GIM 15 - Transfers of Goods and Services Transactions
Transfers of Goods and Services Transactions
When transferring non-salary expenditures to or from a sponsored project budget number, the conditions which must be adhered to are as follows:
- Transfers are to be processed within 90 days of discovering the error. In addition, submit transfers promptly after the end of the financial reporting period to facilitate timely submission of financial reports by Grant and Contract Accounting (GCA).
- Revenue transfers and budget number changes for outstanding requisitions (encumbrances) are governed by separate policies and procedures.
- The following information must be included on all cost transfers:
- The reason(s) for transferring the expenditure must be sufficiently stated to establish that the transfer is within the approved guidelines of the budget to be charged and is in direct support of the project objectives. It is important to stress the benefit to the program receiving the cost in all instances.
- The reason(s) the expenditure was initially charged to the incorrect budget.
- Transfers involving equipment (Account code 06), equipment fabrication expenses and transactions using account code 05-40 or 05-41 are routed to the Equipment Inventory Office for review and final submission. Expenditure transfers must be processed within 90 days of when the error was discovered. If, however, the transfer is requested more than 120 days after the transaction date, an explanation for the timing of the transfer must be included. The 120 days is from when the transaction posted to the budget to when the transfer is submitted.
- GCA periodically reviews selected transfers after posting to ensure compliance. Questions concerning allowable transfers should be referred to 206-616-9995 or email gcahelp@u.washington.edu. The Grant and Contract Accounting Office can also provide assistance in establishing budget monitoring procedures to minimize the need for expenditure transfers.
Cost Transfer Minimum Threshold
'Low dollar' cost transfers place a strain on administrative systems. Therefore, the following change has been implemented to improve the efficiency and effectiveness of our cost transfer process for non-material dollar amounts.
Procedure:
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Non-Grant & Contract Budgets:
It is not necessary to process cost transfers involving individual transaction amounts equal to or less than $10.00.
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Grant & Contract Budgets, including program income and restricted gifts:
It is not necessary to process cost transfers involving individual transaction amounts equal to or less than $10.00. However, departments must monitor the volume of these transactions on an individual budget to ensure they do not become material in relation to the award amount.
This threshold policy does not relieve the department from the responsibility of clearing all over-expenditures in a timely manner on any budget regardless of the dollar amount.
