Q&A for 1098-T Reporting

Q:

We do not split payments, so will we receive an error for every student that the Box 1 value needs to be set to the amount of eligible charges?

A:

The message about Box 1 being set to the amount of eligible charges will only appear if the total amount of their eligible charges is less than the student's payments, which may occur for several students if they have many charges that are not 1098-T eligible.  It doesn't have anything to do with splitting payments manually.

Q:

Will JICS automatically mark payments with the correct billing period?

A:

Only payments are flagged with the correct year/term/billing period.  The new My Financial Account feature handles payments a little different since customers choose how they want the student to see their balance (by year/term, by billing period or by total account balance) so we already have a handle on the year/term and/or billing period.  If they have their configuration set to by Total Account Balance, we apply the payment to the year/term/billing period of their oldest debit balance.  We do this same thing from the old My Student Information feature, when a payment is made from there. 

We are not flagging payments with a ‘P' flag because by default they are considered a payment if they have that source code flagged as a payment source code.  We only include those payments in the calculation up to the total amount of eligible charges the student has.

Q:

How can we go back and mass-add a P to all our payments from this year?

A:

You can work with your IT department to run a SQL update script to update the data in a more mass update style.

Q:

Will we be able to generate prior year 1098-T, including Box 2, if a student requests them? 

A:

You will be able to print a prior year 1098-T as long as it was previously extracted.  You will not be allowed to re-extract prior years.

Q:

What about the international students? In the past, we used the country to differentiate them from the US citizens, how are we to find them now?

A:

Nothing changed with international students.  Country code and the “Exclude non-resident aliens” checkbox on the Generate 1098-T's window can still be used to differentiate.

Q:

I was under the impression that we were no longer required to add a P to all payments.  Will we now need to code all payments with a P?

A:

No, individual payments do not need to be flagged with a “P”.  You can do this, but it is not required.  Your payment source code(s) will need to be flagged as a Payment Source code (new flag will be available in the year-end releases).  By default, Jenzabar sets the RC source code as a payment source code.  Jenzabar has an automatic calculation that picks up all payments and compares them to the total amount of eligible charges in order to know how much can be reported in Box 1.

Q:

Can the Maintain Student Year Reporting Data be exported to excel?

A:

Yes, in versions 2019.5 and above the export to and paste from MS Excel buttons are available on the Maintain Student Year Reporting Data window.

Q:

If our third party does not flow through financial aid, will these transactions be pulled into the new 1098T process?

A:

As long as the third party transactions are flagged correctly, they will be included in the 1098-T process.

We receipt payments for non-eligible items in RC groups.  Are these going to be picked up as payments toward eligible charges based on the source code of RC?

A:

They could potentially be picked up by the calculation to figure out the total amount of eligible payments to include in Box 1.  The Box 1 amount can be updated in the Maintain Student Year Data window. 

Use the N 1098-T Not Eligible value in the 1098-T eligible drop-down to eliminate those types of payments.  This makes the process of calculating Box 1 as automatic as possible to resolve concerns about flagging every single payment and split payments, etc. Jenzabar came up with a calculation to figure out the total amount of eligible charges along with the total amount of payments plus financial aid transactions and if the total amount of all forms of payments exceeded the total eligible charges, the amount to be reported in Box 1 would be the total eligible charge amount; else the payment amount.

Q:

Will payments from other subsidiaries show up for Box 1 if they are flagged with "P"? We have payments that post to subsidiaries other than AR.

A:

Yes, if a transaction is flagged with a ‘P', it will be picked up to be included in the calculation of Box 1.

Q:

Do third party payments (Americorp, VA, employer payments) need the P code and should they be included in Box 1?

A:

Only if those payment should be included in the calculation for eligible payments for that student's 1098-T.

For students whose social has not been collected and we have sent out the required request via mail we need to check the SSN Verified Box; however, you can't check the Box if there is no social. Has this been fixed?

A:

You are able to check the SSN Verified Box on the Maintain Student Year Data window, which is the window that opens as part of the Generate 1098-T's process after the popup asking if you want to edit the data.

