Controls over Customer Accounts Receivable

WashU’s controls over Customer Accounts Receivable includes the following procedures:

  • Invoices sent to customers must instruct the customer to send their payments to a lockbox that is specific to Customer Accounts.  This minimizes the risk associated with cash handling and allows for centralized payment application.   The Customer Accounts lockbox can be used for checks, ACH and wire transfers but should only be used for Customer Account invoices. 
  • To ensure proper accounting and revenue recognitions, customer invoices must be created for the payment request amount and at the time the payment is being requested.  Creating invoices after the payment is received is not an acceptable business practice.

If a Customer Invoice related check is sent directly to the department rather than the Customer Accounts Lockbox, one of the following three processes below should be followed. 

If your department has a WashU ATM deposit card (for full service ATMs) follow the steps below:

  1. Restrictively endorsed the check upon receipt by stamping or writing “For Deposit Only, Washington University” on the back of the check.
  2. Ensure that the check or remittance advice includes the Workday customer invoice number.  The standard invoice number begins with CI followed by eight-digits (CI########).  Note: Invoices created from subsidiary systems and integrated into Workday use different beginning alpha characters to identify the subsidiary system or program. 
  3. Make a copy of the check and remittance advice.  This is needed to complete step 5.
  4. Prepare and deposit the check as normal but don’t record the payment in Workday.  Don’t combine customer invoice deposits with other types of deposits. 
  5. Email accounts.receivable@wustl.edu and Angie Kohr (akohr@wustl.edu).  The subject line should read: Customer Accounts – ATM Deposit.
    • Attach a copy of the check and remittance advice
    • The body of the email must include the following lines:
      • MM/DD/YYYY – this is the date you make the ATM Deposit
      • MICR number
      • Dollar Amount

If your department uses one of the two depositories located on campus follow the steps below:

  1. Restrictively endorsed the check upon receipt by stamping or writing “For Deposit Only, Washington University” on the back of the check.
  2. Ensure that the check or remittance advice includes the Workday customer invoice number.  The standard invoice number begins with CI followed by eight-digits (CI########).  Note: Invoices created from subsidiary systems and integrated into Workday use different beginning alpha characters to identify the subsidiary system or program. 
  3. Make a copy of the check and remittance advice.  This is needed to complete step 5.
  4. Prepare the deposit slip and deposit bag like normal except:
    • Write the customer invoice number on the yellow and pink copies of the deposit slip.
    • Don’t record the payment in Workday.
    • Don’t combine customer invoice deposits with other types of deposits.
  5. Email accounts.receivable@wustl.edu and Angie Kohr (akohr@wustl.edu).  The subject line should read: Customer Accounts – Depository Deposit.
    • Attach a copy of the check, remittance advice, and deposit slip.
    • The Body of the email must include the following lines:
      • MM/DD/YYYY – this is the date you make the drop in the depository
      • MICR number
      • Dollar Amount

If your department doesn’t have a WashU ATM deposit card or use a depository follow the steps below:

  1. Restrictively endorsed the check upon receipt by stamping or writing “For Deposit Only, Washington University” on the back of the check.
  2. Ensure that the check or remittance advice includes the Workday customer invoice number.  The standard invoice number begins with CI followed by eight-digits (CI########).  Don’t detach the remittance advice from the check.  Note: Invoices created from subsidiary systems and integrated with Workday use different beginning alpha characters to identify the subsidiary system or program. 
  3. Make a copy of the check and remittance advice.  This is needed to complete step 5.
  4. Put the check and remittance advice in a new envelope (that includes a WashU return address) and mail to:
    • Washington University
    • P.O. Box 505505
    • St. Louis, MO 63150-5505
  5. Email accounts.receivable@wustl.edu.  The subject line should read: Customer Accounts – Payment Forwarded to Lockbox.  Attach a copy of the check and remittance advice.