UCSD Blink: How to Prepare a Sponsored Project Award Allocation

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Sponsored Project Award Allocations: Overview
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Glossary Terms
	Account code
	Direct cost
	Indirect cost
	Journal voucher (journal)
	Operating ledger
	Sponsored project
	Sub-accounts
Departments
	Office of Post Award Financial Services

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How to Prepare a Sponsored Project Award Allocation

Summary: Find out how to prepare a budget journal entry for a sponsored project award allocation.

Note: You need to know how to prepare a journal entry in order to create an allocation.

What to do		How to do it
1	Determine the expenditure categories and amounts.	Review your approved award budget to determine expenditure categories (e.g., salaries, equipment, and travel) and the amounts awarded to each one. If the award specifies indirect costs only as a percent of total direct costs (rather than as a dollar amount), determine the direct and indirect costs.
2	Identify index and fund numbers you will need.	You will allocate to the specific index and fund number that the Office of Post Award Financial Services (OPAFS) has established for the award. You will allocate from the revenue index number associated with the award type. If you don't know which index number to use, contact OPAFS.
3	Identify account codes you will need.	The revenue account is based on the revenue index number from Step 2. It will automatically fill in when you prepare the journal entry. The expenditure accounts will depend on the expenditure categories in the award. Usually, you allocate to the subaccount level (e.g., 650000 for travel). The indirect cost account is always 823800 for sponsored projects.
4	Obtain a budget journal number.	Follow your department's instructions for obtaining a budget journal number. The number always starts with B for budget. The second digit is always A for an allocation. The last 6 numbers are determined by your department.
5	Prepare a budget allocation journal.	Follow the instructions for preparing a journal entry. The journal should include a debit to a revenue account for the full award amount obligated by the funding agency (increase/ +). It should also include a credit to the respective budget expenditure accounts and indirect cost account for the amounts specificed in the award budget (increase/ +).
6	Review the ledger.	When you complete your journal online, it will automatically be forwarded to OPAFS, which will either approve it or ask you to make corrections. If approved, the journal will be uploaded to the operating ledger the day after approval and you can review the posting to the ledger in FinancialLink. If the journal doesn't post to the ledger within two weeks, contact OPAFS to make sure it was processed.