C.
B.
A.
E.
F.
D.
OPERATING FUNDS DEFINED
A.1
A.2
A.3
A.4
BUDGET FORMULATION AND DISTRIBUTION
BUDGET MAINTENANCE
C.1
C.2
C.3
C.4
C.5
B.1
B.2
B.3
Primary Budget Centre Allocations
Research Committee Funds
Equipment Committee Funds
Distribution to Secondary Budget Centres
Distribution to Account Categories within a Budget Centre
B.3.1 Income Budgets
B.3.2 Expenditure Budgets
Monitoring Budget Results
C.1.1 Checking Ledgers
C.1.2 Checking Balances
C.1.3 Transaction Suspension due to Insufficient Funds
C.1.4 Suggested Monthly Monitoring Program
Arranging Ledger Corrections - non-salary Account Codes
Arranging Non-Salary Budget Transfers
Authorised Signatories
Budget Supplementation
SALARIES BUDGET
D.1
D.2
D.3
D.4
D.5
Normal Operating Funds
University Development Fund
University Research Fund
Other DETYA Funds
Salary Budget Allocations
Salaries Budget Recording
Salaries Budget Monitoring
Arranging Expenditure Corrections - Salaries & On-costs
Arranging Salary Budget Transfers
YEAREND BALANCES
OBTAINING BUDGET INFORMATION FROM THE FINANCE SYSTEM
F.1
F.2
Inquiry Screens
Reports
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A. OPERATING FUNDS DEFINED
A.1 Normal Operating Funds
The term “Normal Operating Funds” applies to all income and expenditure related to Credit Teaching activities of the University. Fund Code A102 is used on the Banner Finance system to identify these funds.
The major sources of Operating funding are listed under B. 3.1.
Funds may not be transferred from Operating Fund Codes to any other Fund Code except to cover valid transactions, such as where:
 expenditure was incurred in the other code but should have instead been charged to A102; or
 fees due to staff from A102 for additional work , such as Summer Term lecturing, are not paid as salary but are instead elected by the staff member to be credited to another code.
A.2 University Development Fund
This term refers to Operating Funds allocated for specific initiatives and Contingency - applicable
Banner Fund codes are in the A400-range, including Equipment Committee funds.
A.3 University Research Fund
These are Operating Budget funds allocated for research activities and administered by the Office for
Research and Consulting; applicable Banner Fund codes are in the A500-range; some are distributed via specific Account codes in the 600- range.
A.4 Other DETYA Funds
In addition to funding linked to student loads, DETYA may also provide additional funding for specific purposes. The University is required to report separately on the use of these funds, therefore the funding is allocated to specific Fund Codes within the A200- and A300- ranges; this includes National
Priority Reserve Fund grants.
2

B. BUDGET FORMULATION AND DISTRIBUTION
B.1 PRIMARY BUDGET CENTRE ALLOCATIONS
Operating Fund budgets for each Faculty and Administrative Division and the AGSPM (“Primary
Budget Centres”) are determined annually by the Budget Committee and approved by Council. Details of allocations and current Operating Budget formulation policies are contained in the "Consolidated
Budget" document for each year.
During the annual budget formulation process the income expected to be received from DETYA Grants and Onshore Overseas Students Fees for the year is totalled and the percentages of this total to be distributed to the Faculties and to the Divisions is determined.

The total amount thus calculated for Faculties is distributed between the five Faculties and the
AGSPM according to the current Faculty Formula Funding Model. The total amounts projected for other operating income to be received during the year for each Faculty are then added to this income distribution to obtain the total Faculty budgets.

The total amount calculated for Divisions is distributed between the Administrative Divisions on the basis of costed approved staff establishment (see D.
“ Salaries Budget ”) plus an amount for non-salary items. Projected amounts for other operating income expected to be received by
Divisions are included in the total projected expenditure budget for each Division.
The Budget Timetable and forms may be viewed on the Division of Financial Services web homepage under “CSU Financial Policies and Procedures”.