Q:

Does "qualified tuition" = total tuition & fees student is charged for the semester?

A:

Qualified tuition and fees are the fees you have flagged as eligible charges.  The rules for what is considered qualified tuition and fees is defined on the IRS documentation.  Please refer to www.irs.gov/ for help with eligible charges.

Jenzabar uses the charge process to automatically generate per credit scholarship transactions on student AR accounts (negative CG transaction).  Will this cause an issue for the per credit hour scholarships?  Will they be counted in Boxes 1 and 5?

A:

If the charge transaction is coded with a “G” they will be included in Box 5 and in the calculation for determining the amount to populate Box 1.

Q:

Payments are recorded when PAID. Does this mean when the check is received in the Business Office or when postmarked?

A:

Payments made within the calendar year of the tax year being processed are included in the calculation to determine what to include in Box 1.

Q:

If you re-extract data and make changes, you would the changes be lost if you re-extract again?

A:

If you make changes after extracting the data and then re-extract it again, you will lose the changes that were made.  The goal would be not to make any changes in the Maintain Student Reporting Data window until you make sure the extract is correct.

Q:

We are using J1 Desktop, but do not use the enhanced billing.  When private payments are received, they are not tagged to a specific invoice, but just applied as payment on account.  Since we do not specify the year/term when entering receipts, how is the payment flag going to populate for these private payments?

A:

These payments will need a year and term in order to know whether they are a payment for the current, prior or future year.  As long as these payments are in a source code that is flagged as a payment source code, they will be picked up by the calculation to determine if they should be included in Box 1.

Q:

Is the apply as 1098-T eligible new? What versions is it available in?

A:

You will not see the 1098-T eligible checkbox until you upgrade to 2019.3 or higher. The 1098-T eligible flag (the TRANS_HIST.ELIG_1098T column) is not new and is available in all J1 Desktop releases.

Q:

What version of JICS is required for PDF versions of the 1098-T forms?

A:

The PDF functionality is available in versions J1 2019.3 (WAS) installed on JICS 9.x and up.

Q:

Are 1098-Ts available electronically for all version of J1 Desktop?

A:

They are available electronically in J1 2019.3 and up. Electronic 1098-Ts are not available in EX product lines.

Q:

Can you only access the Financial Document Center if you have Jenzabar One? What about electronic forms?

A:

Yes, the new Financial Document Center and electronic 1098-Ts are J1 features.  Once you have adopted J1 and installed 2019.3 or higher, you will have that portlet functionality.

Q:

For the notifications, do we need to be using Outlook?

A:

No, you do not need to use Outlook.  You can use the existing Notification functionality within J1 Desktop. 

Q:

Isn't it an IRS regulation to have the 1098-T set to paper mail? Do students have to opt-in to receive 1098-Ts electronically?

A:

A student does have to opt-in/consent to receive their 1098-Ts electronically.  They don't have to do a consent to opt-out of electronic delivery. We added the ability for schools to decide whether they wanted to allow a student to switch back to printed delivery.  This is configurable by school.

Q:

Do we need to send out paper copies of the 1098-T if we provide electronic copies in the Financial Document Center?

A:

This is probably not necessary for students that have opted into electronic statements.  As long as you're providing sufficient documentation to the student so they know their 1098-T is available to them, and they can access it online; however, you may still get requests for a printed copy.

Students must opt-in to electronic delivery. If a student has not consented to receiving their forms electronically, they must be sent a printed copy.

Q:

Where are the published PDFs stored? TmsEPrd or File System for the Financial Document Center?

A:

The PDFs are currently stored in the J1 database.

Q:

Did you mention that consent is available in EX? Will we be able to use the consent if we do not move to J1? 

A:

No, consent is not available in EX. It is only available with the J1 2019.x and higher releases.

Q:

Where is the My Financial Account feature?

A:

The My Financial Account is a feature in the Campus Portal (JICS).  It is available in the J1 2019.x and higher releases.

