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Recharge Center Training Handouts
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P age |3
PURDUE UNIVERSITY
Recharge Center
Statem ent of Incom e and Expense Worksheet
Prior Year
Current Year
Projected Rate Year
2009
2010
2011
EQUIPMENT BALANCES:
+ Equipment (all 155xxx G/L accounts)
20,000.00
20,000.00
30,000.00
(For projections, use current balance + any planned purchases)
- Accumulated Depreciation (all 156xxx G/L accounts)
20,000.00
Net Book Value of Equip
20,000.00
-
20,000.00
-
10,000.00
INCOME:
401XXX - 46XXXX Income from Operations*
31,500.00
32,000.00
32,526.00
3,500.00
3,500.00
6,000.00
*excluding G/Ls 433080 and 445010
433080 - Recharge Subsidy Income
445010 - External Customers
-
-
-
Other (List)
-
-
-
-
-
471010 Gain - Land/Bldg/Equip
TOTAL INCOME
35,000.00
35,500.00
38,526.00
35,500.00
38,526.00
Less: Cost of Goods Sold (this section to be completed ONLY for storeroom operations) :
521XXX
Gross profit on sales
35,000.00
LESS EXPENSES:
Com pensation
506000 Salary and Wages
506010 S&W Admin/Prof
5,500.00
5,600.00
6,500.00
3,000.00
2,800.00
6,000.00
506020 S&W Faculty
-
-
-
506080 Graduate Staff
-
-
-
506110 Clerical Staff
-
-
-
506120 Service Staff
-
-
-
508010 Overtime
5,600.00
5,600.00
9,500.00
507XXX - 512XXX Other Comp, Fee Remits, Benefits
7,500.00
7,500.00
9,354.00
Other (List)
-
Total Com pensation
21,600.00
21,500.00
31,354.00
Com m odities
522XXX Maintenance and Other Supplies
523XXX Classroom, Lab and Scientific Supplies
-
-
10,400.00
-
10,000.00
14,172.00
524XXX Printing and Office Supplies
-
-
-
Other (List)
-
-
-
-
-
528010 Laundry/Dry Cleaning
Total Com m odities
10,400.00
10,000.00
14,172.00
Contractual Service & Travel
529XXX Freight and Demurrage
-
-
-
530XXX Telecommunications and Postage
-
-
-
532XXX Rentals and Maintenance Agreements
-
-
-
533XXX Consulting & Services
-
-
-
535XXX Travel
-
-
-
-
-
Other (List)
Total Contractual Service & Travel
-
-
-
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Other Expenses
539850 Capital Recharge/Recovery
-
-
-
541050 General Admin Charges
-
-
-
542005 Prem. Chgs - Comm. In
-
-
-
542025 Claims Pd. - Self Insurance
-
-
-
543020 Credit Card Fees
-
-
-
546395 Parking Expenses
-
-
-
546XXX Other Expenses
-
-
-
546950 Reimbursement of Expense
-
-
-
568020 Plant Assets Retired
-
-
-
699999 WIP Settlement Income
-
-
Total Other Expenses
-
-
-
Equipm ent (not including capital)
536XXX Minor Equipment
534XXX Repairs to Equipment
Other (List)
-
-
-
-
-
-
-
-
Total Non-Capital Equipm ent
-
-
-
Depreciation
557160 Deprec. Expense - Equipment
-
-
568020 Plant Assets Retired
-
-
Total Depreciation
-
TOTAL OPERATING EXPENSE
INCOME (LOSS) FROM OPERATIONS
1,000.00
-
1,000.00
32,000.00
31,500.00
46,526.00
3,000.00
4,000.00
(8,000.00)
Depreciation Recovery
5-91XXX Transfers Out (Depreciation Recovery ONLY)
-
-
Total Depreciation Transfer Out
1,000.00
-
-
1,000.00
+ 491XXX Transfer In for Capital Purchases ( only )
-
-
10,000.00
+ 491XXX - 493XXX Transfers In (other than for capital purchases)
-
-
-
- 591XXX - 593XXX Transfers Out (other than for depreciation)
-
-
-
Transfers
Cash Effects (w ill be populated autom atically)
+ Add back depreciation (non cash expense)
-
-
+ Add back Plant Assets Retired (non cash expense)
-
-
- Change in Assets (pulled from above)
-
-
- Effect of plant assets retired
-
1,000.00
(10,000.00)
-
Total Capital (should net to $0.00)
-
(1,000.00)
-
(10,000.00)
NET CHANGE TO FUND BALANCE
3,000.00
4,000.00
(9,000.00)
ENDING FUND BALANCE OR PROJECTED ENDING FUND BALANCE
9,000.00
13,000.00
4,000.00
Check Figure
N/A
Discrepancy
N/A
13,000.00
-
Target Fund Balance for the Recharge ($0)*
5,000.00
5,000.00
Over / (Under) Recovery**
4,000.00
8,000.00
N/A
N/A
4,000.00
-
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SALARY AND WAGE SCHEDULE
Labor
Costs
sample
salary and wage schedule (showing labor hours per unit and rates per hour for each staff member)
A
B
C
D
E
F
G
H
Name
Position FTE this 10/11 Full Fringe Cash Pay this Fringe Benefit Total S&W + FB
Code
Activity Time
Benefit Activity
$ this Activity This Activity
Salary
Rate*
(C*D)
(E*F)
(F+G)
Staff Member A
8627S12 0.50
$19,000 55.87% 9,500
5,308
14,808
Technician
0060A12 0.25
$26,000 31.43% 6,500
2,043
8,543
Director
0006F12 0.10
$60,000 33.39% 6,000
2,003
8,003
Totals
22,000
9,354
31,354
Productive Labor Hours
Name
Staff Member A
Technician
Director
Total
Reconciliation of Hours
Service
Polyclonal Antibody--Rabbits
Additional Samples--Rabbits
Additional Injections--Rabbits
Polyclonal Antibody--Mice
Additional Samples--Mice
Euthanize Animals
Ascites Serum Production
ELISA
I
J
K
L
Hours
Vacation Sick Leave Holidays
Available
to this
Activity
1,040
520
104
40
30
9
40
30
9
# services # hrs/unit
per year of service
Staff
Member
A
28
5.50
25
0.75
25
0.50
13
5.25
10
0.75
59
0.10
1
3.50
5
10.00
N
Total
Productive
Hours
N=[I (J+K+L+M)]
349
261
72
682
O
Rate per
Productive Hour
# Tech # Director
hrs/unit hrs/unit of
of
service
service
Total Labor
Hours/Year
3.00
0.75
0.50
3.75
0.75
0.10
4.00
6.75
246
45
33
120
18
35
8
85
Labor Cost
per Unit
(rounded)
(Rates in O *
hrs)
365.00
90.00
71.00
368.00
91.00
52.00
313.00
667.00
44
22
4
M
Other Nonprod. hrs
(e.g. admin,
trng)
567
177
10
0.30
0.30
0.30
0.20
0.30
0.40
0.30
0.20
42.43
32.71
111.78
Total Labor
Cost
per Service
10,220.00
2,250.00
1,775.00
4,784.00
910.00
3,068.00
313.00
3,335.00
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Technical Assistance
CELLMAX Bioreactor
Fixed Costs
Antibody Collection
Glucose Assay
Totals
86
1
1
1
0.30
1.75
0.75
0.30
0.50
0.20
86
51.00
4,386.00
1.75
0.5
0.6
0.3
0.3
0.3
4
2
1
682
165.00
82.00
66.00
165.00
82.00
66.00
31,354
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SUPPLIES & EXPENSES SCHEDULE
EXAMPLE
Sample S & E Schedule
(showing material quantities per unit and rates for each service)
Cost per Unit
Service
Polyclonal Antibody-Rabbits
Additional Samples-Rabbits
Additional Injections-Rabbits
Polyclonal Antibody—Mice
Additional Samples—Mice
Euthanize Animals
Ascites Serum Production
ELISA
Technical Assistance
CELLMAX Bioreactor
Fixed Costs
Antibody Collection
Glucose Assay
Totals
#
services
per year
28
Cell
Total S & E
Annual S & E
Chemicals
Supplies (syringes, gloves, Cultures Cost per Unit
Cost per
etc.)
