Workflow and Accountability in Hyperion Planning

Workflow and Accountability

One of the major advantages of the Hyperion Planning system is the inherent

workflow. This provides an audit trail of the progress of budget submission and

consolidations as well as ensuring mistakes in consolidations are kept to a

minimum in comparison to a spreadsheet consolidation model.

Once a user is happy and has a final version they wish to submit they will go into

the “Check Status and Manage Process” option within Workflow from the main

menu or click on the workflow tab at the top of the page.

If they have clicked on the tab at the top of the page they should see a default

screen that has automatically taken them into the “Check Status and Manage

Process” Screen.

Once here they must enter the scenario and version they wish to check and

manage the status for. Once selected they will see a similar screen to the one

below.

The number of RC’s viewed will depend on their security settings. These are set by

their Unikey security setting which is linked to the University’s general LDAP

security protocol.

The “Manage Process and Check Status” area is used for the following:

Promotion / Approval / Rejection / Sign Off of Budgets or

Forecasts

Users, whether planners who want to promote their finished work, or reviewers

who wish to promote, approve, sign off or reject submitted work, will be using this

part of the application.

Budgets or Forecasts cannot be promoted without their plan cycle being started.

This will have been done either by the Planning Systems Administrator or their

supervisor, who assigned the budget or forecast responsibilities to them in the first

place.

When the user comes across the point of view above they will see who the current

owner of each RC is. This will either be a planner, who is about to submit his or her

data, or a reviewer, who is about to sign off, promote, approve or reject the data.

The user will then click on the blue “Details” tab on the right hand side and enter

the next screen.

From here they will do the following:

1. Select their chosen action (promote, reject, sign off or approve)

2. Select who they wish to send notification of this action to (this is from a drop

down box of people who have security access for the RC being submitted).

Users can only submit the data to one person, who will become the new

owner once the action is completed.

3. Enter a message in the annotation box if they want to explain any point of

detail.

4. Click on “Go”

The different actions perform the following tasks:

Promote

Users should take this action when they are ready for another user to review the

planning unit. This action assigns ownership of a planning unit the first time, and

thereafter transfers ownership of a planning unit from one reviewer to another.

Promote causes an implicit sign-off by the current owner and changes the state of

the planning unit to Under Review. Once promoted and assigned to a new user the

original budget or forecast author cannot alter the data within the RC any more.

Approve

Reviewers should take this action when they wish to approve the submitted budget

or forecast. Approve changes the state of the planning unit to Approved. A

planning unit can be approved from any state except Not Started. Only an

administrator can approve from a Not Signed Off or First Pass state. Approving a

planning unit causes an implicit sign-off by the reviewer.

Once approved the reviewer can no longer reject the planning unit budget or

forecast.

Point of Note: Typically a planning unit is approved only once. Only the Planning

Systems Administrator can reject a previously approved planning unit.

Sign Off

A reviewer may wish to signify that the submitted budget or forecast of an RC is

OK, but reserve the right to request the data to be changed dependant on the

contents of a budget or forecast from another RC’s within the same area that have

not yet been submitted. In this instance they can “Sign Off” on the RC rather than

approve it.

Sign Off does not transfer ownership of the planning unit, but changes the state of

the planning unit to Signed Off, therefore the reviewer is free to act at a later date

once all RC’s within an area are submitted.

It also notifies the budget or forecast author that their budget is accepted “in

principle”.

Reject

This action is taken when a reviewer is not satisfied with the planning unit, and

typically requires the previous owner or the originator to create another iteration.

The reviewer can nominate anyone to whom to send this rejection as long as they

have security access to the RC. This means the original author need not be the

person requested to amend or correct the budget, though best practice means they

should be in the majority of cases.

A Reject action changes the state of the planning unit to Not Signed Off.

Point to note: Only one user can be nominated to receive this rejection

Checking the Status of the RC’s

At any one time in the Budgeting or Forecasting Process, a user with appropriate

security access to any number of RC’s can check the progress of the work. As a

result of the promotions, rejections, sign offs and approvals, a RC can be shown to

be in one of 6 states as shown under the “Process Status” in the screen shot

above. These are:

Not Started

The initial state of all planning units. The budget administrator initiates the review

process using the Start action.

