Procedures
- Establish a Center
- Determine Budget Type
- Recharge Center Budgets
- Rate Proposals
- Salaries
- Usage Estimates
- MAA Review Checklist
- Equipment
- Working Capital
- Financial Reports
- External Users
- Bill Customers
General Information
Operating Budget
Reserve Budget
Inventory Budget
Recharge center budgets are one type of budget that charge for providing goods and services to others; they are distinguished from other reimbursable budget types because they charge primarily internal customers. For a more comprehensive list of the budget types and their characteristics, please refer to the table of reimbursable budget types.
If you are interested in establishing a new budget, please use the Budget Types Flowchart to determine the appropriate budget to set up.
Within recharge centers, there can be three budgets set up for different purposes as described below.
All recharge and cost centers are required to have one operating budget.
This budget is used to record operating costs and income including:
Each recharge and cost center may have one or more reserve budgets. The most common type of reserve budget is an equipment reserve budget.
A reserve budget is used to hold balances and record transactions that don't directly affect the rate charged to recharge center customers including:
If recharge or cost centers want to include equipment depreciation or equipment use allowance in the recharge rates, they must have an equipment reserve budget.
An inventory budget is required only for centers that have inventories over $25,000 at fiscal year-end (June 30). These are items that are going to be resold, not supplies used in the recharge center operations.
The center takes a physical inventory at the end of each fiscal year and reports the amount to Financial Accounting. A journal voucher is prepared by Financial Accounting to transfer the change in value of inventory from the operating account to the inventory account.
