Budget OfficeBudget Training
SessionFebruary 2014
Intro Budgeting Timeline Update on NSTAR upgrade Budgeting Changes and Guidelines HR position budgeting Finance budgeting Proofing and Reviews Questions
Topics for Training Session
State and Local Fund Budgets input into NSTAR create Budget Book which is available on the Budget Office website
Introduction
State and Local Fund Budgets help to develop the overall NAU operating budget for All Funds approved by ABOR at June Board meeting
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
Introduction
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
Budgeting Timeline
Proposed Position Management Deadlines to facilitate NSTAR budget deadlines:April 7th new position number requestsApril 11th ePAR Final Approval
NSTAR Upgrade to Version 10◦ Version 10 Computer Requirements and Installation
Instructions can be found on the Budget website on the NSTAR page.
NSTAR Upgrade Update
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
FY15 Budgeting Changes
Final Guidelines will be published at the beginning of March
Review key points included in the Budgeting Guidelines
FY15 Budgeting Guidelines
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
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
HR/Position Budgeting
ERE◦ Review Rule of Thumb spreadsheet gives ERE
estimated rates for new hires of Faculty, Service Professionals, & Classified Staff.
HR/Position Budgeting
ERE◦ Use ERS (Business Objects) Payroll Reports for
ERE rates for current hires.
HR/Position 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
Finance Budgeting
Added expenses to finance input template for state funds to more accurately predict FY15 expenses
Budgeting Template Enhancements
Encumbrances on Local Fund Department IDs◦ Estimate for remainder of year activity should
take into account encumbrances
Budgeting Template Enhancements
FY2013 Actuals
FY2014 YTD Actual Expense
FY2014 YTD Encumbered
FY2014 Budget FY2014
Estimated YE Budget
FY2015 Budget Office Adjs
FY2015 User Budget
Difference Budget to
Actuals
Operating Expenses:
OKAY - Salary values Match
Personnel Services HR Salary: 4,093,073
711 Salaries 3,673,826 1,916,584 1,807,801 4,089,071 4,093,073 2,176,489
712 Other Wages 34,247 21,258 250,000 20,000 (21,258)
713 Student Wages 1,276,833 642,755 1,393,073 600,000 (642,755)
714 Work Study - -
715 Graduate Assistants 92,275 43,624 32,284 96,990 (43,624)
720 Employee Related Expenses 1,876,482 987,133 2,336,039 900,000 (987,133)
Total Personnel Services 6,953,663 3,611,354 1,840,085 8,165,173 1,520,000 4,093,073 481,720
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
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
Finance Budgeting
730 postage & freight chargeback739 (loaded) HR advertising, HR finger printing, risk insurance
740 telephone750 NAU Transportation long-term vehicle rental, labor on facility work order service761 NAU Transportation vehicle rental, travel expenses on Pcard
Listing of key NSTAR Reports and Descriptions
Reports will be revisited over the next year after budgeting with version 10 formatting changes.
NSTAR Reports
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
Proofing and Reviews
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?
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
Proofing and Reviews
Don’t wait! Call us as questions arise!
Questions