First Pass

The first state for planning units selected to go through the budgeting process.

There is no owner of a planning unit during First Pass. Any user with data access

can enter data and promote the planning unit during the First Pass state.

Under Review

This state occurs when a Promote action is taken on a planning unit and signifies

that a planning unit is being reviewed by someone in the organization. Only the

current owner or the budget administrator can modify data or perform an action on

a planning unit that is in the Under Review state.

Best practice at the University is for the current reviewer not to modify the data, but

reject the budget or forecast and request the author to make the changes and resubmit.

This ensures full accountability and communication within the Planning

Process.

Signed Off

This state occurs when a Sign Off action is taken on a planning unit. Only the

current owner or the budget administrator can modify data or perform an action on

a planning unit that is in a Signed Off state. Ownership does not change when a

planning unit is signed off.

Not Signed Off

This state occurs when a Reject action is taken on a planning unit. Only the current

owner or the budget administrator can modify data or perform an action on a

planning unit that is in a Not Signed Off state.

Approved

This state occurs when an Approve action is taken on a planning unit. After a

planning unit is approved, the budget administrator becomes the owner of the

planning unit. Only the budget administrator can modify data or perform an action

on a planning unit that is in an Approved state. After all the planning units are

approved, the budgeting cycle is complete.

Process Diagram of workflow

The steps described above can best be shown as follows:

Audit Trails

When a user promotes a budget or forecast they have the option to add a message

to the submission. Similarly when a reviewer approves, signs off or rejects a

budget or forecast they too can add a message for a person if they wish to send

the budget or forecast on.

All this is performed via the annotations window. This is on the same screen as the

approvals or rejections submission (the screen shot below demonstrates this).

The annotations do not replace one another, but add to each other to form a

written audit trail in chronological order.

If a budget or forecast has been submitted and rejected a number of times, a user

new to the situation will be able to view the previous messages and gain an idea of

why this has happened.

Annotations can also be added via the Data Input Sheet as there is a button which

links to them on these sheets as standard (see below).

It is imperative therefore to be concise but accurate in your descriptions when

using this feature. It is useful in also explaining any anomalies in budget or forecast

which cover a number of members (if a cell contains an anomaly the cell text

feature is used).

Sign Off and Accountability

One of the main features the Planning Application promotes is accountability. Each

user is restricted in their view of RC’s to those they can access with their Unikey.

Within the College and Admin portfolios therefore, when each reviewer signs off

child RCs and promotes a parent RC, they are effectively approving it. Their

respective access rights are limited by their Unikey access therefore it is up to

each individual ensure their Unikey password is known only to themselves or those

they trust.

The Planning System Administrator can review the progress of the Planning Cycle

at any time. They will be able to see who has signed off on the RCs and follow up

with individuals that have not far quicker than during the previous spreadsheet

system.

Once a RC is approved, only the Systems Administrator can change or reject it

therefore it is recommended that the consolidated RCs at College and Admin

Portfolio levels only are approved. All RCs below this level should be signed off by

their respective reviewers and subsequently promoted in that state.

Within this formal system however it is up to the individual units to dictate how they

work best. Will they have one major review of all RCs and submit and approve en

masse, or will the workflow be submitted and approved RC by RC?

If an individual needs another staff member to approve or sign off (i.e. in their

absence) some budgets or forecasts a suitable system of delegated authority

should be put in place first.

Budgeting and Forecasting in Hyperion Planning

BUDGETING AND FORECASTING

Setting User Preferences

Each individual user can set their own preferences within the Hyperion Planning

application.

The User Training Manual for Hyperion Planners (this can also be found in the

PSO Intranet site) provides a detailed explanation of the User preferences

available within the Hyperion Planning application (Module 6 Setting Preferences).

How to Budget and Forecast using Hyperion Planning

As with the user preferences above the User Training Manuals, for both Planners

and Approvers, cover in detail, step by step, on how to enter, amend, save and

submit data as well as how to review and use the workflow process.

