Budget Office Budget Training Session

1. Budget OfficeBudget Training Session February 2014

2. Topics for Training Session • Intro • Budgeting Timeline • Update on NSTAR upgrade • Budgeting Changes and Guidelines • HR position budgeting • Finance budgeting • Proofing and Reviews • Questions

3. Introduction • State and Local Fund Budgets input into NSTAR create Budget Book which is available on the Budget Office website

4. Introduction • State and Local Fund Budgets help to develop the overall NAU operating budget for All Funds approved by ABOR at June Board meeting

5. Introduction • All Funds Budgeting • Important to consider all funding sources during the budgeting process and throughout the year • Helps to determine what resources are available to fund University, Division and Department priorities

6. Budgeting Timeline • February: • NSTAR installation/budget training sessions • Early March: • Budget Guidelines issued • Contract Masters • Issued March 5th/ Returned March 26th • March 3rd-April 14th • Local AND State Budget input templates available in NSTAR • (March 24th is halfway point) • April 15th – April 28th • Local AND State Budget input templates available for JFRs only • April 29th – May 8th • Budget Office review • May 9th • Budget materials due to ABOR (placeholder) • Late May • Zero Budget Lines loaded for early FY15 requisitions Proposed Position Management Deadlines to facilitate NSTAR budget deadlines: April 7th new position number requests April 11th ePAR Final Approval

7. NSTAR Upgrade Update • NSTAR Upgrade to Version 10 • Version 10 Computer Requirements and Installation Instructions can be found on the Budget website on the NSTAR page.

8. FY15 Budgeting Changes • Budgeting account classes where expenses and revenues will occur • Basis for zero budget line load for non-personnel expenses and revenue • Budget Office will load zero budget lines for all personnel classes (state and local), voluntary transfers in and out, 810 & 830 (local), and 739 class – interdepartmental (local) • Separate budgeting classes for fee types • Break out student mandatory, class, program fees

9. FY15 Budgeting Guidelines • Final Guidelines will be published at the beginning of March • Review key points included in the Budgeting Guidelines

10. HR/Position Budgeting • Contract Master • Salary budget total on HR must match Finance salary budget total for each Department ID • Using the Department Salary Set Aside • Use for potential positions and/or local fund salary adjustments • Split Funded positions • Need to coordinate that all areas budget properly for the FTE and salary

11. HR/Position Budgeting • HR Position Query • Use when cleaning up positions by inactivating unused positions or to identify positions to be unbudgeted • Please note that only unoccupied positions can be unbudgeted

12. HR/Position Budgeting • ERE • Review Rule of Thumb spreadsheet gives ERE estimated rates for new hires of Faculty, Service Professionals, & Classified Staff.

13. HR/Position Budgeting • ERE • Use ERS (Business Objects) Payroll Reports for ERE rates for current hires.

14. Finance Budgeting • Tools to Use to analyze YTD activity • ERS (Business Objects) Reports • Transaction Detail • Status of Funds • PS Financials (Budget Overview) • ITS Website= https://nau.edu/its/learn/psfinancials_bud

15. Budgeting Template Enhancements • Added expenses to finance input template for state funds to more accurately predict FY15 expenses

16. Budgeting Template Enhancements • Encumbrances on Local Fund Department IDs • Estimate for remainder of year activity should take into account encumbrances

17. Finance Budgeting • Local transfers • UCA transfers versus other departments • NSTAR • Voluntary transfers vs. Mandatory transfers (for debt service payments) • Capital project transfers would be a net transfer out as the $ go to unexpended plant fund • Transfers versus Interdepartmental Expense

18. Finance Budgeting • FY15 PS Financial Budget Errors will occur if budgeting is not done to appropriate revenue or expense classes • Emphasize that particular classes are needed if you have telephone charges, risk insurance, other University-wide interfaces, or clearing accounts

19. NSTAR Reports • Listing of key NSTAR Reports and Descriptions • Reports will be revisited over the next year after budgeting with version 10 formatting changes.

20. Proofing and Reviews • Salary and FTE • Do numbers match between Finance and HR applications? • Is Budget at least the current actual PeopleSoft salary unless on special assignment? Use non special assignment salary for budgeting • Reallocating State Operations budget to Salary requires Budget Office approval. • Revenue • If you have Administrative Overhead eligible Revenue, budget for Admin OH Fee. • Transfers • Voluntary transfers from UCA have been loaded and approved or have been coordinated with other areas

21. Proofing and Reviews • YTD Local actuals vs. full year projections • Are the full year projections greater than YTD actuals; what transactions do you still expect to occur between now and the end of the year that will impact your YTD amounts? • Do budgeted increases or decreases for next year make sense? • What are your recurring expenses (e.g. people) and what are the changes you expect to those recurring expenses? • Are there changes to your recurring revenues? • What are your 1 time expenses? • Do you expect to see a decrease or increase in your local ending balance compared to your beginning balance?

22. Proofing and Reviews • Balance forwards to next year are not negative • We do not want to budget negative local fund balances rolling into next year • Use Notes column on the NSTAR finance input template to communicate significant changes • Have all Department ID’s on Threshold Report been budgeted

23. Questions • Don’t wait! Call us as questions arise!