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Payroll Journal Sources – Quick Reference Cheat Sheet

For more information, refer to the Payroll Journal Sources and Journal Line Attributes job aid.

 

Pre-Encumbrances and Encumbrances

Journal SourcePosition StatusWhat it RepresentsWhen You'll See It
Payroll Commitment 
(Fringe Benefit Commitment) 
Vacant Estimated future salary and fringe benefit costs Approved Position Management job requisition exists 
Payroll Commitment Adjustment 
(Fringe Benefit Commitment Adjustment)
Vacant Updated estimate for a vacant position Funding or requisition changes 
Payroll Commitment Liquidation 
(Fringe Benefit Commitment Liquidation) 
Vacant Removes the pre-encumbrance (commitment)Requisition closes or worker is hired 
Payroll Obligation 
(Fringe Benefit Obligation) 
Filled Estimated future salary and fringe benefit costs Employee is assigned to a position 
Payroll Obligation Adjustment 
(Fringe Benefit Obligation Adjustment) 
Filled Updated estimate for a filled position Changes in pay, funding, hours, job 
Payroll Obligation Liquidation 
(Fringe Benefit Obligation Liquidation) 
Filled Removes encumbrance Payroll runs and actuals post 

 

Payroll Expenses (Actuals and Corrections)

Journal SourceWhat It RecordsCommon Reason
Payroll Actual Accrual 
(Fringe Benefit) 
Actual payroll expenses Regular payroll processing 
Allocation Corrected payroll expenses Federal Work Study or Fellowship corrections 
Payroll Accounting Adjustment 
(Fringe Benefit Actual Adjustment) 
Manual expense corrections Payroll Accounting Adjustments (PAAs) 
Payroll Off Duty Pay Cap Adjustment Not currently used Salary above cap for 9-month faculty 

 

Accruals & Fiscal Year-End

Journal SourcePurposeWhen It Occurs
Payroll Forward Accrual 
(Fringe Benefit Forward Accrual) 
Records earned but unpaid payroll End of accounting period 
Payroll Encumbrance Accrual Reversal Fixes encumbrance timing across fiscal years Infrequent year-end scenarios 

 

Special Payroll Scenarios

Journal Source Who It Applies ToWhy It Exists
Payroll Obligation Adjustment – 9 Month Faculty 9-month faculty Aligns encumbrances to 9-month expense period 
Payroll Statistic Hours Actual Health System / Health Plan Records actual payroll hours 
Payroll Statistic Hours Accrual Health System / Health Plan Records accrued payroll hours 

 

How to Use This Cheat Sheet

  • Seeing an encumbrance? Check whether it’s a Commitment (vacant) or Obligation (filled).
  • Seeing a negative amount? It’s likely a Liquidation.
  • Reconciling payroll? Focus on Payroll Actuals and Accruals.
  • Budget planning? Look at Encumbrances and Pre-Encumbrances.