Administrative Affairs
Policies and ProceduresWELCOME TO THE ONLINE (AND ONLY) VERSION OF THE IU SOUTHEAST POLICIES AND PROCEDURES MANUAL The purpose of this web site is to provide an accessible, easy to use repository of all campus-specific policies and procedures, with links to other campus and University resources.Decorative Image

B-8. Accounts Receivable

The internal billing and service billing documents in the KFS are used for billing of goods or services provided by the university to another internal department, reflecting income to the provider and expense to the customer. These transactions will be generated on an individual basis by the service department.

The internal billing requires account manager approval. For assistance with completing this document, contact Accounting Services or view completion instructions on the FMS website.

The service billing requires a contract between departments. For assistance with completing this document, contact Accounting Services or view completion instructions on the FMS website.

The billing invoice paper document is used to bill organizations outside the university, such as the IU Foundation, the IU Alumni Association, and other outside agencies. For assistance with completing this document, contact Accounting Services or view completion instructions on the FMS website.

The Accounting Services department processes accounts receivable deposits and assists departments with collections of their outstanding accounts receivable following the schedule below. Departments are responsible for steps 1 through 4. Accounting Services is responsible for steps 5 through 7.

Days Past Due Required Action
15 days Step 1 Organization contacts customer using “Friendly Reminder Letter – First Reminder." This is intended to let the customer know that the invoice is past due.
30 days Step 2 Organization contacts customer by phone. This phone call is intended to enable the organization and the customer to identify and discuss any problems with the sale or merchandise or to identify reason for late payment.
45 days Step 3 Organization contacts customer with “AR Friendly Letter – Second Reminder."
60 days Step 4 Organization contacts customer by phone.
75 days Step 5 Accounting services contacts customer by phone.
90 days Step 6 Accounting services contacts customer with collection agency letter. This is intended to give the customer one last opportunity to pay prior to turning the invoice over to a collection agent.
120 days Step 7 First placement of debt with collection agency.