Recommended Ledger Procedures - Title IV Student Overages

Previous Article In This Series: Recommended Ledger Procedures - Title-IV Disbursements

OnlineSMART Training Video: Recommended Ledger Procedures - Overages

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As shown in the screenshot below, the first two disbursement entries have been recorded, with only the Unsubsidized award left to post to the ledger:



Now let’s take a look at the final FDLPU disbursement post for this payment period:




In the above screenshot, you can see the amount being disbursed is larger than the amount remaining in the balance for this payment period.

Since you should have already paid off the Fees and Books/Kit for this period in previous ledger entries, the remaining balance of 1669 needs to be allocated to Tuition, with the difference between the Amount field and the Balance field being allocated to Other.

*The Yellow highlighted box at the bottom right of the screenshot will show you what is remaining to be disbursed after allocating the remaining balance to Tuition. In the example above, I have already allocated this amount into the Other category, but you may use the “Balance” field in the bottom right for your calculations on what to allocate to Other.

Once you have the amount shown in the Balance field allocated to Tuition, with the difference allocated to Other, double check your Disbursement and Post Dates for accuracy and then click Save in the upper left corner.

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Now that all awards have been disbursed to the student’s ledger, with the overage placed into the Other category, you will see that the overage amount is now shown as a negative balance in the Balance field, and a positive balance in the Other category to the right.

For the next and final steps, we will need to remove that overage amount from Other in one ledger entry, and place it into the Student category in a separate entry.



For the first ledger entry, we need to remove the overage amount from the Other category, as pictured above.

1. For the Ledger Type, shown in the blue square, you will want to select ADJB


2. You may enter what I have pictured above into the Check Number field, or if you create a custom Program Code for this task, the Check Number field may be left blank.


3. Enter the overage amount as a negative into the Amount field, and also as a negative in the Other Category, as shown in the red squares.


4. Double check your Disbursement and Post Dates for accuracy before saving this entry.

Now that you’ve got the Balance to zero, you’re almost there. The last step will be to place that same overage amount into the Student category in a new ledger entry, as shown below:

1. Assuming the student will receive a check for this amount, you will use the CASH ledger type for this entry.


2. Place the Overage amount (as a positive number) in both the Amount field and the Student category, as shown in the red boxes above.


3. As before, the Check Number field can be used as a description field, or to house an actual Check number.In the example above I have used it for both, but you may create a custom Program Code for this task and use the Check Number field for just the actual Check number if you choose to.


4. After checking the Disbursement and Post Dates for accuracy, you may save this entry.

This will be the final series of ledger entries for each Payment Period if the student receives Title IV and has an overage.

The next step in this ledger will be for you to add the next payment period back into the ledger, and move forward with the next round of disbursements!

Previous Article In This Series: Recommended Ledger Procedures - Title-IV Disbursements