Q:

How do I get the link for students to access their 1098-T forms online?

A:

There are a few pre-requisites for the link to be made available.

• You have to be on Jenzabar One.

• The Financial Document Center portlet must be on a page in your Campus Portal and you must have the appropriate access to it.

• Students must opt in to receiving their 1098-T electronically (this is part of the set up when you configure the Financial Document Center portlet).

When you generate 1098-Ts and click “Publish”, the PDF is created and published to the portal for students that have opted to receive electronic 1098-Ts. 

Q:

Should the @c be dated in the upcoming or current year in order for pre-payments to be picked up correctly?

A:

The @C can be dated in either year.  The important data element for the preliminary charges is making sure the year and term are populated.  That's how the system knows whether they are current year, prior year, or future year charges.

Q:

For Box 7, will Jenzabar automatically pick up those students who prepay or will we have to manually adjust that?

A:

Jenzabar handles that by taking into account preliminary charges when doing the calculation to figure out the amount for Box 1.  This is specifically for those schools who pre-bill in December for the spring term charges.

Q:

Will the QTRE cap for the current year 1098-T be increased if a pre-payment for the upcoming year is made?

A:

Yes, as long as there are existing eligible charges for the upcoming year.  Eligible charges need to exist and those transactions need to be coded with the year and term in the upcoming year.  The system picks up @C/preliminary charges as well to help in the calculation to know how much their total eligible charges are.

Q:

For online payments, how are we to discern if a payment is made towards a future semester occurring in an upcoming year or for a past due balance occurring in a previous or current year?

A:

In the past, it was up to you to manually set the year and term of online payments. In releases 2019.3 and higher Jenzabar helps by getting the year/term of the oldest outstanding account balance and setting the online payment with that year/term. The student financial portlets will allow students to specify the account balance, which will mark the online payment with the year/term of that account balance.

Q:

As stated, Box 1 will include prepayments for an upcoming year/term, and that the logic will use Preliminary @C charges. Will the logic look at @C amounts as of December 31 of the current year, or the @C or CG charges for the student at the time the 1098-T process is run?

A:

It will look at @C transactions at the time the Generate 1098-T's process runs.

Q:

Each time Preliminary Charges are run for students, prior to running actual charges, the @C batch, and all elated charges are recreated with the current date. What if a student paid in December against a December @C charge, and then @C is ran again in January?

A:

@C and CG's ran in December and up to the time the Generate 1098-T's process is ran will be picked up to help in the calculation to know how much their total eligible charges are.

Q:

Does the @C or CG batch for upcoming year charges need to be dated in December of the current year in order for the process to find pre-payments and flag Box 7?  If we generate charges in December but date the batch as of January 1 of the upcoming year will the current year 1098-T process not recognize those charges?

A:

Jenzabar will pick up all @C/CG charges that exist at the time of the Generate 1098-T's process is ran.  The key to knowing these are charges for a future academic year is having the charge year & term with a term start date in that future period.

Q:

Will a prepayment made in the current year show if total amount of payments exceed current year eligible charges?

A:

If it's a prepayment for the upcoming year and eligible charges exist for the future academic period, the amount of that prepayment will be included in the calculation for Box 1 (still only up to the amount of the eligible charges).

Q:

How do you look at preliminary charges from December if you generate actual charges in January before you generate the 1098-T forms?  Also, how do you look at preliminary charges if suspended transactions are excluded from 1098-T?

A:

Jenzabar will pick up all @C/CG charges that exist at the time of the Generate 1098-T's process is run.  The key to knowing these are charges for a future academic year is having the charge year & term with a term start date in that future period.  Jenzabar now include @C transactions so we can determine if a payment is a pre-payment for a future period.  Those are the only “Suspended” transactions that we include.

Q:

For the pre-payment, when looking for eligible charges, it will look at @C or CG, correct?

A:

That is correct, but other transaction types are considered eligible charges as well.

