a given transaction.
When the flexible offsets function is enabled, generation of offsets on e-docs occurs as follows:
The offset object code is defined in the Offset Definition table.
The object code and account number are searched from the Offset Account table.
If a match is found in the Offset Account table, the offset is made in the offset account defined there.
If no match is found, the offset is made in the same account on which the original transaction occurred.
Generation of offsets in 'Scrubber' when the flexible offsets function is enabled occurs as follows:
'Scrubber' looks up the document type for a transaction in the Document Type table.
'Scrubber' checks the document type of the entry against the document types defined in the parameter.
OFFSET_GENERATION_DOCUMENT_TYPES: If the document type is found in this parameter, 'Scrubber' does not generate offsets for this entry. This ensures that document types that should not generate offset entries (like journal voucher) do not have offsets generated during 'Scrubber' processing.
DOCUMENT_TYPES_REQUIRING_FLEXIBLE_OFFSET_BALANCING_ENTRIES: If the document type is found in this parameter, 'Scrubber' generates offsets even if the document type appears to be balanced. This allows 'Scrubber' to generate the proper flexible offsets for transactions that originate outside of OLE.
If you are using flexible offsets (parameter USE_FLEXIBLE_OFFSET_IND is set to 'Y'), 'Scrubber' checks the document type against those found in the parameter.
If 'Scrubber' determines in the previous steps that an offset is to be generated, it determines the transaction's offset object code using the Offset Definition table.
If you are using flexible offsets (parameter USE_FLEXIBLE_OFFSET_IND is set to 'Y'), 'Scrubber' searches for the object code and account number in the Offset Account table.
If a match is found in the Offset Account table, the offset is made in the offset account defined there. If no match is found, the offset is made in the same account on which the original transaction occurred.