Service
16.00
85.00
21.00
122.00
3,416.00
25
20.00
85.00
21.00
126.00
3,150.00
25
21.50
90.00
18.00
129.50
3,237.50
13
10
59
1
5
86
15.00
8.50
12.00
35.00
50.00
0.00
85.00
50.00
10.00
40.00
67.50
0.00
21.00
0.00
0.00
30.00
32.00
0.00
121.00
58.50
22.00
105.00
149.50
0.00
1,573.00
585.00
1,298.00
105.00
747.50
0.00
1
1
1
0.00
7.50
16.50
0.00
7.50
9.50
0.00
0.00
19.00
0.00
15.00
45.00
0.00
15.00
45.00
14,172.00
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BREAK EVEN RATE PER UNIT
EXAMPLE
Rate Schedule
Service
Polyclonal Antibody--Rabbits
Total S&W
Cost
Total S&E
Cost
Total
Total Annual
Over
Under Total Cost to # services Rate per
Depreciatio Cost (S&W+S&E Recovery of Recovery of
be
per year Unit (Breakn Cost
+Depr) for
Fund
Fund
Recovered
Even)
Service
Balance
Balance
by Dept
10,220.00
3,416.00
632.80
14,268.80
2,453.47
-
11,815.33
28
421.98
Additional Sample--Rabbits
2,250.00
3,150.00
-
5,400.00
928.51
-
4,471.49
25
178.86
Additional Injections--Rabbits
1,775.00
3,237.50
-
5,012.50
861.88
-
4,150.62
25
166.02
Polyclonal Antibody--Mice
4,784.00
1,573.00
367.25
6,724.25
1,156.21
-
5,568.04
13
428.31
910.00
585.00
-
1,495.00
257.06
-
1,237.94
10
123.79
3,068.00
1,298.00
-
4,366.00
750.72
-
3,615.28
59
61.28
313.00
105.00
-
418.00
71.87
-
346.13
1
346.13
ELISA
3,335.00
747.50
-
4,082.50
701.97
-
3,380.53
5
676.11
Technical Assistance
4,386.00
-
-
4,386.00
754.16
-
3,631.84
86
42.23
165.00
-
-
165.00
28.37
-
136.63
1
136.63
CELLMAX Bioreactor Antibody Collection
82.00
15.00
-
97.00
16.68
-
80.32
1
80.32
CELLMAX Bioreactor Glucose Array
66.00
45.00
-
111.00
19.10
-
91.90
1
91.90
46,526.05
8,000.00
-
38,526.05
255
Additional Sample--Mice
Euthanize Animals
Ascites Serum Production
CELLMAX Bioreactor Fixed Costs
Totals
* Fund Balance is $8,000 greater than the upper limit of the tolerance zone (see definitions in Appendix A).
If the over recovery could be identified to one or more particular services, an adjustment would have been made to those rates.
However, prior year rates were all slightly higher than actual costs for all services, and the over recovery cannot be assigned to any particular
The amount of the over recovery is allocated to each unit based on the total annual cost per service.
P age |9
Subsidy Example
SUBSIDY PER UNIT
1.
Total Costs (TC)
$
Units
Subsidy per unit
120,000
1,000
$
10
Internal Rate
$110/unit
$10/unit
External Rate
Total External Rate, includes F&A (54%)
$120/unit
$184.80/unit
If 650 units are for internal customers
that are subsidized
Total subsidy =
$
$
650
10.00
6,500.00
$
120,000
LUMP SUM SUBSIDY
2.
Total Costs (TC)
Units
Subsidy
1,000
$
10,000
Must make some assessment who your customers are and
who you want to offer a subsidy
If all of your customers should be subsidized, the
calculated rate could be based on total costs less the
subsidy ($110,000).
However, remember you should not subsidize external
customers
billed to customer's
billed to subsidizing
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What if you have customers that should not be subsidized?
Breakdown of units
350
650
units to external
customers
units to subsidized
internal customers
Subsidy per unit
$
15.38
Subsidized Internal Rate
$
104.62
$120 - $15.38
184.80
$120 * 1.54
External Rate
Verification that Rates are set
correctly:
Internal Income to recharge center
Subsidy to recharge center
External Income to recharge center
F&A Income deposit to 21010000
4099008000
$
$
$
$
68,003
9,997
42,000
120,000
$
22,680
$10,000/650 units
$104.62 * 650
$15.38 * 650
$120 * 350
P a g e | 11
Depreciation Example
When we are determining whether a recharge is within tolerance, we look at the fund balance of the
operating account to make a determination. If a recharge center is not properly using their depreciation
recovery account, several issues can occur. Several of these issues are outlined below.
Depreciation Recovery Examples:
1.) Transfer of depreciation into depreciation recovery account when actual activity in the recharge
matches what was expected.
2.) Transfer of depreciation into depreciation recovery account when the activity in the recharge is
less than what was expected.
3.) Transfer of depreciation into depreciation recovery account when activity in the recharge is
greater than what was expected.
Example #1: Transfer of depreciation into depreciation recovery account when actual activity matches
what was expected.
Scenario: A department purchases a piece of equipment in a recharge center after transferring funds
from the general fund to the recharge center operating fund. Equipment has a purchase cost of
$100,000, with a 5-year useful life and no salvage value. Miscellaneous expenses in the recharge are
expected $50,000 for the salary of the equipment operator and $10,000 for a maintenance agreement.