Q:

The current year includes preliminary charges for academic terms in the upcoming year.  In the upcoming year, these charges will be added again as CG, so they add in to both years as eligible charges?

A:

We will pick up all @C/CG charges that exist at the time of the Generate 1098-T's process is ran.  The key to knowing these are charges for a future academic year is having the charge year & term with a term start date in that future period.  Charges are not included in the Box amounts anymore; they are only used to determine the total amount of eligible charges. We will reduce the amount of eligible charges by the pre-payment that was included in this year.

Q:

So does this mean when I run @c for Spring in December, I should use a January date for the transaction date?

A:

Not necessarily, Jenzabar will pick up all @C/CG charges that exist at the time of the Generate 1098-T's process is ran.  The key to knowing these are charges for a future academic year is having the charge year & term with a term start date in that future period.  Therefore, you can use either December or January date.

Q:

What about class deposits?  Would they get picked up as pre-payments, even if there are no @C charges yet? 

A:

No, they cannot report payments if the student doesn't have eligible charges since Jenzabar has no idea how much that student will be charged in eligible charges.  One option for those that take deposits, put those deposit transactions in with another source code that's not flagged as a form of a payment.  Then, once the student gets charged, transfer that deposit to another subsidiary where the charges are and on that transfer of the deposit, they flag that as an eligible payment.  Otherwise, the student doesn't get to get credit for that deposit.

Q:

Should the @C be dated for the upcoming year or the current year in order for prepayments to be picked up correctly?

A:

The @C transaction date (TRANS_DTE) should be for either the current or upcoming year as long as it exists prior to running the Generate 1098-T's process.  The year/term must be for next year in order to be considered a prepayment.

Q:

We run our charges for Spring in November using a CG batch dated January 1. The CG group is not posted until after January 1. If a student pays for the Spring term prior to January 1, how will the 1098-T process pick up our charges since they are not in an @C b.

A:

The process will pick up any charge batch based on the year and term on the payment.  If eligible charges exist for that student for a future academic period and they are dated in the upcoming year but the payment is in the current year, the process will pick up that payment for inclusion in Box 1 up to the amount of their eligible charges for that future year academic period.  Jenzabar is not only looking at eligible charges within the tax year being processed but also any charges with a future date as well based on the year/term on the payment.

Q:

If we have actual charges in January and September and preliminary charges in November will all three be included?

A:

Yes, all three charges will be picked up in the calculation as long as they are flagged as 1098-T eligible charges.  It is also important to make sure the year and term is populated on all transactions since that is used to determine whether it is a current year eligible charge, future year eligible charge or prior year eligible charge.

Q:

To clarify if we receive a prepayment for the upcoming year we mark that as a P for the current year and it won't pick it up again in the upcoming year?

A:

Correct, any payment dated in the current year will only be included in the 1098-T process for the current tax year.  It will not be picked up to be reported again in upcoming year.

Q:

If a pre-payment is made during the current year and student ends up dropping in the upcoming year, how do we correct it?

A:

If they make the pre-payment in the current year they will receive a 1098-T for that pre-payment amount if there are eligible charges existing for that pre-payment.  If they drop in the upcoming year, the Adjustments for prior year Box will be populated.

Q:

So pre-paid payments are not reported?

A:

Yes, pre-payments are reported if there are eligible charges for the academic period the pre-payment is for.

Q:

What if one payment transaction is for eligible charges in both the current and upcoming years?  (Because a payment transaction can only have one year/term)

A:

That payment would need to be split into two line items and one of the lines would have the current year/term and the other would have the upcoming year/term.

Q:

When we add year and term for payment, as long as that year and term are within January to December of the current year we can put them all in the same term and will not affect the calculation? 

A:

If the payment transaction is dated within the current year and all payments have a year/term within that current year, those payments would all be considered for inclusion in Box 1 as long as that amount doesn't exceed the student's total eligible charges.

Q:

Posted against the correct year/term...is that based on the CHG_YR and CHG_TRM on the TRANS_HIST row?

