Budget Allocation, Expenditure, Revenue and Fund Balance Transfers

Responsible Office: Associate Vice President for Business Affairs

Policy Type: Business Affairs

Policy Number: 217

Last Date Revised: 4/14/15

BUDGET ALLOCATION TRANSFER - At the beginning of each fiscal year, budget allocations are provided to University organizations in accordance with the University's financial plan.

Budget Allocations are assigned to organizations in three major natural account/expenditure type groupings: Personal Service Regular (PSR), Personal Service Temporary (PST), and Other than Personal Service (OTPS).  Allocations may be further divided into sub groupings such as Supplies, Equipment, Recharges, Operating and Travel at the organization's request. 

Sufficient allocations must be provided in the OTPS category to accommodate all supply and expense categories.  Expense categories will be monitored by the Budget Office for deficits.  Budget Allocation Transfers must be made to fully fund chargeback and travel from other OTPS allocations within the organization.

Account managers are responsible for carrying out program activities within the amounts allocated to the organization.  Over expenditure of the organization's allocation is not allowed unless specifically authorized by the Budget Office.  Account managers should ensure that adequate funds are available before initiating transactions to use funds.  Failure to do so could result in a curtailment of services.

Allocations can be moved from one organization to another.  Allocations can only be transferred within the same major funds, i.e. State-to-State, IFR-to-IFR, DIFR to DIFR, etc.  Allocations for State Regular Budgets may be transferred between all expenditure types (PSR, PST, OTPS) with the exception that OTPS cannot be transferred to PSR or PST.  All other major fund categories (DIFR, SUTRA, IFR) may transfer between all expenditure types with the authorization of the program manager.

To request a transfer please contact the Budget Office.

EXPENDITURE TRANSFER - This transaction is used to move actual expenditures from one account to another. Normally, expenditure transfers are used when an expenditure exists but is in the wrong account, or inadequate budget resources are available in that account. Expenditure transfers can cross funds.

Expenditure transfers can be accomplished by completing the form at the following link: http://www.binghamton.edu/general-accounting/transfer-form.html and sending via email to shatch@binghamton.edu. During the months of July and August please refer to the fiscal year associated with the transfer.  All transfers must be authorized by an appropriate official on both accounts that will be affected.  This must be evidenced by the addresses in the email header.

The following types of transfers cannot be done:

1.        Transfer from a personal service (payroll) expenditure type to a non-personal service expenditure type.

2.        Transfer from a current fiscal year to a prior fiscal year for the sole purpose of using lapsing funds.

3.        A transfer that would create a negative expenditure total, except for certain recharge transactions.

4.        Transfers that would create a deficit in the accepting account.

5.        Transfers that would distort the NACUBO functional nature of an organization's expenditures.

Each transfer request must include a justification for the transfer.  The following are examples of acceptable reasons for processing an expenditure transfer:

1.        Distribution of expenses to appropriate accounts.

2.        Correction of expenses posted in error.

3.        Chargeback transactions.

4.        Plant alteration projects.

Expenditure transfers are not to be used in place of Allocation, Revenue, or Balance transfers.

The Business Office will monitor expenditure transfers for appropriateness and compliance with SUNY and campus policies. All transfers will be processed within one week after being received. If a transfer cannot be processed as requested it will be returned to the requesting unit for further consideration.

REVENUE ADJUSTMENT - State operations deposit funds into state (IFR, DIFR, SUTRA) campus accounts. The deposits are sent to the Student Accounts office and credited to individual units by the campus Revenue Accounting Office. Occasionally, deposits are receipted into the wrong IFR, DIFR, or SUTRA account.

Revenue adjustments are used to move an incorrectly posted revenue entry from one account to another.  Revenue Adjustments are also processed for University deposits that are not receipted through Student Accounts.

Questions pertaining to incorrectly posted deposits or revenue adjustments should be directed to the Revenue Accounting Office.

FUND BALANCE TRANSFER - IFR, SUTRA, and DIFR-IFR fund sources operate in a manner similar to a checking account. Revenue is deposited into the account and expenditures are made from the account in accordance with the purpose of the account, stated when it was established. Often a balance will accrue in an account which an area may want to use in a different account. If the account purpose allows, available cash balances may be transferred to other accounts within the same fund to supplement balances or provide additional funding. Chargeback accounts are not allowed to process balance transfer transactions.

To request a balance transfer send a completed balance transfer request form via email to eneske@binghamton.edu. The request form can be accessed at http://www.binghamton.edu/revenue-accounting/ifr-accounting.html.

The balance in the originating account (the account from which the funds will be drawn) must be sufficient to cover the transfer amount. All transfers must be made in agreement by all parties affected by the transfer.       

Last Updated: 7/27/16