The numbers of estimated customers is 20 users. Each service that the equipment is used for will take 2
weeks, so the rate is calculated using the number of customers.
Calculation of the rate:
Salary and Wages:
$50,000
Maintenance Agreement:
$10,000
Depreciation Expense:
$20,000
Total Expenses:
$80,000
Divided by estimated # of users:
/ 20 customers
Rate:
$4,000 per service
(Depreciation Expense is calculated by taking the cost of the equipment divided by the useful life. In this
case, depreciation expense is equal to the $100,000 piece of equipment divided by the 5 years of useful
life, which equals $20,000 of depreciation expense per year.)
In the first year, there were truly 20 customers, and expenses matched projected expenses. Therefore,
the income that we received was $80,000 and our expenses equaled $80,000. However, one of the
expenses was depreciation of $20,000, which is a non-cash expense. This causes our cash expenses to
be only $60,000, and cash expenses are the expenses that affect fund balance (since fund balance is a
measure of working capital). Our fund balance at the end of the year – if we do not transfer an amount
equal to depreciation expense into the depreciation recovery account – will be $20,000 (income of
$80,000 less cash expenses of $60,000).
Let’s determine if our fund balance of $20,000 is within tolerance.
Step 1: Is income greater than $50,000? In this case, the answer is yes – income was $80,000.
Step 2: What is our tolerable fund balance zone? Let’s calculate our possible tolerable fund balances:
 Tolerable fund balance based on 10% of income:
o $80,000 of income multiplied by 10% = $8,000
P a g e | 12

Tolerable fund balance based on two months of cash expenses:
o $60,000 total cash expenses ($80,000 total expenses less $20,000 depreciation
expense) multiplied by 2 months divided by 12 total months in a year = $10,000
 Since $10,000 > $8,000, this is our tolerable fund balance for the recharge center. Therefore
our fund balance tolerance zone is from -$5,000 to $10,000.
Step 3: Is our fund balance within tolerance? Our fund balance is $20,000, so no; it is not within fund
balance tolerance zone.
How can we correct this?
If we transfer cash equal to our depreciation expense for the year into the depreciation recovery
account, our fund balance in our operating account will be $0. This is the target balance that we are
trying to maintain in our recharge (because in a recharge income should essentially match expenses),
and therefore we are now within tolerance. The fund balance of our depreciation recovery fund will be
$20,000, and those funds that are meant to be used for future capital equipment purchases are properly
set aside and easily identifiable for that purpose.
Example #2: Transfer of depreciation into depreciation recovery account when the activity in the
recharge is less than what was expected.
Scenario: A department purchases a piece of equipment in a recharge center after transferring funds
from the general fund to the recharge center operating fund. Equipment has a purchase cost of
$100,000, with a 5-year useful life and no salvage value. Miscellaneous expenses in the recharge are
expected $50,000 for the salary of the equipment operator and $10,000 for a maintenance agreement.
The numbers of estimated customers is 20 users. Each service that the equipment is used for will take 2
weeks, so the rate is calculated using the number of customers.
Calculation of the rate:
Salary and Wages:
$50,000
Maintenance Agreement:
$10,000
Depreciation Expense:
$20,000
Total Expenses:
$80,000
Divided by estimated # of users:
/ 20 customers
Rate:
$4,000 per service
(Depreciation Expense is calculated by taking the cost of the equipment divided by the useful life. In this
case, depreciation expense is equal to the $100,000 piece of equipment divided by the 5 years of useful
life, which equals $20,000 of depreciation expense per year.)
In the first year, there were only 15 customers, but expenses still matched projected expenses.
Therefore, the income that we received was only $60,000 ($4,000 per customer * 15 customers) and our
expenses equaled $80,000. However, one of the expenses was depreciation of $20,000, which is a noncash expense. This causes our cash expenses to be only $60,000, and cash expenses are the expenses
that affect fund balance (since fund balance is a measure of working capital). Our fund balance at the
end of the year – if we do not transfer an amount equal to depreciation expense into the depreciation
recovery account – will be $0 (Income of $60,000 less cash expenses of $60,000).
Let’s determine if our fund balance of $0 is within tolerance.
Step 1: Is income greater than $50,000? In this case, the answer is yes – income was $60,000.
Step 2: What is our tolerable fund balance zone? Let’s calculate our possible tolerable fund balances:
P a g e | 13

Tolerable fund balance based on 10% of income:
o $60,000 of income multiplied by 10% = $6,000
 Tolerable fund balance based on two months of cash expenses:
o $60,000 total cash expenses ($80,000 total expenses less $20,000 depreciation
expense) multiplied by 2 months divided by 12 total months in a year = $10,000
 Since $10,000 > $6,000, this is our tolerable fund balance for the recharge center. Therefore
our fund balance tolerance zone is from -$5,000 to $10,000.
Step 3: Is our fund balance within tolerance? Our fund balance is $0, so yes; it is within fund balance
tolerance zone.
In this case, we think that because our operating account has a fund balance of $0, which is within the
fund balance tolerance zone, that we are okay. However, are we really okay? Even though fund balance
is $0, we did not recover any money for depreciation expense, and therefore we will not have those
funds to purchase equipment in the future.
What happens when we transfer cash equal to depreciation expense into the depreciation recovery?
Cash of $20,000 will be moved from the operating account into the depreciation recovery account,
causing the operating account to have a fund balance of -$20,000. This fund balance is out of tolerance
because it is less than -$5,000. Therefore, when we properly transfer cash equal to depreciation
expense into the depreciation recovery account, we get a true picture of whether or not we are actually
recovering the costs that we are trying to recover. When we see that fund balance in our operating
account is truly -$20,000 rather than $0, we realize that we need to be changing our rate so that we
can recover the costs that we need to recover.
In this case, the re-calculation of the rate to bring the fund within tolerance (with the same assumptions
in the original scenario but with an decrease in number of customers) should look as follows:
Calculation of the rate:
Salary and Wages:
Maintenance Agreement:
Depreciation Expense:
Total Expenses:
Plus deficit to be recovered:
Equals costs to be recovered:
Divided by estimated # of users:
NEW Rate:
$50,000
$10,000
$20,000
$80,000
+$20,000
$100,000
/ 15 customers
$6,667 per service
Note: The deficit in the recharge can be recovered over a period of up to three years, in order to not
raise the rates too much in any given year. In this case, we could recover only $6,667 ($20,000 deficit
divided by three) in year one, making the rate $5,777 per service.
Example #3: Transfer of depreciation into depreciation recovery account when activity in the recharge
is greater than what was expected.