The training manuals follow a natural budget / forecast cycle from the beginning to

end. If the reader wishes to understand a particular point on how to use the

application then it is recommended they look up the relevant point in either of these

manuals or alternatively use the extensive help features of the application.

The help tab can be found in the top right hand side of the screen from the

Hyperion Planning logon screen onwards.

Building the Budget – Financial approach

The following sub-chapter will deal with the levels that budgets should reflect within

the University and identify on what data users should be budgeting and forecasting

and how they can do this from a financial rather than systems perspective.

Level of budget and forecast preparation

As in previous years, the annual budget should be completed at least at

Department level or the agreed Administration budget unit level. However, all

budget units are now recommended to develop budgets upwards from lower level

budget units and base level class codes i.e. using a "bottom up" consolidated

approach (alternatively summary Class Code level budgeting has been provided

for).

These budgets should be consolidated to College and Administrative Portfolio level

for approval prior to their submission to the PSO.

Foundations and Centres

College Pro-Vice-Chancellors and the Deputy Vice-Chancellor (Academic) have

oversight of various Foundations and some Centres. Individual budgets are

required for all Foundations and any Centres not included in the Faculty

consolidations. Foundations and Centres should only be included in Faculty

consolidations when they are embedded within Faculty structures and have been

shown this way in previous years.

Each College Administration and the Academic Portfolio are asked to co-ordinate

Foundation and Centre submissions for their College or Portfolio and to provide a

full budget consolidation of all such Foundations and Centres within the College or

Portfolio.

All Foundations and Centres have been asked to provide business or operational

plans and annual budgets each year, with an annual report to be produced by June

of the following year. College Pro-Vice-Chancellors and the Deputy Vice-

Chancellor (Academic) have responsibility for seeing that this process is adhered

to and for providing commentary on the annual report and financial performance.

Budget Years

The Hyperion Planning application allows for users to budget on multiple years or

on a FBT, Fiscal or Calendar Year basis.

Within the University the budget year is on a calendar year basis, however areas

can budget on a fiscal basis, as the data input sheets allow for budgeting by month

for 1 year, e.g. a grant budget could be entered for July ‘05 to June ’06. The data

input sheets also include the ability to input 4 additional years of budget data

(yearly totals).

Hyperion Reports can be created that present the data for the Fiscal or FBT year.

Income

Teaching and Learning & Research and Innovation Specific projects and Earmarked Grants

In previous years, within some budget areas, only the on-going components of

Research and Earmarked Grants were included in the College budget in addition to

Core Teaching and Learning (T&L) and Support Operations.

Currently however a preliminary estimate of all new component Research and

Earmarked Grants should be shown at Faculty level in the budget. Current and

prior year levels of income and expenditure in the form of the latest forecast should

form the basis of next years preliminary budget estimate for each Faculty (unless

there were some special circumstances in the current or prior year). The aim of this

procedure is to enable the University to determine more closely the precise level of

income it expects to have available for the next year. This will assist in reporting to

Finance Committee throughout the following year, especially early on. All Colleges

should be required to follow this revised procedure.

In April of the budget year, as the actual value and distribution of these grants

normally is known, an adjustment will be made for the Quarter 1 forecast to show

the new approved earmarked grants in the individual budget area as a confirmed

grant allocation. In this forecast faculties will be expected to replace budget

estimates of the Faculty by the confirmed financial revenue and estimated

expense.

A similar procedure should be applied in relation to T&L Specific Operating

Funds as well as Research and Innovation Specific project codes (includes

Research Infrastructure), the full distribution of which is generally not known when

budgets are being completed. Therefore the Faculty level budgets should also

include a preliminary estimate of the likely revenue and expense relating to these

activities based on current and prior year data (taking into account any special

circumstances in the current or prior year).

In April of the budget year, as the distribution of these grants becomes known,

faculties will be expected to make an adjustment for newly-disbursed actual

Specific Operating Funds including Research Infrastructure for the Faculty based

on confirmed College allocations from both the Deputy-Vice-Chancellor (Research

and Innovation) and Pro-Vice Chancellor (Teaching and Learning). These

adjustments will be incorporated into the Quarter 1 forecast. The budget figure put

forward by the Faculty at the beginning of the year will be updated by the actual

revenue allocation and the estimated expense within the Quarter 1 forecast. The

process will be monitored each year for its impact on the Budget.