A:

Yes, the year/term is the CHG_YR_TRANS_HIST and CHG_TRM_TRANS_HIST columns in TRANS_HIST row.

Q:

Will the 1098-T Eligibility, year, and term columns remain editable through the Display G/L Transaction Details Window?

A:

Yes, those fields are editable in the Display G/L Transaction Details window.

Q:

Payments do not need a P only year/term?

A:

Correct, each individual payment doesn't need to be flagged with a “P”.  You can do this but it is not required.  Your payment source code(s) will need to be flagged as a Payment Source code (new flag will be available in the year-end releases).  By default, Jenzabar has RC source code set as a payment source code.  Jenzabar has an automatic calculation that pick up all payments compare to the total amount of eligible charges to know how much can be reported in Box 1.

Q:

What is the significance of marking payments with a year/term if the transaction date is what pulls the payments into the 1098-T in the correct year?

A:

The year and term is important to know whether the payment should be counted in the calculation toward a current year eligible charge, future year eligible charge or prior year eligible charge.

Q:

What if we don't use subterms and that table is empty?  Will it then use the year and term table?

A:

Yes, it looks at the year term table.

Q:

We use a unique and complicated coding system for the year and term. Will this cause issues for the 1098-T calculations?

A:

The description or code for the year and term is not going to cause issues with the calculation.  Jenzabar cares about the begin and end dates, mostly begin date when determining which transactions are in the current year, future year or prior year.

Q:

It won't include suspended aid, correct?

A:

Correct, only posted financial aid will be included.  The only suspended transactions that are included in the calculation to figuring out the amount for Box 1 are preliminary charges (@C) transactions and Jenzabar has to pick those up for those schools who pre-bill in December for their spring term charges.

Q:

How are we to code a Grant/Scholarship with both a ‘P' and 'G' ?

A:

You don't code a Grant/Scholarship as a ‘P'.  Grants/Scholarships are coded with a ‘G' and the system includes them in the Box 1 calculation as an eligible payment.  Loans are coded as a ‘P' because they are only included in Box 1.  Grants/Scholarships may be included in both Box 1 and Box 5.

Q:

On Fund Master does there have to be a selection 1098-T eligibility? 

A:

You need to code all 1098-T eligible funds.

Q:

Will the amounts in Box 5 will automatically be included in Box 1? 

A:

Yes.  The amounts in Box 5 are also included in Box 1 but only up to the amount of eligible charges can be reported in Box 1.

Q:

What if we are a university that has closed and will not be performing the end of year upgrade and won't have access to the new flag in the Fund Master. How will Box 5 automatically be included in Box 1?

A:

If you will not be upgrading to a year-end release, you'll want to reach out to your Account Manager to see what you need to do to produce 1098-T's.  You could produce them manually.

Q:

Is there a way to mass add the "P" code to all payments, loans and refunds that have already been issued?

A:

There in not a way to do a mass update in the system, but it is possible to do this via SAQQL Management Studio (make sure you test in a play database before doing this).

Q:

Are all Financial Aid elements coded as "G" in prior years going to be included in Box 1 as Payments as well? Is that automated in the generate process? Are coding changes needed ? 

A:

Starting with reporting 1098-T's for the 2018 tax year, Financial Aid Funds coded with a “G” will be included in both Box 5 and the calculation for the Box 1 amount, up to the amount of eligible charges.

Q:

Grants and scholarships for room/board, how are they only reported in Box 5?

A:

As long as those Grants/Scholarships are flagged as an eligible grant/scholarship “G” but NOT flagged with the new flag “Apply to eligible charges”, that amount will only be reported in Box 5 and not Box 1.

Q:

Will you do anything with an @F group?

A:

No, @F's are not included in the 1098-T.

Q:

Will Box 1 and Box 5 include institutional financial aid not from an outside source?

A:

If the charge transaction is coded with a “G” they will be included in Box 5 and also included in the calculation for determining the amount to populate Box 1.