P a g e | 14
Scenario: A department purchases a piece of equipment in a recharge center after transferring funds
from the general fund to the recharge center operating fund. Equipment has a purchase cost of
$100,000, with a 5-year useful life and no salvage value. Miscellaneous expenses in the recharge are
expected $50,000 for the salary of the equipment operator and $10,000 for a maintenance agreement.
The numbers of estimated customers is 20 users. Each service that the equipment is used for will take 2
weeks, so the rate is calculated using the number of customers.
Calculation of the rate:
Salary and Wages:
$50,000
Maintenance Agreement:
$10,000
Depreciation Expense:
$20,000
Total Expenses:
$80,000
Divided by estimated # of users:
/ 20 customers
Rate:
$4,000 per service
(Depreciation Expense is calculated by taking the cost of the equipment divided by the useful life. In this
case, depreciation expense is equal to the $100,000 piece of equipment divided by the 5 years of useful
life, which equals $20,000 of depreciation expense per year.)
In the first year, there were 25 customers instead of 15, but expenses still matched projected expenses.
Therefore, the income that we received was $100,000 ($4,000 per customer * 25 customers) and our
expenses equaled $80,000. However, one of the expenses was depreciation of $20,000, which is a noncash expense. This causes our cash expenses to be only $60,000, and cash expenses are the expenses
that affect fund balance (since fund balance is a measure of working capital). Our fund balance at the
end of the year – if we do not transfer an amount equal to depreciation expense into the depreciation
recovery account – will be $40,000 (Income of $100,000 less cash expenses of $60,000).
Let’s determine if our fund balance of $40,000 is within tolerance.
Step 1: Is income greater than $50,000? In this case, the answer is yes – income was $100,000.
Step 2: What is our tolerable fund balance zone? Let’s calculate our possible tolerable fund balances:
 Tolerable fund balance based on 10% of income:
o $100,000 of income multiplied by 10% = $10,000
 Tolerable fund balance based on two months of cash expenses:
o $60,000 total cash expenses ($80,000 total expenses less $20,000 depreciation
expense) multiplied by 2 months divided by 12 total months in a year = $10,000
 Both tolerable fund balances are $10,000, so this is our tolerable fund balance for the recharge
center. Therefore our fund balance tolerance zone is from -$5,000 to $10,000.
Step 3: Is our fund balance within tolerance? Our fund balance is $40,000, so no; it is not within fund
balance tolerance zone.
In this case, we realize that we need to revise our rates because our fund balance is outside of the
tolerance zone. However, we need to correctly determine how much of that $40,000 is truly a surplus.
If we do not transfer cash equal to depreciation expense into the depreciation recovery account, it looks
like we have over recovered by $40,000. Is this truly the case? No, because we recovered some money
for depreciation expense that was truly incurred but not reflected in our fund balance, since we did not
transfer cash equal to depreciation expense into our depreciation recovery account.
When we properly transfer cash equal to depreciation expense into the depreciation recovery account,
we get a true picture of how much we have actually over recovered. In this case, we have actually only
over recovered by $20,000 (rather than $40,000). In this case, the re-calculation of the rate to bring the
P a g e | 15
fund within tolerance (with the same assumptions in the original scenario but with an increase of
number of customers) should look as follows:
Calculation of the rate:
Salary and Wages:
Maintenance Agreement:
Depreciation Expense:
Total Expenses:
Less surplus over recovery:
Equals costs to be recovered:
Divided by estimated # of users:
NEW Rate:
$50,000
$10,000
$20,000
$80,000
-$20,000
$60,000
/ 25 customers
$2,400 per service
Note: The surplus in the recharge can be used to lower the rate over a period of up to three years, in
order to not lower the rates too much in any given year. In this case, we could lower the rates by only
$6,667 ($20,000 surplus divided by three) in year one, making the rate $2,933 per service.
P a g e | 16
EXAMPLE: REQUEST FOR RATE APPROVAL
To: J. S. Almond, Senior Vice President for Business Services and Assistant Treasurer
From: Susie Peters, Business Manager, Biological Sciences
Date: June 30, 2013
Subject: Request for Rate Approval -- Antibody Production Service
Department: Biological Sciences
Recharge Center Director: Jonathon Scientist
Location of Recharge Center: LILY 1104
Previous Approval Date:
July 1, 2008
Recharge Center Account Number: 2202xx00 4018003000
Rate Effective Date: July 1, 2011
Depreciation Recovery: Yes; Depreciation Recovery Account # 2202xx01 4018003000
Clients –
Internal Customers: Departmental researchers; other University researchers
(primarily Cancer Center members)
External Customers: Three former Purdue researchers now located at other
universities.
Accounting Procedures and Controls:
Internal Customers: Monthly billing by uploaded intramural invoice voucher
External Customers: Monthly billing through PSCD
Controls: Monthly review of fund balance position to assure fund balance remains
within tolerance levels.
Rates:
Rate Schedule
Current Rates
Service
Polyclonal Antibody-Rabbits
Additional Samples-Rabbits
Additional Injections-Rabbits
Polyclonal Antibody--Mice
Additional Samples--Mice
Euthanize Animals
Ascites Serum Production
ELISA
Technical Assistance
CELLMAX Bioreactor
Fixed Costs
Antibody Collection
Glucose Assay
Non-Subsidized
Internal
Customers
Rate per Unit
(Break-Even)
500.00
Subsidized Internal Customers
External
Customers
User Charge
Subsidy*
250.00
250.00
Break-Even Rate
+ IDC @ 52%
760.00
178.86
178.86
-0.00
271.87
166.02
166.02
0.00
252.36
428.31
123.79
61.28
346.13
676.11
42.23
225.00
123.79
30.00
200.00
350.00
20.00
203.31
0.00
31.28
146.13
326.11
22.23
651.03
188.17
93.14
526.11
1,027.68
64.19
136.63
80.32
91.91
75.00
50.00
45.00
61.63
30.32
46.91
207.68
122.09
139.71
P a g e | 17
Rate Schedule
Proposed Rates
Service
Polyclonal Antibody-Rabbits
Additional Samples-Rabbits
Additional Injections-Rabbits
Polyclonal Antibody--Mice
Additional Samples--Mice
Euthanize Animals
Ascites Serum Production
ELISA
Technical Assistance
CELLMAX Bioreactor
Fixed Costs
Antibody Collection
Glucose Assay
Non-Subsidized
Internal
Customers
Rate per Unit
(Break-Even)
421.97
Subsidized Internal Customers
User Charge
225.00
External
Customers
Subsidy*
Break-Even Rate
+ IDC @ 54%
196.97
641.40
178.86
178.86
-0.00
271.87
166.02
166.02
0.00
252.36
428.31
123.79
61.28
346.13
676.11
42.23
225.00
123.79
30.00
200.00
350.00
20.00
203.31
0.00
31.28
146.13
326.11
22.23
651.03
188.17
93.14
526.11
1,027.68
64.19
136.63
80.32
91.91
75.00
50.00
45.00
61.63
30.32
46.91
207.68
122.09
139.71
P a g e | 18
EXAMPLE: REQUEST FOR RATE APPROVAL (CON’T)1
Explanation: The Biological Sciences Antibody Production Service serves the research needs of the
department, other University departments and selected external researchers. Proposed recharge rates
are outlined above. Rates are based on recovery of total costs and include labor, fringe benefits, S&E
and depreciation of capital equipment. The department intends to subsidize selected internal
customers from 21010000 4018003000.