Teaching and Learning Operations are represented by the total of:

• Commonwealth or State General Operating Grants (Project code 00000s),

• Student Fees

• Internal and Other Operating Revenue relating to T&L (e.g. external and

internal funded income)

• Allocated T&L Specific Operating project codes (excluding Research

related)

• Capital Development Plans (CDP&CDP-IT).

For a summary of the allocation of these project codes please refer to Appendix

11.1.

Teaching & Learning (General Operating Revenue)

T&L General Operating Revenue is now defined as the total of Commonwealth or

State General Operating Grants (Project code 00000s), student fee income plus

other miscellaneous income e.g. BLO central overhead contribution.

Funding model income and allocations to major budget units will be advised by the

College or Administration Portfolios following advice provided centrally.

General Operating Revenue includes income from fees for award courses

(international, local undergraduate and local postgraduate including Off-Shore

programs) which is shown against the ‘Student Fees’ class code line. Net student

fee income projections shown in faculty/College budgets (refer to the latest

University Budget: Policy Guidelines document) will be the responsibility of the

relevant faculty, and typically should be based on projected student load data

agreed as a result of the Institutional Assessment Framework Information

Collection discussions between the Planning Support Office and Faculties.

Alternatively they may be based on any other information available in the

Colleges/Faculties in relation to the fee-paying load and UG and PG fees approved

for the year. Fee estimates shown in the budgets will need to be consistent with the

College practice in distributing fee income.

Note: Project code 00000s primarily intended for Teaching and Learning activities

although operating costs (e.g. academic salary) for general research activity, at this

stage, is not separated fully from T&L expenses. All other financial activity of a

“commercial nature” e.g. internal businesses activity (UPS), income from short

courses and conferences etc. are to be recorded under Commercial and Other

Activities (Project code 11111s).

T&L Specific Operating

T&L Specific Operating Funds consist of various specific project codes (excluding

research related). In addition to on-going funds included within Faculty budgets a

preliminary estimate of new income allocations should be shown in the budget at

least at Faculty level. Teaching and Learning grants (Project code G) are now

included in this budget estimate.

Once approved new funds have been distributed by the Pro-Vice-Chancellor

(Teaching and Learning) to departments, each College should reflect these

confirmed allocations in their quarterly forecasts.

Capital Development Plans

Capital Development Plan (CDP) - project code F* is used by Facilities Planning

and the Capital Development Plan – Information Technology (CDP-IT) project code

M* is used by the IT Major Projects Group.

Research and Innovation (Specific) including Infrastructure Block Grant

(RIBG)

The Deputy- Vice Chancellor (Research and Innovation) allocates central operating

funds for specific research activities. Details of the research specific project codes

are listed in appendix 11.1).

Research Infrastructure consists of government grants provided under the

Research Infrastructure Block Grants Programs. The Deputy-Vice-Chancellor

(Research and Innovation) is also responsible for the allocation of these funds

within DEST guidelines for the program.

Faculties are expected to show preliminary estimates for the above research

allocations including matching funds at Faculty level for each College. Once

approved new funds are distributed by the Deputy-Vice-Chancellor (Research and

Innovation) values will be reflected by individual budget units within each College

and including matching funds in revised forecasts.

Earmarked Grants and Scholarships

Research and Earmarked Grants consist of external funds (Government and third

party) that are classified under specific project codes (refer appendix 11.1). All ongoing

grants from the prior year should be included in departments’ present

estimates within the College Approved Budgets.

In addition Faculties are expected to show a preliminary estimate of new Grant

revenue and expenditure in the budget at Faculty level. Once actual grants from

the Deputy-Vice-Chancellor (Research and Innovation) or granting bodies are

known the revenue and expense estimates can be included in the first appropriate

quarterly forecast.

Please note where applicable preliminary estimates of Business Income, BLO

Consultancy and Contract Research revenue and expenditure activity, relating

to Earmarked project codes, should be shown based on current and prior year

activity (taking into account any special circumstances in the current or prior year).

