3077.2 Creating a Bill Procedure

Creating a Bill Procedure
Procedure # 3077.2
Rev.: 7.1.20
Effective Date: July 1, 2020

Related Policy: UW-3077 Non-Sponsored Centralized Accounts Receivable Policy
Functional Owner: Director of Financial Information Management
Contact: Supervisor Central AR for Non-Sponsored Billing, (608) 890-1328 or uwmsnar@bussvc.wisc.edu


I. Procedure Statement
II. Who is Affected by this Procedure
III. Procedure
IV. Definitions
V. Related References
VI. Revisions

I. Procedure Statement

Departments are responsible for entering bills into SFS. The Division of Business Services (DoBS) will generate invoices from the bills entered. Bills can be entered as either one-time or installment. Payment terms generally will be Net30, unless an exception has been approved by DoBS.

II. Who is affected by this Procedure

Any department that sells goods or services for non-sponsored activities should use this procedure.

The SFS Accounts Receivable and Billing System is currently being rolled out to UW-Madison departments for all non-sponsored accounts receivable, including internal and external customers. The use of SFS for non-sponsored billing and receivables was launched in November of 2018 and will be introduced campus-wide in the coming months/years – unless otherwise agreed upon with the Division of Business Services.

III. Procedure

The following steps represent the overall process for creating a bill:

  • Use the bill upload template to import bills
  • Follow the instructions to upload bills

The following journal entries are a sample of what will post when the bills are generated:

Internal customer:

Debit: Buying Department Expense         XXXX
Credit: Selling Department Revenue                      XXXX

External customer:

Debit: Selling Department Accounts Receivable (#6200) XXXX
Credit: Selling Department Revenue                                                   XXXX

IV. Definitions

  • Bill – A bill is a document created when a sale is made. A bill becomes an invoice when a balance is due. For the purpose of this policy, intra-unit bills (Madison department to Madison department) never become invoices because the bill is paid at the same time the bill is created.
  • Invoice – A bill becomes an invoice when the bill is delivered to the customer and creates a balance due.

V. Related Resources

VI. Revisions

Procedure Number 3077.2
Date Approved July 1, 2020
Revision Dates Jan. 19, 2021 – Procedure number updated from 100.2 to 3077.2 in new numbering system