Pcard Program Overview and Management

A pcard program is a system used by companies to manage employee purchasing cards. These cards are typically used for business expenses, such as travel, meals, and office supplies.

The goal of a pcard program is to simplify expense reporting and reimbursement processes. This is achieved by allowing employees to make purchases with a company-issued card, which is then tracked and reconciled by the company.

Pcards are often used to replace traditional expense reports, which can be time-consuming and prone to errors. In fact, some companies have reported a 70% reduction in expense report errors after implementing a pcard program.

A well-managed pcard program can also help companies save money by reducing the need for manual expense reporting and minimizing the risk of lost or stolen cards.

To join the PCard Program, your department needs to meet certain criteria, which are not explicitly stated in the provided article sections. However, it's mentioned that if your unit doesn't have sufficient staff, you can contact the Account Payable PCard team.

To get started, you'll need to submit a PCard Liaison Application/Assignment Form. This form will help determine who will be the PCard Liaison between the cardholders and the Accounts Payable PCard team.

The Department Head or designee will need to authorize and sign a PCard Liaison Agreement for their department to join the PCard Program.

You can find out who your PCard Liaison is by checking if your department already has one designated.

To proceed, submit a PCard Workgroup or Account Change Request and assign Reconcilers.

You'll need to identify potential Cardholders by considering the criteria mentioned in the article.

To be eligible for a PCard, you must be an active Stanford University employee, and your department must determine that there's a business need for one.

Eligibility is based on departmental approval, which requires approvals from both your manager or department chair/dean and the financial approver for the guarantee account (PTA) provided.

You'll need to complete an online application, which involves providing required information and approvals.

The application process also requires completion of required training: FIN-0450: PCard Policy and Procedure and its associated prerequisites.

Here are the steps to apply for an individual or department Purchasing Card:

Account management is a crucial part of the PCard program. The PCard Liaison must submit the New Cardholder Application to establish the issuing department's default UAccess Financials account for each Cardholder.

The default account number and object code assigned to each PCard can be changed during the reconciliation or approval process. Sponsored Projects Account numbers (range of 3-00000 - 4-99999) cannot be used as default account numbers for a PCard.

The Cardholder can request a change to the default account number by notifying their Reconciler when documentation is handed in for each transaction. The Reconciler then submits the Account Change Request form on behalf of the Cardholder.

You can use the Credit Card Profiles Change Request tool to manage Purchasing Card (PCard) account profiles. Current card profile information can be viewed by the current cardholder/custodian, verifier, cardholder/custodian's manager or the financial approver who originally approved the card application.

The tool allows you to request changes to cardholder or custodian information, including the department PCard within the same department. You can also request changes to the verifier.

To request changes, you can use the tool to update business address and alternate address (one-time card delivery address). This is useful if you need to change the address where your card is delivered.

You can also use the tool to request changes to card status, such as closing, suspending, or activating the card. This is helpful if you need to temporarily stop using the card or if you want to reactivate a card that was suspended for force cleared transactions.

Some other changes you can request include lowering the PCard per-transaction limit, updating the guarantee PTAE, and changing the monthly limit or temporary monthly limit. You can also request changes to exception request categories.

Here are some specific changes you can request using the Credit Card Profiles Change Request tool:

Monthly Documentation Oversight is a crucial part of account management. It's essential to ensure all PCard documentation is attached to the PCDO eDoc in UAccess Financials to meet institutional audit requirements.

Reconcilers and Fiscal Officers should review the PCard documentation regularly to catch any missing documents. This is typically done on a monthly basis.

A UAccess Analytics dashboard is available to assist with managing this process. To access it, go to UAccess Analytics > General > Purchasing Card > Action Items.

To get started, select the PCard Organization Name and click on Apply. This will help you narrow down the list of documents to review.

Next, click on the box labeled Missing Supporting Documentation to view a list of documents with missing documentation. This will give you a clear idea of what needs to be addressed.

To view additional PCDOs with missing documentation, select "Go to more transactions with No supporting documentation". Be sure to select the correct time for the starting and ending date to ensure you are getting the full day of documents to review.

Here are the steps to follow:

By following these steps, you'll be able to ensure all PCard documentation is up to date and compliant with institutional requirements.

Your billing address may be located within UAccess Financials for the PCard details assigned to the specific card.

Some vendors may ask for your billing address and verify it with the bank as an additional check to ensure you're a valid Cardholder.

The bank has strict fraud protection measures in place, which means they may decline the sale if the vendor gets even one character of your address incorrect.

They won't assist the vendor in getting it right, prioritizing your information protection over helping the vendor complete the sale.

To keep your PCard safe, it's essential to understand the security measures in place. Cardholders will be asked to set a Personal Identification Number (PIN) when they activate their card, which should be done over the phone by following automated prompts.