Development Fund
Funds are distributed to Organisation Codes, within the applicable A4-- Fund Code, according to budget approvals.
University Research Fund
Funds are distributed to applicable Organisation Codes during the year according to advices received from the Office For Research and Graduate Studies, either within the applicable A5-- Fund Code or as an internal income (YTD) in A102 to the appropriate Account Code commencing with “6”.
B.2 DISTRIBUTION TO SECONDARY BUDGET CENTRES
The income and expenditure budgets allocated to Primary Budget Centres are divided by Deans/
Executive Directors between each Secondary Budget Centre within the Faculty/Division. This budget division should reflect as closely as possible the expected income capabilities and expenditure requirements of each centre throughout the year, especially for salaries and on-costs which generally consumes the largest percentage of each budget.
The totals of budgeted income and budgeted expenditure must be equal for each Budget Centre.
When the budget distributions to secondary budget centres are advised to the Department of Finance, the Income budgets are transferred from the Primary Organisation code to the appropriate Income
Account Codes (see B.3.1) in the Secondary Organisation codes and the corresponding total expenditure budgets are transferred from Account B65 within the Primary Organisation code to
Account B65 in the Secondary Organisation codes.
B.3 DISTRIBUTION TO ACCOUNT CATEGORIES WITHIN A BUDGET CENTRE
B.3.1 Income Budgets and YTD
Income Budgets will be established against the appropriate Income (5--) or Recoveries (6--) Account
Codes according to the expected sources of income. Operating income includes the Student Fees listed below and any other income related to Credit Teaching activities, including any recovery of expenditure incurred in A102. Examples are: library fines; reimbursement of travel expenses; sale of notes, publications or surplus equipment; fees for services rendered - whether theses are received from an external source (receipted into a “5--” Account) or from within CSU (credited to a “6--” Account).
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One-twelfth of the amount budgeted for income from DETYA Grants (Acct 630) and Onshore Overseas
Students Fees (Acct 631) in each Budget Centre will be processed as a YTD credit to the applicable “6-
-”Account Code each month. Other student fee income is processed as YTD credits to applicable “6--”
Account Codes according to the following schedule. Other Operating income is receipted into the appropriate “5--” Account Codes as it is received or invoiced, or credited to the appropriate “6--”
Account Code when the authorisation is received in Finance.
Schedule for Distribution of Operating Income from Student Fees Actually Received
Student Fee Distributed By When For period To Primary or Account
Associate Students OLI June Autumn session
November Spring session
Secondary Centre
* Primary
* Primary
Code
634
634
Summer Term
Industry courses/
Client Cohort
OLI
OLI
March
June
Previous session
Autumn Session
November Spring session
Fee Paying Australian
(e.g. Graduate Certificate)
Finance July
December
Autumn enrolments
Spring enrolments
Offshore Students Finance August
December
Autumn Session
Spring session
Secondary
* Primary
* Primary
Primary
Primary
Primary
Primary
* Unless the Faculty Dean has requested OLI to distribute directly to Schools.
For policy details refer to CSU Administrative Manual sections E4 (Full Fee Paying Offshore
Courses) and E6 (Fee Post Graduate Courses).
B.3.2 Expenditure Budgets
Budget Centre managers allocate the centre’s projected expenditure budget to the appropriate expense categories according to expected requirements and advise this breakup to the Director, Department of
Finance for recording on the Banner Finance System prior to the commencement of a fiscal year.
Budgets may be allocated at the category level of Account code (e.g. 30 - Communications) or into specific Account codes (e.g. 301 - Postage; 304 - Telephone Calls). See C.1.3 “Insufficient Funds”.
The budgets are distributed on the Finance system from Account code B65.
To allow for possible non-achievement of projected levels of income, it is suggested that Managers do not initially budget for expenditure of the total income budget amount; allocations may then be revised later in the year if appropriate, according to actual income received. Any unallocated amount should remain in Account Code B65.