The Biological Sciences Antibody Production Service has accumulated a fund balance significantly above
the upper tolerance limit (we have over recovered $8,000 at this time). The attached rate request takes
the over recovery into account and adjusts the rates downward. Fund balance should be within
tolerance within one year of the adoption of the new rates.
We do not plan to make a practice of serving external customers. Dr. Sherman made a commitment to
continue services to those departing faculty, and this request will allow the department to fulfill that
commitment.
APPROVAL RECOMMENDED:
___________________________________
Louise Sherman, Department Head
___________________________________
Harry Morrison, Dean
___________________________________
Kim Hoebel, Assistant Comptroller
APPROVED:
___________________________________
Chris Martin, Senior Director of Business Managers
Approved Copy Distribution:
Susie Peters, Business Manager , Biological Sciences
1
This memorandum is REQUIRED for inclusion with the Rate Request
P a g e | 19
EXAMPLE: STATEMENT OF INCOME AND EXPENSE WORKSHEET2
PURDUE UNIVERSITY
Recharge Center
Statem ent of Incom e and Expense Worksheet
Prior Year
Current Year
Projected Rate Year
2009
2010
2011
EQUIPMENT BALANCES:
+ Equipment (all 155xxx G/L accounts)
20,000.00
20,000.00
30,000.00
(For projections, use current balance + any planned purchases)
- Accumulated Depreciation (all 156xxx G/L accounts)
20,000.00
Net Book Value of Equip
20,000.00
-
20,000.00
-
10,000.00
INCOME:
401XXX - 46XXXX Income from Operations*
31,500.00
32,000.00
32,526.00
3,500.00
3,500.00
6,000.00
*excluding G/Ls 433080 and 445010
433080 - Recharge Subsidy Income
445010 - External Customers
-
-
-
Other (List)
-
-
-
-
-
471010 Gain - Land/Bldg/Equip
TOTAL INCOME
35,000.00
35,500.00
38,526.00
35,500.00
38,526.00
Less: Cost of Goods Sold (this section to be completed ONLY for storeroom operations) :
521XXX
Gross profit on sales
35,000.00
LESS EXPENSES:
Com pensation
506000 Salary and Wages
506010 S&W Admin/Prof
5,500.00
5,600.00
6,500.00
3,000.00
2,800.00
6,000.00
506020 S&W Faculty
-
-
-
506080 Graduate Staff
-
-
-
506110 Clerical Staff
-
-
-
506120 Service Staff
-
-
-
508010 Overtime
5,600.00
5,600.00
9,500.00
507XXX - 512XXX Other Comp, Fee Remits, Benefits
7,500.00
7,500.00
9,354.00
Other (List)
-
Total Com pensation
21,600.00
21,500.00
31,354.00
Com m odities
522XXX Maintenance and Other Supplies
523XXX Classroom, Lab and Scientific Supplies
-
-
10,400.00
-
10,000.00
14,172.00
524XXX Printing and Office Supplies
-
-
-
Other (List)
-
-
-
-
-
528010 Laundry/Dry Cleaning
Total Com m odities
10,400.00
10,000.00
14,172.00
Contractual Service & Travel
529XXX Freight and Demurrage
-
-
-
530XXX Telecommunications and Postage
-
-
-
532XXX Rentals and Maintenance Agreements
-
-
-
533XXX Consulting & Services
-
-
-
535XXX Travel
-
-
-
-
-
Other (List)
Total Contractual Service & Travel
2
-
This schedule is REQUIRED for inclusion with the Rate Request.
-
-
P a g e | 20
Other Expenses
539850 Capital Recharge/Recovery
-
-
-
541050 General Admin Charges
-
-
-
542005 Prem. Chgs - Comm. In
-
-
-
542025 Claims Pd. - Self Insurance
-
-
-
543020 Credit Card Fees
-
-
-
546395 Parking Expenses
-
-
-
546XXX Other Expenses
-
-
-
546950 Reimbursement of Expense
-
-
-
568020 Plant Assets Retired
-
-
-
699999 WIP Settlement Income
-
-
Total Other Expenses
-
-
-
Equipm ent (not including capital)
536XXX Minor Equipment
534XXX Repairs to Equipment
Other (List)
-
-
-
-
-
-
-
-
-
Total Non-Capital Equipm ent
-
-
-
Depreciation
557160 Deprec. Expense - Equipment
-
-
568020 Plant Assets Retired
-
-
Total Depreciation
-
TOTAL OPERATING EXPENSE
INCOME (LOSS) FROM OPERATIONS
1,000.00
-
1,000.00
32,000.00
31,500.00
46,526.00
3,000.00
4,000.00
(8,000.00)
Depreciation Recovery
5-91XXX Transfers Out (Depreciation Recovery ONLY)
-
-
Total Depreciation Transfer Out
1,000.00
-
-
1,000.00
+ 491XXX Transfer In for Capital Purchases ( only )
-
-
10,000.00
+ 491XXX - 493XXX Transfers In (other than for capital purchases)
-
-
-
- 591XXX - 593XXX Transfers Out (other than for depreciation)
-
-
-
Transfers
Cash Effects (w ill be populated autom atically)
+ Add back depreciation (non cash expense)
-
-
+ Add back Plant Assets Retired (non cash expense)
-
-
- Change in Assets (pulled from above)
-
-
- Effect of plant assets retired
-
1,000.00
(10,000.00)
-
Total Capital (should net to $0.00)
-
(1,000.00)
-
(10,000.00)
NET CHANGE TO FUND BALANCE
3,000.00
4,000.00
(9,000.00)
ENDING FUND BALANCE OR PROJECTED ENDING FUND BALANCE
9,000.00
13,000.00
4,000.00
Check Figure
N/A
Discrepancy
N/A
13,000.00
-
Target Fund Balance for the Recharge ($0)*
5,000.00
5,000.00
Over / (Under) Recovery**
4,000.00
8,000.00
N/A
N/A
4,000.00
-
P a g e | 21
SALARY AND WAGE SCHEDULE3
sample salary and wage schedule (showing labor hours per unit and rates per hour for each staff member)
Labor Costs
A
B
C
D
E
F
G
H
Name
Position FTE this 10/11 Full Fringe Cash Pay this Fringe Benefit Total S&W + FB
Code
Activity Time
Benefit Activity
$ this Activity This Activity
Salary
Rate*
(C*D)
(E*F)
(F+G)
Staff Member A
8627S12 0.50
$19,000 55.87% 9,500
5,308
14,808
Technician
0060A12 0.25
$26,000 31.43% 6,500
2,043
8,543
Director
0006F12 0.10