Support Operations (ref Appendix 11.1)

Support and Other Operating Funds consist of:

(a) Commercial & Other Activities (Non-DEST operating Project code

11111s) and Investments

(b) Consulting/Outside Earnings

(c) Bequests, Donations, Capital Preserved Trusts and Scholarships

(d) Foundations Operating (Project code 22222 only)

College, Faculties and business units are asked to provide revenue and expense

budgets for their Support Operations. Availability of current and prior year actual

data will assist development of these budgets.

Surplus Funds

Subject to interest calculations any surplus funds could be transferred to a Special

Purpose Reserve during the year if not intended to be spent in the budget year and

derived interest income.

Salary Expenditure

In developing salary budgets, units should include the full effect of any known

salary increases. These increases may apply to the full year or be stepped

throughout the year.

Salary On-Costs

Salary on costs percentages to apply to salary (including loading and allowances)

consist of payroll tax and worker compensation for all employees, long service

leave and varying superannuation percentages depending on the general ledger

project code (00000s or 11111s), whether regular (full time) or part time and into

which superannuation fund contributions are paid.

Note: Specific percentages will be advised each year prior to the budget cycle

commencement

Note: payroll tax is levied on salary costs (including loading and allowances) and

superannuation costs.

Non-Contributory Superannuation Employees

For non-contributory superannuation employees the Superannuation Guarantee

Levy is currently 9% for these employees. This applies to part-time teaching and

casual employees. Budget units will need to increase the salary on-cost from the

3% basic benefit to 9% effective to forecast for these employees.

Units Funding Full Superannuation Costs

If budget units currently fund the full superannuation costs (e.g. Project code

11111s) they will need to increase the average on costs for the superannuation

contribution (depending on the fund) plus the additional payroll tax calculated on

the superannuation value not funded as a central overhead.

Research Earmarked Grant funded employee on costs will also vary e.g. the long

service leave on costs percentage cannot be applied to salaries funded under

NHMRC grants. Only actual costs of long service leave can be recovered from the

granting body in due course.

Class Code Summary Level Definitions

The following are definitions for the summary cost codes, including details of some

of the class codes which sum up to them.

INCOME

Operating Grants: Used to budget for OPERATING & RESEARCH GRANTS at a

summary level. For 00000 projects, the income amount budgeted for must match

your approved Budget DEST Operating Allocation.

HECS-HELP (budget class 2205): At this stage this budget class will be used only

centrally to assist management reporting to Finance Committee where it is included as

student fees.

Scholarships/Donations/Bequests: Represents Scholarships (classes 2300 to

2303), Donations (classes 2400 and 2402) and Bequests (classes 2500, 2502 and

the CPT allocation 2540).

Business Income: Represents all Farm Income (classes 2600-2624) and

Business Sales and Services Income (classes 2700-2721) including Speech

Pathology income (3629), Medical Services Income (3635), Darlington Centre

External Income (3645) and Catering Income (3652) as well as Royalty and

Licence income (classes 3500-3503).

Consulting and Contract Research Income: Represents all BLO income classes

2801-2805 and 2821-2825 (excluding Collaborative Research classes 2800 and

2820) as well as Overseas Consulting Income (2724), Consulting Income local

(3628) and BLO recovery of External Overheads (3605).

Interest and Investment Income: Represents all classes in the range 2900

to 2915 as well as Cash Pool Interest Allocations (class 2940) and Property

Income Allocations (class 2941). Also represents rental income from investment

properties and interest income.

Other Fees and Charges Income: Represents all Board & Residents Fees

(classes 3000-3002 and 3017) and Rent (3608 and 3609), Continuing Education

(3221 & 3222) as well as various other fees (3019, 3020, 3200-3207, 3216-3220

and 3666) including Course Cancellation Fees (3626).

Internal Income: Represents all classes in the range 3300 to 3398. Generally

covers internally generated income only, e.g. University Printing. Where transfer

of costs or income is involved the same class should be used on both sides

of the accounting entry (i.e. for the DR and CR) to avoid double counting (e.g.