Q:

It is my understanding that as long as the Fund Master, Payment Type Source Code, etc is flagged as "apply to 1098-T charges" then the actual transactions do not need to be marked with a 'P'. Therefore, since we are just now adding these flags - we do not need to go back and mark all the transactions as 'P' that occurred prior to adding the flags. Is that correct?

A:

Yes, that is correct.  If there are other transactions that are entered within a source code group that isn't always payments, don't flag that source code as a payment type source code and in this case, you would need to flag the transaction with a ‘P'.  To flag the transactions entered up to the point of turning on these flags, you will need to update the transactions by either going into the Display Transaction Details window and manually flagging them or work with your IT staff to update them by a SQL update script in a mass update way.  The system will not update historical transactions.

Q:

Why is Financial Aid considered a grant? 

A:

Financial Aid funds are considered Grants/Scholarships and there can also be funds that are loans.  Loan funds should be flagged as an eligible payment and they will be considered in the calculation for Box 1.  Pre-payments will be included in the calculation for Box 1 as long as there are eligible charges existing for the year/term of the future academic period that the pre-payment is for.

Q:

Where is the Fund Master Table located within the various modules?

A:

The Fund Master table is a Financial Aid module function.  It is in the Financial Aid Disbursement Processing, Financial Aid New Year Award Preparation and Settings-Financial Aid activity centers.  You may not see it if you don't have permissions to it and in that case, you'll need to work with your Financial Aid staff to make the necessary updates.

Q:

What charges in the FUND MASTER would not be eligible? If we are flagging it as C, P or G?

A:

Charges are not in the Fund Master; only financial aid funds exist there.  Grants/Scholarships did not change so they would be flagged as they always have and will be included in Box 5 as they have been.  The new flag on the Fund Master is “Apply to eligible charges”.  That should be flagged for any fund that should also be included in Box 1.  Loans would be flagged with a “P” and will only be included in Box 1.  And, that amount would only be included in Box 1 if the student had eligible charges totaling at least that amount since the amount reported in Box 1 cannot exceed the student's eligible charges.  Charges will continue to be flagged with “C”, eligible charge if it is a type of charge that is 1098-T eligible.

Q:

In the Fund Master table, if you go back to add the "apply to eligible charges" will it go back in history to be picked up correctly for the current year 1098Ts?

A:

Any transactions generated after the change to the Fund Master will be coded to be picked up but changes made to eligible flags do not update historical transactions. Those will need to be updated either via the Display Transaction Details window or via a SQL update script.

Q:

Will this also apply if we are using CASHNet as our processor?  

A:

This depends on your CASHNet implementation, but if it calls existing J1 Desktop payment logic, it should pay against the oldest balance. You will need to reach out Services, as they handle CASHNet integrations.

Q:

Any changes if we have our 1098-Ts processed by a third-party? Where we send them a file upload?

A:

This is hard to answer not knowing the individual process used to send to the third party.  If the file you send the third party has been created previously by the Generate 1098-T's process, you'll still need to follow that same process.

Q:

Are CASHNet files available for J1 release?

A:

You will need to reach out Services, as they handle CASHNet integrations.  There is a separate installer.

Q:

How do we produce the flat file to send to a third-party bank?

A:

The process to create the mag media for the IRS has not changed; however, if Herring Bank or other third parties require it in a different format, you'll need to work with them to get it into the format that they require.  The data can be exported directly from the STUDENT_YR_REPORT table which is the table that gets updated with the 1098-T data for each tax year.

Q:

Are we able to customize all the necessary 1098-T information in Jenzabar for a third-party vendor to pull in and generate?

A:

The queries Jenzabar uses when calculating amounts can't be customized, but you can customize the results of the process by changing the data in the student_yr_report table. This may be a feature offered in the future.

Q:

What if a student is on a payment plan and the plan crosses into the next year but the charge is actually in the previous year? Is this a “late” payment?

A:

If a student is on a payment plan, they have set payment due dates for their balance, and they pay each month as they are supposed to and that plan crosses into the next year so a payment they made in January is actually for a charge that was in the previous year, the payment isn't considered late.  It is reported on the 1098-T because the transaction date on the payment is in the tax year being processed as long as there are eligible charges existing.

