This chapter contains these topics:
This process lets you track and refund security deposits. It is assumed that a security deposit is recorded as unapplied cash for the tenant. Though you can access the programs for the security deposit process from the Security Deposits menu (G1525), all but one of the programs are identical to programs used in other modules. For example, the screen that you use to set up required security deposits is the one that you use to set up lease information. Likewise, the screen you use to enter security deposits you have received is the one you use to enter cash receipts.
Before you begin the security deposit process, set up the following information:
Real Estate Management constants
Facility, tenant, and lease information
Log class, Amenity identification, and other user defined codes
General accounting, accounts receivable, and accounts payable constants
Object and subsidiary accounts in the G/L chart of accounts
Bill codes with their automatic accounting instructions (AAIs)
This process involves the following tasks:
Set up the bill codes related to security deposits.
Enter the information for required security deposits.
Enter the security deposits that have been received.
Compare the required and received deposits.
Generate the refunds for security deposits.
Review, post, and print the transactions.
Note:
Step 3 can occur before step 2 if you receive the security deposit from the tenant before the actual lease is set up.The Security Bill Code Revision screen lets you set up and work with control information for the bill codes related to security deposits. Except for the title, it is identical to the Bill Codes/Adjustment Reasons screen that you use in the setup for the Real Estate Management system. You must set up the bill codes related to security deposits in a Security Group on this screen.
The Required Security Deposit Entry screen lets you set up and work with the information about the security deposit required in a lease. Except for the title, it is identical to the Lease Information screen that you use to set up and work with leases.
The Received Security Deposit Entry screen lets you add and work with security deposits that you have received. Except for the title, it is identical to the screen that you use to add cash receipts. You enter a security deposit to a security bill code as unapplied cash for the tenant.
Note:
During the security deposit process, you also use this screen to manually spread non-refunded portions of the security deposit to unpaid bills. The TI (Type of Input) code for the transaction is S. Processing option 9 must be blank in order to display security deposits.The Security Deposits Required vs Received report provides information that you can use to determine which tenants have not complied with the security deposit requirement. It compares the unapplied cash receipts for the deposits with the related log information.
The Security Deposit Refund Generation program lets you generate a voucher to refund a security deposit for a tenant. The voucher can be either a full refund or a net refund after any open A/R amounts have been subtracted from the unapplied cash related to the security deposit. One batch is created for the adjustment to A/R cash receipts, and another for the A/P voucher.
Note:
A security deposit cannot be partially refunded so a security deposit balance remains. Therefore, whether the refund is a full or net amount, it must result in a complete refund of the security deposit.The program is based on the F1501JA file, which is a joined file made up of information from the Tenant/Lease Master and Address Book Master files (F1501 and F0101, respectively). A processing option controls whether the system creates the actual A/P, A/R, and G/L transactions or only prints a report so that you can preview the information to be processed.
For interest earned on security deposits, you can use the fees and interest module to calculate the interest. You must first set up the revenue bill code such as INTR in a security group. After you calculate the interest earned, you can then generate the A/P voucher with the Security Deposit Refund Generation program to refund the interest, the security deposit, or both.
The Adjustment Posting selections on the Security Deposits menu (G1525) let you review and post the batch of adjustments to A/R cash receipts. For more information, see Part IV, "Cash Receipts" in this guide.
This screen, which is the first level of detail in the review process, lets you review and approve batches of adjustments for posting. Except for the title, the screen is identical to the Receipts Journal Review screen. In fact, all the screens in the adjustment journal review process for security deposit refunds are identical to the ones for cash receipts. They display and update information in the Batch Control Records file (F0011) and the A/R Account Ledger file. The batch type is R for cash receipts.
The version of the post program for adjustments is identical to the one for cash receipts. With it, the system does the following:
Selects unposted transactions from the A/R Account Ledger file (F0311).
Verifies the information in each transaction.
Posts the transactions to the G/L Account Balances file (F0902).
Marks the transactions as posted in the following files: G/L Account Ledger (F0911), A/R Account Ledger, and Batch Control Records. The posted codes in the three files are P, D, and D, respectively.
Creates and posts the automatic offsets to accounts receivable.
You must set up the Batch Type Selection processing option for cash receipts (batch type R). The system uses the period number and fiscal year for accounts receivable from the Company Constants file (F0010).
The Voucher Posting selections on the Security Deposits menu let you review and post the batch of vouchers. After you have done this, you use the Accounts Payable system to print payments and other A/P reports. For more information, see the JD Edwards World Accounts Payable Guide.
This screen, which is the first level of detail in the review process, lets you review and approve batches of vouchers for posting. From it you can access two other levels of detail. This series of screens displays and updates information in the Batch Control Records file and the A/P Account Ledger file (F0411). The batch type is V for vouchers.
With this version of the post program, the system does the following:
Selects unposted A/P vouchers from the G/L Account Ledger file.
Verifies the information in each transaction.
Posts the accepted transactions to the G/L Account Balances file.
Marks the transactions as posted in the following files: G/L Account Ledger, A/P Account Ledger, and Batch Control Records. The posted codes in the three files are P, D, and D, respectively.
Creates and posts the automatic offsets to accounts payable.
You must set up the Batch Type Selection processing option for A/P vouchers (batch type V). The system uses the period number and fiscal year for accounts payable from the Company Constants file.