3109 Fees International Office Disbursement).

Funded Positions (Int. and Ext.) Income: Budget units are required to show at

the Funded Positions (Internal and External) budget line, the forecast value of

recoupment for salaries funded from internal sources such as bequests and

external sources e.g. hospitals. The forecast value to be shown will exclude the

value of superannuation currently held in the central accounts. Each College

Administration will be requested to transfer the actual income received from each

funding source to A0004 00000.

Other Income: Represents various other sources of income such as

Commissions, Reimbursements, Special Events Income, Hire of Equipment,

Parking Income, Recoveries and various other classes. Also represented are

External Contributions such as Contributions from External Organisations and

Ausaid Stipends and income from the sale of expensed (non capital) Furniture &

Equipment i.e. <$5,000 purchase price.

Asset Disposals: Represents income to be received from the sale/disposal of

Motor Vehicles, Furniture & Equipment and other capital assets where the

purchase price was $5,000 and over. Also represents any known insurance

settlements that are receivable for the loss of such assets.

This summary class is also to be used by the Investments Office for the sale of

Property and Shares.

SALARY EXPENDITURE

Salary Expenditure budgets are to be set using current rates of pay and taking into

account expected pay increases as a result of the Enterprise Bargaining process

and any additional advice provided by the Planning Support Office.

Academic Sal Costs: This represents all academic salaries on the regular payroll,

including leave loading, honorariums and on-costs.

General Salary Expense: This represents all administration salaries on the regular

payroll, including leave loading and on-costs.

Part Time Teaching Costs: This summary class code includes Part Time

Academic Teaching Classes 4002, 4302, 4303, 4306 including leave loading and

on-costs.

Casual Staff Costs: This classification represents all casual salaries from the nonregular

payroll (class 4103) plus (4420-4422, 4424) as well as Unistaff charges

(4423).

Overtime Costs: This represents all overtime pay and associated on-costs for

General staff being classes (4101, 4440-4441).

Other Salary Costs: A budget line is available for Other Salary Expenses being

Unfunded Annual Leave both Academic (class 4413) and General staff (class

4410). Also included is Deferred Employee Benefits for Superannuation class 4412

(central budget only).

NON SALARY EXPENDITURE

Travel: All classes in the range 5700 to 5718 are represented. Note that classes

5712 and 5713 Conference Charges Travel – Domestic and Overseas are

provided for use where conference attendance involves travel, either within

Australia or overseas. Alternatively class 5800 “Conference charges” and 5801

Internal Charges – Conferences can be used and budgeted for under the

Conferences/Entertainment category.

Conferences/Entertainment: All classes in the ranges 5800 to 5801

“Conferences” and 5900 to 5906 “Entertainment” are represented including FBT

eligible and FBT Non Eligible components of entertainment.

Staff Training and Development: All classes in the range 6000 to 6004 are

represented in this summary account. Internal Charges for the Continuing

Education Centre, for Staff Development for the Institute for Teaching and Learning

are also part of this group.

Other Employee Related Costs: Summary class includes Fringe Benefits Tax

(classes 6600-3310) and other employee related expenses such as new

appointment expenses (6720), meal money (6715), health checks (6766) and

expense of office payments.

Other classes include 6715, 6716, 6720, 6740, 6764 to 6769, 6773, and 6774.

Consumables: All classes in the range 5000 to 5098 are represented. This

includes chemicals, drugs, materials, stationery and office supplies, computer disks

and gas. Internal Charges Animal House and Internal Charges. Pathology Services

are also included in this group.

Repairs/Maintenance: All classes in the range 5100 to 5102 and 5200 to 5234 are

represented. This includes repairs and maintenance to buildings, grounds, plant &

Equipment and computer hardware/software. Internal Charges Facilities Planning,

Internal Charges Trade Services and Internal Charges Computing are also

included in this group.

Services/Utilities: All classes in the range of Services (5400 to 5419) are

represented including services (e.g. electricity, catering, cleaning, laundry and

waste removal). Internal Charges Electricity, Internal Charges Gas/Other Utilities,

Internal Charges Water Consumption and Internal Charges Services are also part

of this group.