Q:

What about past due payments made in the current year for charges older than the previous year? Are they still considered to be Box 1 payments for the current year?

A:

Yes, they are considered in the calculation for Box 1.  The IRS documentation states “Include in this Box the receipt of a payment of past-due qualified tuition or related expenses from a previous calendar year, but only if the educational institution previously billed the student for such amount(s).”

Q:

If a student who is delinquent makes a payment in the current year for an eligible charge from more than a year ago, will they receive a 1098-T now for that DQ payment?

A:

They will receive credit for that payment receiving a 1098-T with Box 1 populated with that payment amount as long as there are eligible charges existing for the year/term the payment is for.

Q:

For students making payments from prior charges, if the student is in collections and started paying on a 2-year-old debt, do they generate a 1098-T?  

A:

If there are existing eligible charges.

Q:

So all past due payments, to include payments received by collection agencies, are to be reported in Box 1 if they are eligible?

A:

Yes, as long as there are eligible charges existing.

Q:

If a student has no eligible charges in the current year, but has made a payment for a previous year, will that be represented in Box 1?

A:

They will be considered for inclusion in Box 1 as long as there are eligible charges for that previous year existing.

Q:

How do we handle bad debt payments?  We do not write off our bad debts until the end of our fiscal year.  If someone is making a payment toward a bad debt from a prior year, do we code it as a "P"?

A:

They will be considered for inclusion in Box 1 as long as there are eligible charges for that previous year existing.  Coding it with a “P” and also making sure the year and term on the payment matches the year and term for when they had eligible charges will ensure it will be picked up for inclusion in Box 1.

Q:

Will the cap for the eligible charges be increased by the eligible charges from previous year if the student makes a late payment for an eligible charge from last year?

A:

Yes, that's why it's important to make sure the year and term is populated on all transactions so we know whether it is a payment toward current year eligible charge, future year eligible charge, or prior year eligible charge. Eligible charges are picked up within the calculation and the payment amount is reported since it cannot exceed the total amount of eligible charges.

Q:

What do we do with students who have been sent to collections and payments are coming in from the collection agency for older balances due?  Is there a script to go back and update payments with ‘P' if they have not been coded for the whole tax year?

A:

There is not a default script to update the transactions since there is not a standard way to code your transactions and everyone does it differently.  You can work with Support and your IT staff to develop a script to mass update those payments.

Q:

When creating student refund invoices, the new process will allow the invoice transactions to be marked with 1098-T Elig Code P, but will it also allow entry of the corresponding year/term?

A:

Yes, the new student refund process will allow you to set the 1098-T elig flag to P.  It will also allow you to specify the year/term (or billing period if you are using enhanced billing).

Q:

For student refund checks that are voided (with a VD source code), will they be included in the calculation as well?

A:

Yes, voided refund checks will be taken into account in the calculation for Box 1.

Q:

How can a students' account be flagged for student loan or refund once the C batch has been posted?

A:

You can go into their A/R Inquiry, Details, right click on the transaction and select Display Transaction Details.  The Elig 1098-T flag is available on that window.  You can also work with your IT to run a SQL update script to mass update the data.

Q:

What code should be used for refunds?

A:

Refund checks should have “P” eligible 1098-T code since they are a form of a payment that needs to reduce the amount in Box 1.

Q:

So in generating invoices for student refunds, we have to mark the 1098-T eligible flag, right?

A:

When generating student refunds, the process has a selection Box on the prompt window asking if they are eligible payments and if that is checked, it will automatically populate the IV transactions with a “P” eligible flag.  Jenzabar has added this flag to regular invoice entry in releases 2019.3 and higher.

Q:

We enter refund checks manually to the student account.  What coding is necessary to be sure the refund will reflect in Box 1?

A:

Those refund checks will need to be coded with a “P” eligible 1098-T flag in order to be considered in the calculation for populating Box 1.