Within each Organisation Code, the Department of Finance moves the applicable budget from Account
B65 to the Account Codes for full- and part-time salaries and their on-costs, according to the occupancies of established positions at the time the budget was prepared (see D.1 “Salary Budget
Allocations”). Budget Managers should use these amounts when determining their budget breakup; any difference between the amounts thus recorded by Finance and the amounts advised by Managers must be explained by the Budget Centre Manager so it may be recorded appropriately on the Finance system
(e.g. budgets for Casual Salaries and associated on-costs).
Budgets for specific purposes may be further identified, by allocation to Program Codes within Account
Codes, if required.
635
636
636
633
633
632
632
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C.
C.1
BUDGET MAINTENANCE
Monitoring Budget Results
Budget Centre Managers must monitor both income and expenditure results throughout the year.
If a Budget Centre receives income during the year in excess of the amount budgeted for, income budgets may be increased accordingly as well as a corresponding increase in expenditure budget (see
C.3). Conversely, if a Manager becomes aware that an income target will not be achieved, both the income and expenditure budgets should be reduced accordingly.
Interpreting Banner Results:
Net Totals = Income totals less Expenditure totals
Budget Balance = Budget less YTD less Commitment; therefore, indicates the current result according to the amount budgeted, for each code.
 Budget “Net Total” should be zero because the Income and Expenditure budgets should be equal.
 YTD “Net Total” includes actual income and expenditure results; it indicates the current surplus (positive) or deficit (negative) situation without considering outstanding commitments.
Actual Available Balance =
YTD “Net Total” less Reservation/Encumbrance/Commitment total
(a positive result is a surplus; a negative result indicates a deficit situation)
C.1.1 Checking Ledgers
Budget Centre Managers should ensure that Finance System information is reviewed regularly - at least monthly - to ensure that no transactions have been processed on their codes in error.
See F.2 “Transaction Detail” for monitoring methods and C.2 “Arranging Ledger Corrections” for correction procedures.
C.1.2 Checking Balances
Budget Centre Managers should ensure that budget balances are checked regularly to ensure that overexpenditure does not occur and that sufficient funds are available to cover planned expenditure.
See F.1 “Budget Centre Balance” and F.3 “Budget Availability” for monitoring methods and C.3
“Arranging Non-Salary Budget Transfers” for correction procedures.
C.1.3 Transaction Suspension due to Insufficient Funds
The Banner Finance system will halt the processing of any financial transaction for which there is insufficient available balance. Therefore the purchase or payment may not proceed until the Budget
Centre Manager arranges the necessary budget adjustment. Funds are checked at the Account Code category level within a Fund and Organisation, so it is necessary for sufficient funds to exist within an expense category, rather than within a specific expense Account Code.

C.1.4 Suggested Monthly Monitoring Program
View FGIBAVL or Web “Budget Availability Enquiry” (includes Income information) on each Org
Code within the Budget Centre (see F.3) - to identify categories of overexpenditure or surplus to be corrected, according to the amount required for the remainder of the year. See C.3 for corrections procedure.
 View FGIBDSR on the Centre’s hierarchy Org if applicable, otherwise view FGIBDST on the
Centre’s only Org, or their Web or Report equivalents (see F.1) - to monitor levels of expenditure and income by Account.
 View NWISFYB on Budget Centre’s Org(s) (see F.4) - to identify: positions overspent or underspent, according to the % YTD and any negative “Available” amounts; or any charging errors
(from transaction detail). See D.4 and D.5 for corrections procedure. Adjustments to salary budget requirements will also necessitate adjustments to on-cost budget requirements. If Position Budgets are maintained at the correct levels, the “Available Balance” in the Full-time and Part-time salary
Accounts will always indicate the actual amount required for the remainder of the year.
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
View transaction detail by Account (see F.2) - to ensure no erroneous transactions appear. See C.2 for corrections procedure.