Equipment Purchases and Leases < $5000:

All classes in the ranges 5290, 5300 to 5302, 5307 to 5312, 5341 to 5348 and

5250-5252 are represented including computer equipment purchases and

equipment lease expenses. This group also includes internal charges for the

purchase of expensed assets ($<5,000)

Communications:

This group includes postage, couriers, telephone and video conference charges.

Consultants/Contractors:

All classes in the range 6401 to 6403 are represented.

General Expenses/Insurance/Legal/Motor Vehicles:

General Expenses - classes 6100, 6200, 6700 to 6713, 6717 to 6719, 6722, 6723,

6726, 6744 to 6755, 6758, 6762, 6781 to 6783; Insurance – classes 6800 to 6803;

Legal costs - classes 6900; Motor Vehicle Expenses - classes 7100 to 7107.

Library Purchases/Expenses:

Represents all classes in the range 7000 to 7038.

Printing Costs:

All classes in the range 7200 to 7212 are represented. This includes Internal

Charges Photography, Photocopying and Printing Services.

Students Costs:

All classes in the range 7300 to 7315 are represented. Student costs include

prizes, stipends, scholarships, research student allowances, Internal Charges

Prizes/Scholarships, Internal Charges International Education Office and Internal

Charges Post Grad Fees.

Other Expenses: Audit Fees (class 6100), Commissions (class 6200), Rates

(5500-5503) and Rents (5600-5603) as well as the Close-off of Capital Projects

(class 6752) and the Close-off of Capital Systems Projects (class 6772) are

represented by this summary class.

Business Group Expenses: All expenses associated with Business Trading

Operations in the range 7700 to 7861 as well as Licences (6714), Patents &

Copyrights (6730), Patent BLO-Cost Write-off (6732), Royalties (6742) and the

Loss on Associates and Joint Ventures (6763).

Depreciation & Amortisation: This Budget class will be used at the University

level to record the Depreciation and Amortisation classes 7500 to 7505, 7507 to

7511, 7543, 6750.

Carrying Costs of Assets: All classes in the range 6151 to 6153 are now

budgeted separately at the University level.

Internal Expenses: This Budget class will be used at the University level to record

the net elimination of the Internal Expense classes.

Asset Additions > $5000: This group incorporates Asset Additions $5000 and

over - all classes in the range 5350 to 5398.

Transfers to Reserves: A reserve represents funds put aside for a specific

purpose from operating surpluses of prior years (normally of a capital nature).

When budgeting to set aside funds for reserves use the Transfer to Reserves

account. All classes in the range 7900-7908 are represented by this summary

class code.

Transfers from Reserves: This group is used to budget for the withdrawal of

reserve funds set aside in a reserve account in previous years to be spent in the

current year. All classes in the range 7910-7918 are represented.

Additional Information

• Budget units should check with their College Accountant to ensure

consistent presentation of internal income and expenditure transfers.

• With the establishment of the Federation Fellowships a new common

project code 10041 was established to record the funds transfer and the

costs in the Research and Innovation Specific Operating. Budget units

receiving central funding are requested to continue to use this common

project code and not project code 00000's.

• The estimated Closing Balance of Reserves is presented on a separate line

in the budget below the Closing Balance.

• Salary Costs of negotiated separation packages are to be reflected in the

salary expense line ‘Other Salary Costs’. In the Chart of Accounts listing

Internal Charges Salary account class is now shown under both Academic

and Administration Salary Costs.

• Earmarked Grants includes Infrastructure Equipment Grants.

• All figures (both income and expenditure) are shown initially in the budget in

whole dollars (i.e. $127,459).

University-Wide Costs: Budget units that have management responsibility

for University-wide costs (overheads) should provide, as in the past, a

separate budget for these costs together with explanatory notes.

Treatment of Internal Income and Expenses: In cases where an expense

is being transferred or recovered, e.g. salary costs are to be recovered

from another RC, the internal expense line should show a debit in the

receiving RC, and a credit in the RC recovering the expense.

Internal trading: Where internal income is a cross-charge for a service,

e.g. the University Printing Service, ‘double counting’ cannot be avoided

until year-end accounting adjustments are prepared centrally by Financial

Services. This case the revenue will be recorded as internal income by the

service provider and internal expense by the service receiver.