Income & Income Accruals

"External Income" from Non-Cornell Customers: Income from the sales of goods or services earned, but not received, by June 30 should be reflected as accounts receivable.  Income is “earned” when you have performed the service or delivered the goods, even if payment has not been received.  Therefore, if your unit has performed a service or delivered items prior to or on June 30, you must record the revenue and a corresponding receivable from the customer. 

 If you do not have a departmental accounts receivable account to record this income, go here  to set up a new account.

"Internal Income" from Cornell Customers: For internal customers, do not record a “receivable.”  Instead, submit a JEMS  journal to offset the recognition of revenue by recognition of an expense in the department consuming the good or service.  Use the inter-departmental revenue codes (1130, 1290) on these transactions.  Please also refer to the web page on year-end journal entries .

In cases when payments have been received in advance of providing the service, record the amount in a “deferred revenue” account.  This holds the cash as a refundable obligation to the customer until they have consumed the service or taken delivery of the goods. 

 For more information on these accounts, send an e-mail to uco-unrfds-mailbox@cornell.edu .