The only person authorized to use an individual PCard is the person to whom the PCard is issued, and lending or sharing of Individual PCards is strictly prohibited. This means you should never give your PCard to anyone else to make purchases or share your card information with anyone.

You should also take care to delete stored PCard information on online sites after completing a business purchase, as many online retailers store credit card information. This helps minimize the risk of breach-related compromise of the card number and inadvertent/accidental use of the PCard for a personal purchase.

To safeguard your PCard, you should know where the physical card is located at all times. The physical Departmental PCard should be located under dual control in a secure location within the business office.

If you suspect a fraudulent charge, you should immediately contact JPMorgan Chase to request cancellation and reissue of the card. Provide the cardholder's name and 4-digit access code.

Here are some steps to take in case of a lost or stolen PCard:

By following these security measures, you can help protect your PCard and prevent fraudulent activity.

The PCard program is a convenient payment tool that can be used for University business, but it's essential to use it properly to avoid any issues. PCard expenses should be verified and approved as soon as practicable after charges are incurred, but no later than 60 days after charges are incurred.

To ensure proper use, cardholders must follow university policies and guidelines, including Administrative Guide Policy: 5.3.3 Purchasing Cards. This policy outlines permissible expenses, usage guidance, restrictions, and limits for PCard use.

Cardholders who do not comply with university policies and procedures may have their Stanford University cardholder privileges revoked. Misuse of the PCard may result in disciplinary action, up to and including termination of employment.

The roles and responsibilities within the PCard program are clearly defined. The individual PCard cardholder is responsible for making departmental purchases, while the Department PCard Custodian controls the PCard issued to their department.

Here's a breakdown of the roles and responsibilities within the PCard program:

Proxies in the department have specific responsibilities, including monitoring PCard transactions, ensuring all charges are authorized and within program requirements, and tracking disputed or fraudulent charges. They must also research transactions that may be questioned by the PCard Payers or have budget errors.

Cardholders and proxies must ensure that statements and source documents are retained for a period of five (5) years after the year in which the purchase was made, unless the funding source dictates a longer period. They must also report suspected improper activities to the Office of Inspector General Services and the PCard Administrator.

If you lose or steal your PCard, it's essential to act quickly to minimize any potential damage.

Immediately contact JPMorgan Chase to request cancellation and reissue of the card. Provide the cardholder's name and 4-digit access code.

Recent activity should be verified to ensure there are no fraudulent transactions.

Notify the Card Services team via a Support Request after canceling and reissuing the card.

Here are the steps to follow in case your PCard is lost or stolen:

If you suspect a merchant error or fraudulent charge on your pcard, contact the merchant directly to try to resolve the issue. If they can't help, JPMorgan Chase will reach out to you via email or phone to verify the charge.

You should work directly with JPMorgan Chase to resolve the issue. If you detect a fraudulent charge, you need to act quickly - you have 60 days from the date the transaction was incurred to resolve it.

You can resolve the issue directly with JPMorgan Chase by following these steps:

If you don't resolve the issue within the 60-day timeframe, the department will be held liable for any fraudulent and erroneous charges.

The default individual transaction limit per cardholder is $2,500, but higher limits may be extended for limited purchases with approval from the cardholder's Dean, Director, or Department Head.

To request a higher limit, cardholders should email the Procurement PCard Administrators with information about the purchase, including the supplier, items being purchased, department budget number, and any necessary back-up documentation.

Cardholders must ensure charges are not split to avoid the transaction limit, as splitting a transaction is against the rules and can result in penalties.

Here are the steps to follow for a typical transaction flow:

PCard transaction documentation is retained by Financial Services within UAccess Financials for 10 years.

Charge Receipt Reconciliation is a crucial step in the Purchasing Card process. Each cardholder's charges must be reviewed monthly by the department.

The reconciliation process involves a monthly review of each cardholder with activity. Departments are responsible for completing this review. The review includes required signatures and a list of charges by cardholder.

Three unique signatures are required for the reconciliation: the cardholder, a proxy, and the cardholder's supervisor or Dean/Director/Department Head (DDDH) or their designee. This is to ensure that all charges are valid and initiated by the cardholder.

The reconciliation must be completed within 30 days of the month being reviewed. Delays in completing the review process may result in PCard suspension. In addition, related Travel Cards may also be suspended.

The reconciliation must be completed monthly, filed within the department, and be available for inspection upon request. It must be legible and may be scanned and stored digitally.

The department is responsible for maintaining the system prescribed for receipt retention and review. Internal controls call for periodic internal audits of the program. These audits may take place without prior notice to the department.

The Payment Process is a crucial step in the PCard system. The University is responsible for assigning persons, known as Proxies, to authorize payment of PCard charge receipts weekly.

Proxies must be independent of cardholders and knowledgeable about card procedures. They should also recommend corrective action to the cardholder if inappropriate charges have been made on the PCard.

