Process Overview:
As part of the University’s continuing efforts to accurately forecast its finances, budget managers are requested to provide a projection of departmental revenues, expenditures and capital project expenses (if applicable) for the June 30 fiscal year-end. The first budget projection cycle occurs in November/December. During this cycle, only key departments are requested to provide an update for the year-end projections for revenues and expenses based on the format of data presented in the five-year budget planning model. Not every individual department in the University will not be required to provide their updated projections during this first cycle.
The second budget projection cycle occurs during March/April. In this cycle, Departmental Budget projections forms are e-mailed to every budget manager, who must make projections for each organization (department) number. Year-to-date activity figures are listed for the current year. Current year budgets are copied in the June 30 Projected Column. Budget managers are required to change projection amounts that will be over or under budget by $5000 (or more) only, in the June 30 Projected Column.
Based on existing revenue and expense patterns, budget managers should make estimates of their year-end revenues and expenses for part-time salaries, recharges, and discretionary expenses. While developing projections, the effect of any deferment of revenues, prepayment of expenses, and year-end accruals of revenues and expenses that would need to be made on June 30 should be taken into consideration. Also, due to the varying nature of the cycle of operations in each department, the revenues and expenses might not be always incurred on a smooth prorated monthly basis. On the projection worksheet, all revenues and recharge amounts are entered as negative numbers, and all salary and expense amounts as positive numbers. Please click on the attached link to see a sample of the projection worksheets.
Sample Projection Worksheet
For the budget manager’s reference within the projection file, the Controller’s Office also attaches a worksheet for the previous fiscal year that shows the prior year’s cumulative budgeted and actual year-end revenues and expenditures incurred by each department. This section is provided for informational purposes only, to assist budget managers with current fiscal year projections. No data should be entered on the previous fiscal year’s worksheet.
Please note that even if no changes are projected, budget managers must return the spreadsheet to the Controller’s Office as confirmation that budgets will not be overspent. In order for this process to be as streamlined as possible, all projections must be returned electronically to the Controller’s Office. |