$60,000 33.39% 6,000
2,003
8,003
Totals
22,000
9,354
31,354
Productive Labor Hours
Name
Staff Member A
Technician
Director
Total
Reconciliation of Hours
Service
Polyclonal Antibody--Rabbits
Additional Samples--Rabbits
Additional Injections--Rabbits
Polyclonal Antibody--Mice
Additional Samples--Mice
Euthanize Animals
3
I
J
K
L
Hours
Vacation Sick Leave Holidays
Available
to this
Activity
1,040
520
104
40
30
9
40
30
9
# services # hrs/unit
per year of service
Staff
Member
A
28
5.50
25
0.75
25
0.50
13
5.25
10
0.75
59
0.10
N
Total
Productive
Hours
N=[I (J+K+L+M)]
349
261
72
682
O
Rate per
Productive Hour
# Tech # Director
hrs/unit hrs/unit of
of
service
service
Total Labor
Hours/Year
3.00
0.75
0.50
3.75
0.75
0.10
246
45
33
120
18
35
Labor Cost
per Unit
(rounded)
(Rates in O *
hrs)
365.00
90.00
71.00
368.00
91.00
52.00
44
22
4
M
Other Nonprod. hrs
(e.g. admin,
trng)
567
177
10
0.30
0.30
0.30
0.20
0.30
0.40
42.43
32.71
111.78
Total Labor
Cost
per Service
10,220.00
2,250.00
1,775.00
4,784.00
910.00
3,068.00
This schedule is REQUIRED for inclusion with the Rate Request. Fringe Benefit Rates in this example are derived from Attachment B of the annual
memorandum from the Comptroller and Director, SPS
P a g e | 22
Ascites Serum Production
ELISA
Technical Assistance
CELLMAX Bioreactor
Fixed Costs
Antibody Collection
Glucose Assay
Totals
1
5
86
3.50
10.00
0.30
4.00
6.75
0.50
0.30
0.20
0.20
8
85
86
313.00
667.00
51.00
313.00
3,335.00
4,386.00
1
1
1
1.75
0.75
0.30
1.75
0.5
0.6
0.3
0.3
0.3
4
2
1
682
165.00
82.00
66.00
165.00
82.00
66.00
31,354
P a g e | 23
SUPPLIES & EXPENSES SCHEDULE4
EXAMPLE
Sample S & E Schedule
(showing material quantities per unit and rates for each service)
Cost per Unit
Service
Polyclonal Antibody-Rabbits
Additional Samples-Rabbits
Additional Injections-Rabbits
Polyclonal Antibody—Mice
Additional Samples—Mice
Euthanize Animals
Ascites Serum Production
ELISA
Technical Assistance
CELLMAX Bioreactor
Fixed Costs
Antibody Collection
Glucose Assay
Totals
4
#
services
per year
28
Cell
Total S & E
Annual S & E
Chemicals
Supplies (syringes, gloves, Cultures Cost per Unit
Cost per
etc.)
Service
16.00
85.00
21.00
122.00
3,416.00
25
20.00
85.00
21.00
126.00
3,150.00
25
21.50
90.00
18.00
129.50
3,237.50
13
10
59
1
5
86
15.00
8.50
12.00
35.00
50.00
0.00
85.00
50.00
10.00
40.00
67.50
0.00
21.00
0.00
0.00
30.00
32.00
0.00
121.00
58.50
22.00
105.00
149.50
0.00
1,573.00
585.00
1,298.00
105.00
747.50
0.00
1
1
1
0.00
7.50
16.50
0.00
7.50
9.50
0.00
0.00
19.00
0.00
15.00
45.00
0.00
15.00
45.00
14,172.00
This schedule is OPTIONAL for inclusion with the Rate Request
P a g e | 24
DEPRECIATION SCHEDULE5
EXAMPLE
Sample Depreciation Schedule
(showing allocation of depreciation expense per unit of service)
Service
Polyclonal Antibody--Rabbits
Additional Samples--Rabbits
Additional Injections-Rabbits
Polyclonal Antibody—Mice
Additional Samples—Mice
Euthanize Animals
Ascites Serum Production
ELISA
Technical Assistance
CELLMAX Bioreactor
Fixed Costs
Antibody Collection
Glucose Assay
Totals
# services per
year
28
25
25
Schedule of Allocation *
# Tech hours per Technician's Total
unit of antibody
Labor Hours
service
3.00
84.00
0.00
0.00
0.00
0.00
Depreciation
Cost per Unit
Annual
Depreciation Cost
per Service
22.60
632.77
0.00
0.00
0.00
0.00
13
10
59
1
5
86
3.75
0.00
0.00
0.00
0.00
0.00
48.75
0.00
0.00
0.00
0.00
0.00
28.25
0.00
0.00
0.00
0.00
0.00
367.23
0.00
0.00
0.00
0.00
0.00
1
1
1
0.00
0.00
0.00
0.00
0.00
0.00
132.75
0.00
0.00
0.00
0.00
0.00
0.00
1,000.00
* This center has one depreciable piece of capital equipment, used only by the technician, and only for the two antibody
production services
Therefore, the annual depreciation of $1,000 is allocated to antibody services on the basis of the technician's labor hours
5
This schedule is OPTIONAL for inclusion with the Rate Request
P a g e | 25
BREAK EVEN RATE PER UNIT6
EXAMPLE
Rate Schedule
Service
Polyclonal Antibody--Rabbits
Total S&W
Cost
Total S&E
Cost
Total
Total Annual
Over
Under Total Cost to # services Rate per
Depreciatio Cost (S&W+S&E Recovery of Recovery of
be
per year Unit (Breakn Cost
+Depr) for
Fund
Fund
Recovered
Even)
Service
Balance
Balance
by Dept
10,220.00
3,416.00
632.80
14,268.80
2,453.47
-
11,815.33
28
421.98
Additional Sample--Rabbits
2,250.00
3,150.00
-
5,400.00
928.51
-
4,471.49
25
178.86
Additional Injections--Rabbits
1,775.00
3,237.50
-
5,012.50
861.88
-
4,150.62
25
166.02
Polyclonal Antibody--Mice
4,784.00
1,573.00
367.25
6,724.25
1,156.21
-
5,568.04
13
428.31
910.00
585.00
-
1,495.00
257.06
-
1,237.94
10
123.79
3,068.00
1,298.00
-
4,366.00
750.72
-
3,615.28
59
61.28
313.00
105.00
-
418.00
71.87
-
346.13
1
346.13
ELISA
3,335.00
747.50
-
4,082.50
701.97
-
3,380.53
5
676.11
Technical Assistance
4,386.00
-
-
4,386.00
754.16
-
3,631.84
86
42.23
165.00
-
-
165.00
28.37
-
136.63
1
136.63
CELLMAX Bioreactor Antibody Collection
82.00
15.00
-
97.00
16.68
-
80.32
1
80.32
CELLMAX Bioreactor Glucose Array
66.00
45.00
-
111.00
19.10
-
91.90
1
91.90
46,526.05
8,000.00
-
38,526.05
255
Additional Sample--Mice
Euthanize Animals
Ascites Serum Production
CELLMAX Bioreactor Fixed Costs
Totals
* Fund Balance is $8,000 greater than the upper limit of the tolerance zone (see definitions in Appendix A).