PCard charges are received by the University each Tuesday and should be approved no later than the next Monday at noon. Proxies will be notified via email of any charges that have not been approved.

Payments must be approved as soon as possible, but no later than noon on the next Monday. Proxies must put the charges in “Approved” status for payment, and they are responsible for entering an appropriate account code, descriptions of goods purchased, attaching the receipt, and verifying the budget information.

If a charge is to be formally disputed or if it's fraudulent, the Proxy can put the charge in “Verified” status. To formally dispute a charge, the cardholder must fill out the Dispute Form, sign, and fax it to Wells Fargo immediately after the Proxy has put the charge into “Verified” status.

If a Proxy is unable to obtain verification of receipt of goods, they should approve the charge and then have the cardholder file a dispute after the fact, if there is a problem with the charge.

Here's a summary of the steps for Proxies:

Default accounting codes are automatically assigned to a given cardholder's default budget. Proxies have the capability to distribute charges to a different budget at the time of approval.

Sales tax is an important consideration when making purchases with your PCard. The University of Arizona is not tax-exempt for Arizona State and local Sales Tax, so you'll need to pay sales tax on in-state purchases unless they're tax-exempt for resale or research purposes.

You're also responsible for requesting an itemized receipt from the vendor, which should include sales tax information. This is crucial for accurate documentation and reconciliation.

If you're purchasing from an out-of-state vendor, you'll need to self-assess Use Tax on items used in Arizona, unless the vendor has an Arizona Tax (TPT) License and charges tax accordingly.

To ensure compliance, be sure to include information about the UAccess Financial account(s) to be charged with your documentation for each purchase.

Here's a quick rundown of what you need to include in your documentation:

When a vendor asks for your customer number, tell them it's their job to set one up with your billing and delivery address. This is the vendor's method for keeping track of your orders.

You should not use any existing customer number they have in their file for the University of Arizona. This is to ensure accurate and separate records for your purchases.

To speed up the ordering process, make a note of the customer number the vendor assigns to you. You can then use this number when you order from them again.

Delivery instructions are crucial to ensure that your purchases arrive safely and efficiently. Cardholders must provide the vendor with detailed instructions for delivery.

If you're shipping via US mail, you'll need to use a PO Box number, and if you're shipping via a commercial carrier like UPS or Federal Express, you'll need to use a street address. This is important to note, as different addresses are used for different shipping methods.

You should ask your vendor which shipping method they plan to use, so you can provide the correct address. This will help avoid any delays or issues with delivery.

Here's a quick reference guide to help you understand the difference between US mail and commercial carrier addresses:

By following these guidelines, you can ensure that your purchases arrive safely and efficiently.

The transaction flow for purchasing and transactions is a crucial process to understand, especially when using a PCard. Cardholders make a credit card purchase or department PCard is checked out by an employee for use.

Here's a step-by-step breakdown of the transaction flow:Cardholder attaches receipt/invoice to the PCDO eDoc in UAccess Financials or Department PCard user provides Reconciler with the invoice/receipt to attach to the PCDO.Reconciler within the Reconciler Workgroup scrutinizes itemized receipt and reconciles charge in UAccess Financials. The Reconcilers/Fiscal Officers have 14 calendar days to both reconcile and approve.The Fiscal Officer scrutinizes itemized receipt/invoice, reviews reconciliation and approves charge. The Reconciler/Fiscal Officer(s) have 14 calendar days to both reconcile and approve.PCard Transactions in UAccess Financials may not be disapproved as the expense has already occurred.Fiscal Officers & Reconcilers review UAccess Analytics Dashboard weekly for any missing documentation and follow up to ensure all PCDOs meet audit requirements.Accounts Payable performs monthly Post-Transaction reviews to ensure compliance with the PCard Program and University Policy.PCard transaction documentation is retained by Financial Services within UAccess Financials for 10 years.

It's essential to note that PCard transaction documentation is retained by Financial Services within UAccess Financials for 10 years, which is a significant aspect of the transaction flow.

Spending Limits are an essential aspect of using a PCard. The default individual transaction limit per cardholder is $2,500.

Higher per transaction limits may be extended for limited purchases on an "as needed" basis, but requests should be made via email to the Procurement PCard Administrators.

To request a higher transaction limit, provide information about the purchase, including the supplier, items being purchased, department budget number to be charged, and the approval of the cardholder's Dean, Director, or Department Head.

The request, along with a copy of the email confirming the increase, must be maintained with the associated Statement of Account.

Card profiles are determined and set by PCard Administrators, who also decide how the card may be used.

PCard Administrators are responsible for establishing and changing card profiles.

The department may set the credit limit (CL) and single transaction limit (STL) for each card.

The University of Arizona monthly billing cycle ends on the 6th of each calendar month, unless the 6th falls on a Saturday or Sunday, in which case it ends on the 8th or 7th Monday, respectively.

