Skip Navigation
Business Policy and Procedure Manual
University of Missouri-Columbia
A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
 
Chapter 2
FINANCE
Section: 2:070
Non-PO Voucher Payment Handling

Adopted:  03/2013 (formally called "Hold and Express Checks")
Revised:  08/11/2016
 
Responsible Office
Division of Finance

 

POLICY STATEMENT

For internal control reasons, the University’s standard business practice is to make payment to suppliers either by direct deposit or by a check that is mailed centrally. Departments can request exceptions to this practice when doing so is essential to conducting University business.

Expanded definition and information for this policy is available under Resources below.


PROCEDURES

The following procedures assist with ensuring compliance with the above policy:

General

In each nightly processing cycle, multiple payments to the same supplier are combined into one payment. Unless there is a business reason for doing so, the University does not issue separate checks to suppliers to make a specific payment.

Remittance Advice

Payments by check include a remittance advice. For direct deposit payments, the system sends an electronic remittance advice by e-mail. For employee and student suppliers, the system uses the payee's official University e-mail address. For other suppliers, the system uses an e-mail address provided by the payee.

The remittance advice, whether electronic or attached to the check, includes information from the accounts payable system to assist the supplier in identifying the purpose of the payment. When required by the supplier or otherwise necessary, attach enclosures to the non-PO voucher when submitting for payment and note the enclosure in the comments section.

Direct Deposit

The accounts payable system processes direct deposit payments each night. Regarding the process for each type of supplier:

  • Employee suppliers are automatically set up for direct deposit, based on bank account information in the payroll system. Employees can request a different bank account by completing the form under Resources below and mailing it to Division of Finance-Accounting for processing.
  • Student suppliers can request direct deposit through the Division of Finance-Cashiers.
  • Business suppliers can be set up for direct deposit, upon request by completing a non-payroll direct deposit form and providing an e-mail address in order to receive an electronic remittance advice.

NOTE: To request or change supplier direct deposit, use the Non-Payroll Direct Deposit form under Resources below.

Check

The accounts payable system processes payments by check once a week (normally Tuesday night - subject to change due to holidays and/or monthly payroll processing). Checks are mailed from a central facility and the mailing includes enclosures which departments forward through Division of Finance-Accounting.

Exceptions

Departments can request an exception to this policy, when there is a documented business need:

  • For the department to receive the check and deliver it to the supplier (hold check). Examples are payments that require special handling, such as bulky enclosures, proof of delivery or express mailing.
  • To make the payment before the next nightly processing cycle (express check). An example is when the need for payment arose unexpectedly and is due before the next check cycle and use of the Purchasing Card is not an option.

NOTE: Payment of student achievement awards should be done through the regular disbursement process and not as a hold check or express check.

Making a Request

Request a hold check or an express check on the “Comments” panel when entering a payment request in PeopleSoft. Provide the following information:

  • Indicate whether the request is for a Hold Check or an Express Check.
  • Name, title and phone number of the requestor.
  • Explain the business need for the Hold Check or Express Check.
  • For express checks that require same day processing, an email should be sent to the MU ACCTG mailbox with the voucher number.

Division of Finance-Accounting will review the request for a Hold Check or an Express Check and determine the appropriate method to process the payment.

Deadlines and Pickup Locations

Hold and Express Checks are normally available for pick up in Division of Finance-Accounting as follows:

  • Hold Checks – On the first working day following the Accounts Payable check-writing cycle (normally Wednesday subject to change due to holidays and/or monthly payroll processing). Hold checks can be picked up in Division of Finance-Accounting.
  • Express Checks – It is possible for express checks to be issued and picked up after 2:00 p.m. on the same day the check is written if submitted to Division of Finance-Accounting by 1:00 p.m. assuming all required electronic approvals have been received on the voucher. Incomplete requests received after the 1:00 p.m. cutoff will be processed the following day. Express checks can be picked up in the Payroll office.


RESOURCES

Forms

Cross References