Iowa State University

Financial Accounting & Reporting

Home >  Fee-For-Service Program

Fee for Service (FFS) operations are established for the purpose of producing and selling goods and/or services to University departments and/or external customers. Sales must comply with the University's mission, federal uniform guidance and the fair competition policies. Compliance and Accounting staff are available to provide guidance on establishing FFS programs and developing appropriate billing rates that comply with University policies and procedures and federal cost accounting standards.


Customers are categorized as either internal or external for rate development purposes. See definitions below:

Internal: Sales of goods or services to ALL programs within the University system. Internal customers must be charged the internal rate and billed through an integration accounting journal in Workday. The Program will need to have an Internal Service Provider (ISP) created and a request will be made to your ISD Finance Specialist to enter the journal within Workday.

External: Sales of good or services to non-University customers. Students and employees of the University are considered to be external customers when purchasing goods and services for personal use and/or educational purposes. External customers must be charged the external rate and billed through Accounts Receivable.


Note: Student fee programs (Course fees, study abroad fees, mandatory fees, etc.) are not FFS programs and are therefore not subject to these policies. Please See the Policy library for information regarding Course Fees.


Fee for Service Manual - published July 2021
Fee for Service Manual Update Preview
Labor Rate Model
Rate Development Example