Iowa State University

Sponsored Programs Accounting Office

Cost Transfers

 

FROM: Account not overspent.........................TO: Any appropriate account with funding
FROM: Overspent account................................TO: Any appropriate non-federal account with funding

Costs CAN NOT be transferred from overspent accounts to federal accounts or federal flow-thru accounts. An exception is made for federal continuation accounts which must meet certain criteria-

  • no funding gap between award periods,
  • same project title, and
  • same/similar sponsor award number.

    Costs from overspent accounts CAN be transferred to non-federal accounts.
    Costs on cost-reimbursable accounts must be incurred during the award period.
    Costs transferred on to federal accounts must be made within 90 days of the transaction date OR within 90 days of the federal account being established.


    Utilizing these concepts:

    Only if the federal funds to be received are truly continuation funds should an established federal account be used to hold costs until the additional federal funds are received.

    In all other cases where there are costs that need to be incurred on federal projects before the award is received, a request for an advance account number should be processed. An advance account number should be utilized whenever the new award is not continuation funding or it is unknown whether the federal funding will be continuation funding.

    See OSPA's Website for the advance account number request template.

    In summary:
  • An overspent federal account's costs can be transferred to a continuation federal account or non-federal appropriate account.
  • An overspent non-federal account's costs can not be transferred to a federal account.
  • An overspent non-federal account's costs can be transferred to an appropriate non-federal account.
  • An overspent account's costs can always be transferred to an unrestricted source (incentive funds, fixed price funds, departmental 70X funds).