If the over recovery could be identified to one or more particular services, an adjustment would have been made to those rates.
However, prior year rates were all slightly higher than actual costs for all services, and the over recovery cannot be assigned to any particular
The amount of the over recovery is allocated to each unit based on the total annual cost per service.
6
This schedule is REQUIRED for inclusion with the Rate Request, although it may be in a different format.
P a g e | 26
Sample Rate per Unit Schedule (showing allocation of annual costs to build the per rate unit)
RATES TO BE CHARGED7
EXAMPLE
Sample Rate Schedule
(showing internal and external customer rates per unit)
#
services
28
per year
Non-Subsidized
Internal
Rate
per Unit
Customers
(Break-Even)
421.97
User Charge
225.00
Subsidy*
196.97
External
Customers**
Break-Even Rate
+ IDC @ 54%
649.83
25
178.86
178.86
-0.00
275.44
25
166.02
166.02
0.00
255.67
13
10
59
1
5
86
428.31
123.79
61.28
346.13
676.11
42.23
225.00
123.79
30.00
200.00
350.00
20.00
203.31
0.00
31.28
146.13
326.11
22.23
659.60
190.64
94.37
533.04
1041.21
65.03
1
1
1
136.63
80.32
91.91
75.00
50.00
45.00
61.63
30.32
46.91
210.41
123.69
141.54
Rate Schedule
Service
Polyclonal Antibody-Rabbits
Additional Samples-Rabbits
Additional Injections-Rabbits
Polyclonal Antibody--Mice
Additional Samples--Mice
Euthanize Animals
Ascites Serum Production
ELISA
Technical Assistance
CELLMAX Bioreactor
Fixed Costs
Antibody Collection
Glucose Assay
Totals
Subsidized Internal Customers*
* With each sale, subsidy amounts are billed (debited) to the subsidizing account using G/L account 523110,
and credited to the recharge center account using G/L account 433080.
** With each sale to external customers, the recovered indirect cost portion of the sale is credited to
21010000 4099008000, using G/L account 445010. This portion is not deposited to the recharge center account.
7
This schedule is OPTIONAL for inclusion with the Rate Request
P a g e | 27
DOCUMENT USED TO CAPTURE BILLING INFORMATION8
EXAMPLE
POLYCLONAL ANTIBODY PRODUCTION
Antibody Production Core Facility
Purdue University Cancer Center
David J XXXX, Director
Voice: 765.494.XXXX
FAX: 765.494.XXXX
Client Name (print):
Bldg:
__________________________
Dept:
_____________________________
__________________________ Room: _____________ Phone: _________________________
Expiration date: __________________ Account:
Cancer Center Member #:
Antigen and Concentration Proc:
__________________________________________
_________
Subsidy (%):
#:_____________
____
Cancer Center Account
Animal Arrival: ____________ Cancer Center Animal ID #
_______
Start Date:
_____________________
____________ Animal:
Per Diem Start: ____________ R97-32 euth
date: _______________
Standard Procedures:
1. Mice/per soluble antigen 2 mice, 60 days, 4 injections, 1 bleeding @ $266.00………………_______
2. Rabbits/per soluble antigen 1 rabbit, 60 days, 4 injections, 1 pre-immune bleeding
and 1 immune bleeding @ $451.00……………………………….._______
Mice (Breeding colony Purchase)
Number:
______ @ $5.24 ……..……………………….._______
Mice (number) ____ *
Days ____ = Mouse Days ____ Cost/Day $.20………….…………….._______
Bleeds (number)
_____ Dates: _________________________ @ $33.00 ea………….……_______
Addl Injections (#)
_____ Dates: _________________________ @ $15.00 ea…………….…_______
Rabbits (number)
____ *
Days ____ = Rabbit Days
____ Cost/Day
$1.68………….…………...._______
Bleeds (number)
_____ Dates: _________________________ @ $33.00 ea………….……_______
Addl Injections (#)
_____ Dates: _________________________ @ $31.00 ea…………….…_______
Other ________________________________________________________ ………………………._______
Supplies:
_____ $ .06…………………………………………………………._______
_____ $ .27…………………………………………………………._______
_____ $ .08……………………..……………….…………………._______
_____ $1.27/ml..……………………………………………………._______
_____ $ .96/ml..……………………………………………………._______
_____ $20.00/hr…………………………………………………….._______
Other
________________________________________________……………_______
Needles (number)
Test Tubes (number)
Syringes (number)
C Freund’s
Inc Freund’s
Tech Time
8
This form is OPTIONAL, but best practice would be to include with initial rate request for new centers.
P a g e | 28
TOTAL COST
_______
Cancer Center
Member Subsidy
Your TOTAL
_______
_______
I understand the service to be provided and agree to the conditions and prices described.
__________Signature_________________________
Client Signature
_____Date__________________
Date
P a g e | 29
FAQ - Recharge Center Policy and Procedures
Can Gift or Unrestricted Voluntary Support Funds be used to fund the initial purchase of equipment used in recharge
center operations? If so, how will these transactions be recorded?
As long as the gift account does not restrict the use of the funds, gift accounts and unrestricted voluntary support accounts
can be used to fund equipment for use in a recharge center. As with general fund sources, a transfer G/L account will be
used to “transfer” funds from the gift account and into the recharge center account. The equipment will then be purchased
from the recharge center account.
How are funds accumulated in the depreciation recovery account to be expended?
The depreciation recovery account is to be treated as a “holding account” for the accumulation of depreciation on
equipment purchased and recovered through recharge operations. This accumulation is not to be expended from the
depreciation recovery account itself, but is to be transferred to the final account that will expend the funds for the purpose
designated by the department head.
Can I depreciate the University portion of equipment that has been cost shared on a grant or contract?
