1 / 9

Payroll Reallocations as They Pertain to Sponsored Program Projects February 22, 2010

Payroll Reallocations as They Pertain to Sponsored Program Projects February 22, 2010. Sponsored Programs Accounting (906)487-2244 Website: http://www.mtu.edu/research/administration/accounting /. Goals/Objectives. Review of the reallocation form. Reduce the need for reallocations.

cameo
Download Presentation

Payroll Reallocations as They Pertain to Sponsored Program Projects February 22, 2010

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Payroll Reallocations as They Pertain to Sponsored Program ProjectsFebruary 22, 2010 Sponsored Programs Accounting (906)487-2244 Website: http://www.mtu.edu/research/administration/accounting/

  2. Goals/Objectives • Review of the reallocation form. • Reduce the need for reallocations. • Explain the relationship between reallocations and effort certifications. • When is a reallocation necessary and clarify the requirement for reallocations past 90 days. • Miscellaneous topics. • Questions

  3. Reduce the need for reallocations • Determine the distribution of payroll up front. • Time overrides • Account distribution Form • Request an advance of funds from the Sponsored Programs Office. http://www.mtu.edu/research/administration/sponsored-programs/pdf/advance2.pdf

  4. The relationship between reallocations and effort certifications. • What are effort certifications and why are they necessary? • If an effort certification is incorrect a payroll reallocation may be necessary. • A reallocation done after a effort certification has been signed becomes a “re-certification of effort”.

  5. Clarify the requirement for reallocations past 90 days. • Expenditures reallocations to sponsored projects after 90 days of the original charge is generally unallowable. • OMB Circular A-133, Federal guidelines for auditors specifically directs auditors to target: “projects that are complete or in the later stages of completion. Frequent, untimely, and poorly documented reallocations can be an indicator of poor internal control”.

  6. When is a payroll reallocation necessary? To correct data entry errors found after reviewing monthly account summaries.

  7. Reallocations necessary and exceptions to 90 day requirement: • Official paperwork for an award is delayed (could request an advance) Charging another sponsored project while waiting for another to be awarded. • A semester effort certification is received and there is a problem with the % effort. • It is determined that an unallowable expense is charged to the project. • When reallocating to another index under the same award.

  8. Miscellaneous Topics: • Justification should always include: • Why the expense was not originally charged to the correct project. • How the expenditure relates/benefits the project being charged. • Otherto the sponsors and auditors: Reallocations charging one sponsor project to clear a deficit in another. Reallocations at the end of the project to spend the remaining balance.

  9. QUESTIONS?

More Related