Expense Transfer - Guidelines for Use

When and How to Use the Expense Transfer Entry Form

Whenever there is a need for an expense adjustment an Expense Transfer Entry Form should be completed by the department. The Expense Transfer Entry Form should be signed by an authorized representative of each debit and credit the Deptid or Grant that is being used. The signatures will certify the correctness of the transfer. Click here for instructions for completing the Expense Transfer Request Form.

The Expense Transfer Entry Form should never be used for Salary or Fringe Benefit adjustments. Any salary/fringe adjustments must be done via the labor system. Please contact Sponsored Programs Accounting with questions regarding such adjustments (Boston ext. 6-6561 & Medford ext. 7-2149).

Timing Considerations

For transactions affecting grants, the expense transfer form should be forwarded to SPA. For those affecting Deptids only, the form should be sent to General Accounting. All should be accompanied by supporting documentation, (including PeopleSoft Detail Report), and should be submitted as soon as an error or other need for an adjustment has been identified. Expense transfers should not be submitted later than 90 days following the month in which the expense was originally charged to, or "hit", the account. All transfers that take place more than 90 days after the original charge date should include written justification for the lateness of the transfer.

Sponsored Account Considerations

When the requests involve sponsored accounts, the costs must be allowable and allocable to the debit account and they must be necessary to the scope/mission of the project.

Explanation Codes

Explanation codes have been established to help simplify the expense transfer process. The codes are listed at the middle of the form. The explanation code is required for all transactions involving grants. They are required for audit procedures. The codes on the Expense Transfer form are as follows:

Please Note: If the transfer references code C, E, F or is over 90 days old, then an explanation is required. Code A will require an explanation if the transfer is to move expenses to a competing renewal grant. At any time if the reason does not fit in the space provided then a separate memo should be attached.

The explanations should be complete - stating that an error was made is not sufficient justification for the request to be authorized. A justification of the request must explain how the error occurred and how the charge benefits the requested debit account. If the space provided is insufficient, please attach a separate page to the form.

Documentation Required

	Financial Summary & Detailed Transaction Report
	Proper documentation should accompany each expense to be transferred.
	Expense Transfer Form.

A copy of the Financial Summary Report and Detailed Transaction Report for the credit account should be included to reflect where the expense being transferred was originally charged. The information necessary to complete the entries on the Expense Transfer Entry Form should also be obtained from this report. The description of the expense, the date it originally was charged to the account, the amount of the expense, the Account Code and related reference numbers) should be transcribed directly from the Detail Transaction Report to the Expense Transfer Entry Form. The documentation should show the actual expense(s) to be transferred (as shown on the Detailed Transaction Report), not simply a total for the expense category.

Grouping Similar Expense Categories

Multiple expenses within the same expense code may be grouped together as one line of entry on the Expense Transfer Form, providing that detailed documentation of the transactions, adding up to the total transfer amount, has been submitted along with the request.

Allocating Expenses

When allocating expenses to multiple accounts, an explanation of the method of allocation used to determine the amount charges to each grant must accompany the Expense Transfer Entry Form.

Budget Considerations

If the funds in the debit account are not sufficient to cover the charge(s), or if no budget exists for the expense category, then the account may require re budgeting. Please contact your BFO prior to processing any expense in such instances.

Authorizations Required

The Expense Transfer Form requires signatures of authorization from an authorized representative of both the debit and credit accounts. Preferably, the Responsible Person for each account should sign the form.

Once Financial Services or SPA (as applicable) has received the request and it has been approved for compliance with university policies, it will be processed. Occasionally, it may be necessary for Financial Services to return the form for additional information/ documentation. In such instances, Financial Services or SPA will provide notification as to why the form is being returned. Please obtain the additional information required and resubmit it, along with the request, to Financial Services.

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