No. Single account cost sharing is the appropriate mechanism to record any equipment costs that the University is
providing in support of a grant or contract. When we agree to share in project costs, we forego our right to recover
depreciation on that equipment.
Can I recover depreciation expense related to equipment that was donated to the University?
Yes. Per OMB Circular A-21, institutions can recover the costs of donated equipment where cost is defined as “fair market
value”. For our administration of this type of recovery, the process will be as follows:
•
Donated equipment is identified on the Gift In Kind Report
•
Capitalized amounts are associated with an acquisition account, therefore the recharge center account needs to be
included on the Gift In Kind Report
•
Depreciation will be calculated based upon the fair market value indicated on the Gift In Kind Report, in conjunction
with the appropriate useful life of the asset
•
Equipment donated by the federal government cannot be recovered
Salary and Wage Subsidies Revisited:
As far as subsidies related to salaries and wages are considered, the recharge center procedure document addresses the
concept of “fully costing” the activity. Best practice is to record all costs in the recharge center and subsidize from the
funding source using G/L accounts 433080 and 523110. However, there are some instances where a department wants to
record part of the cost of the activity in a departmental account. Within the rate request documentation, the Costing Office
would like to see the full costs of the activity. If, for business reasons, there is a need to record part of the activity’s cost in
a different account that information should be identified in the documentation. This will assist the Costing Office in
segregating these expenses for the development of the cost study.
How do we deal with situations where a good or service has been provided, and the business office wasn’t aware of the
situation until a check has been given to them to deposit?
In these situations, it is appropriate to treat the income as a reduction in expense as we have generally done in the past,
with communication to the individual regarding appropriate policy and procedures related to charging for goods or
services.
One additional comment: A depreciation factor for equipment purchased after July 1, 1998 may be included in specific
centers. “Purchased after July 1, 1998”, indicates the date of the initial purchase of the equipment. Subsequent
P a g e | 30
repurchases occurring on July 1, 1998 or later of items with an initial acquisition date prior to July 1, 1998 are not eligible
for recovery.
P a g e | 31
SALARY AND WAGE SCHEDULE EXAMPLE #1
Sample Salary & Wage Schedule (showing a combined hourly labor rate)
Labor Costs
A
Name
B
Position
Code
C
D
FTE
09/10 Full
Devoted to
Time
this
Salary
Activity
8627S12
0.50
$19,000
0060A12
0.25
$26,000
0006F12
0.10
$60,000
Staff Member A
Technician
Director
Totals
Hourly Rate=H/N
Productive Labor Hours
Name
Staff Member A
Technician
Director
Reconciliation of Hours
Service
Polyclonal Antibody--Rabbits
Additional Samples--Rabbits
Additional Injections--Rabbits
Polyclonal Antibody—Mice
Additional Samples—Mice
Euthanize Animals
Ascites Serum Production
ELISA
Technical Assistance
CELLMAX Bioreactor
$31,354
682
I
J
Hours
Vacation
Available
to this
Activity
1,040
40
520
30
104
9
#
28
services/yr
25
25
13
10
59
1
5
86
E
Fringe
Benefit
Rate*
55.87%
31.43%
33.39%
=
$45.99
K
L
Sick Leave Holiday
s
40
30
9
F
Cash Pay this Activity
(C*D)
$9,500
$6,500
$6,000
$22,000
M
Other Non-prod. Hrs
(e.g. administration,
training)
44
22
4
# hours per unit
Total Hours
10.00
1.50
1.00
10.00
1.50
0.25
8.00
16.00
1.00
567
177
10
per Year
280.00
37.50
25.00
130.00
15.00
14.75
8.00
80.00
86.00
G
Fringe Benefit $
this Activity (E*F)
$5,308
$2,043
$2,003
$9,354
N
Total Productive
Hours
N=[I -(J+K+L+M)]
349
261
72
682
H
Total S&W + FB
This Activity (F+G)
$14,808
$8,543
$8,003
$31,354
P a g e | 32
Fixed Costs
Antibody Collection
Glucose Assay
1
1
1
3.75
1.00
1.00
3.75
1.00
682
SALARY AND WAGE SCHEDULE EXAMPLE #2
sample salary and wage schedule (showing labor hours per unit and rates per hour for each staff member)
Labor Costs
A
B
C
D
E
F
G
H
Name
Position FTE this 09/10 Full Fringe Cash Pay this Fringe Benefit Total S&W + FB
Code
Activity
Time
Benefit Activity (C*D) $ this Activity
This Activity
Salary
Rate*
(E*F)
(F+G)
Staff Member A
8627S12
0.50
$19,000 55.87%
9,500
5,308
14,808
Technician
0060A12
0.25
$26,000 31.43%
6,500
2,043
8,543
Director
0006F12
0.10
$60,000 33.39%
6,000
2,003
8,003
Totals
22,000
9,354
31,354
Productive Labor Hours
I
J
K
L
M
N
O
Name
Hours
Vacation Sick Leave Holidays Other NonTotal
Rate per
Available
prod. hrs
Productive Productive Hour
to this
(e.g. admin,
Hours
Activity
trng)
N=[I (J+K+L+M)]
Staff Member A
1,040
40
40
44
567
349
42.43
Technician
520
30
30
22
177
261
32.71
Director
104
9
9
4
10
72
111.78
Total
682
Reconciliation of Hours
Service
# services # hrs/unit # Tech
# Director
Total Labor
Labor Cost
Total Labor
per year of service hrs/unit hrs/unit of
Hours/Year
per Unit
Cost
Staff
of
service
(rounded)
per Service
Member service
(Rates in O *
A
hrs)
Polyclonal Antibody--Rabbits
28
5.50
3.00
0.30
246
365.00
10,220.00
Additional Samples--Rabbits
25
0.75
0.75
0.30
45
90.00
2,250.00
Additional Injections--Rabbits
25
0.50
0.50
0.30
33
71.00
1,775.00
Polyclonal Antibody—Mice
13
5.25
3.75
0.20
120
368.00
4,784.00
Additional Samples—Mice
10
0.75
0.75
0.30
18
91.00
910.00
Euthanize Animals
59
0.10
0.10
0.40
35
52.00
3,068.00
Ascites Serum Production
1
3.50
4.00
0.30
8
313.00
313.00
ELISA
5
10.00
6.75
0.20
85
667.00
3,335.00
P a g e | 33
Technical Assistance
CELLMAX Bioreactor
Fixed Costs
Antibody Collection
Glucose Assay
Totals
86
0.30
0.50
0.20
86
51.00
4,386.00
1
1
1
1.75
0.75
0.30
1.75
0.50
0.60
0.30
0.30
0.30
4
2
1
682
165.00
82.00
66.00
165.00
82.00
66.00
31,354