The monthly limits refresh on the day following the billing cycle date.

It is recommended that the lowest limit practical be set to minimize risk.

To change spending limits, Cardholders should confer with their supervisor and the Department PCard Liaison, who must submit an Account Change Request.

Here are the key dates to keep in mind for the monthly billing cycle:

To get started with the PCard program, you'll need to complete online training on the policies and procedures associated with the program. This training is mandatory for all cardholders and proxies, and it's their responsibility to enforce all PCard policies.

The online training session will cover essential information about PCard requirements and other relevant sources of information. You'll need to accomplish this training when notified by a PCard Administrator, and you won't be able to issue a card to a cardholder until they've completed the training and passed the test.

Cards are renewed every three years for the first renewal, and then every two or three years after that. You'll need to re-accomplish the online training when notified by a PCard Administrator to be eligible for a new card.

To be authorized for a PCard, you must be a full-time Montclair State University employee and obtain approval from your supervisor or fiscal agent. You'll need to submit an application form and cardholder agreement form, which can be found on the Procurement Services' website.

The PCard cannot be used for certain types of purchases, including travel-related expenses, pharmacies, and gift cards. You'll need to review the list of prohibited purchases to ensure you're not using your PCard for unauthorized transactions.

If your purchase is declined, you can review your credit authorization log in Works or contact Procurement Services to find out why the purchase was declined. Some common reasons for declined purchases include using the wrong PCard expiration date or exceeding the daily transaction limit.

When using PayPal with your PCard, you'll need to take a print screen of the items being purchased and include a description of the item, the cost, and the vendor's name. You'll also need to obtain written approval from your supervisor and attach the approval to the associated receipts.

To ensure you're meeting the requirements for attachments to PCard transactions, make sure your attachments include the vendor's name, a description of the items purchased, the date of the purchase, and the total amount of the purchase.

Each department must ensure compliance with applicable laws, rules, and regulations, as well as the PCard Policies and Procedures. They must develop and document internal control procedures that ensure PCard usage is consistent with the manual.

A department's budget manager or department head must ensure proper oversight of PCard use within their department, including developing internal controls that ensure a thorough review of the department's PCard transactions. This includes assurance that each transaction is for official business.

Physical controls should be present to ensure security of PCards and records, with records stored in a secure location to which only authorized individuals have access.

The department's proxy is responsible for monitoring PCard transactions to ensure all charges are authorized and within the program requirements.

The department head or equivalent administrator must empower an employee to act as a PCard Liaison for purposes of reporting PCard policy violations or any other misuse of the card. This employee will need top-level authorization and ongoing support from department leadership.

The department head must be able to take immediate, appropriate action upon learning of card misuse, such as suspending the PCard temporarily, adjusting individual and monthly purchase limits, or canceling the PCard.

The department/unit must have staff that provide prompt and reliable reconciliation and approval of PCard transactions, with both Reconcilers and Fiscal Officers identified within the unit.

Here are the key roles and responsibilities within a department:

A Purchasing Card will be suspended by Stanford due to extended leave, improper use, or force cleared transactions in two different quarters.

Cardholders on extended leave should submit a suspension request through the Credit Card Profiles Change Request tool. If you experience any issues, submit a support request. It's essential to properly process all transactions before you go on leave or leave your current department.

A suspended card can be reactivated when the cardholder returns from extended leave or the Card Services team determines you're eligible to continue using the card. For cards suspended for force cleared transactions, you'll need to clear outstanding transactions, request reactivation, and attach a new card reactivation attestation form after the 60-day suspension period ends.

Stanford University has specific rules for suspending a Purchasing Card. If you're on extended leave, such as sabbatical, family or medical leave, your card will be suspended.

You'll need to submit a suspension request through the Credit Card Profiles Change Request tool. If you experience any issues or have questions, submit a support request.

Transactions should be properly processed before you go on extended leave or leave your current department. This ensures a smooth transition and avoids any unnecessary issues.

The university will suspend your card due to the following reasons:

Reactivating Suspended Cards is a relatively straightforward process. You can submit a reactivation request through the Credit Card Profiles Change Request tool if you've returned from extended leave.

To be eligible for reactivation, the Card Services team must determine you're allowed to continue using your PCard. This is a crucial step, so make sure to follow up with them if you have any questions.

For cards suspended for force cleared transactions, you'll need to clear any outstanding transactions on the suspended card. This is a mandatory step, and you won't be able to reactivate your card until this is done.

After clearing outstanding transactions, you can request reactivation of your card through the Credit Card Profiles Change Request tool. Don't forget to attach a new card reactivation attestation form with your request.

Here are the steps to follow for reactivating a suspended card:

Remember to check the 60-day suspension period before attempting to reactivate your card.