C.2 Arranging Ledger Corrections - Non-salary Account Codes
Requests for transfer of Year To Date transactions (income or expenditure) are processed as follows:
 when a transaction has been processed on an incorrect code, the reversal entry will be processed on that code and the opposite entry will be processed on the correct code, using the same Account
Code as the original entry (unless it was not appropriate and also needs to be altered);
 when a school/section is to be reimbursed for providing goods or services, the Account code used for this recoup entry will commence with "6" and correspond to the category of the Expenditure
Account code applicable to the item(s) provided.
Transfers may be arranged by submission of a completed " Funds/Transaction Transfer Request " to the Finance department.
C.3 Arranging Non-Salary Budget Transfers
Budgets may be transferred between Account codes within an Organisation, or between Organisation codes within a Primary budget centre, but only within the same Fund code. Any other transfer of funds which becomes necessary must be processed as a transfer of expenditure (Year To Date Activity) - see
C.2. Any transfer of budgets between Organisation Codes will be processed as both an Income and an Expenditure Budget transfer.
Expenditure Budgets (including Deficit B/F) may be transferred or increased/decreased by either:
 completing the details on a “Funds/Transaction Transfer Request” and forwarding it to the Finance
Department; (refer to Funds/Transaction Transfer Request form and Instructions) ; if transferring between Organisation Codes, both the Income and Expenditure Account Codes applicable should be nominated; or
 entering the required details on the Banner Finance computer system under FWABUTR (if within the same Organisation Code), or FWAINBU (if between Organisation Codes therefore both Income and Expenditure budgets must be transferred) - for detailed instructions see the Division’s Web homepage under
“Banner Finance Training”.
Income Budgets (including Surplus B/F) may be transferred or increased/decreased by either:
 completing the details on a “Funds/Transaction Transfer Request” and forwarding it to the Finance
Department; (refer to Funds/Transaction Transfer Request form and Instructions) ; if transferring between Organisation Codes, both the Income and Expenditure Account Codes applicable should be nominated; or
 entering the required details on the Banner Finance computer system under FWAINBU - for detailed instructions see the Division’s Web homepage under “Banner Finance Training”.
C.4 Authorised Signatories
All expenditure processed must have prior authorisation from the Budget Centre Manager or delegate, so managers should ensure that their delegated signatories operate within the Centre’s expenditure guidelines to avoid overexpenditure.
C.5 Budget Supplementation
Requests may be submitted for budget supplementation to assist with substantial unexpected necessary costs incurred which cannot be met by the existing budget. Requests must firstly be referred to the
Primary budget centre manager to ascertain whether funds are available within the Faculty/Division - if they are not, the application must be endorsed appropriately by this manager and forwarded to the
Secretary of the Budget Review Committee (Director, Department of Finance).
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The Budget Review Committee meets monthly to consider applications for supplementation and, on the basis of information provided, decides on the recommendations to apply to each application.
Applications are then referred to the Vice Chancellor for approval decisions.
The Committee Secretary advises the applicable Budget Centre Managers of the outcome of applications and arranges for budgets to be supplemented accordingly. Managers should not assume that applications will be successful.
Separate arrangements apply for supplementation requests to cover replacement of staff absent on Long
Service Leave or Maternity Leave - see D.1 Salary Budget Allocations.
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D.
D.1
SALARIES BUDGET
Salary Budget Allocations
Position budgets are calculated on Established positions and occupants as at the date of budget formulation (which is several months prior to the end of the preceding year), including provision for annual leave loading, any increments due, fixed allowances and regular penalties. Administrative
Divisions are funded according to these calculated amounts, including on-costs and a component for
Temporary Assistance/Overtime if applicable; Faculty budget calculations are not linked to the calculated salary budget requirements (see B.1 “Primary Budget Centre Allocations”).
All alterations to salary budget requirements during the year are normally funded from within the initial
Budget Centre allocation.
Vacant positions are funded at step 1 of the position’s classification.
Salary On-costs included in salary budget funding are:
- Payroll Tax 7% of salary
- Workers Compensation Insurance
- Basic Benefit Superannuation
1.5% of salary
3% of salary
The budget for Employer contributions to Contributory Superannuation schemes is allocated to a central fund and distributed to Operating Budget centres to match the level of expenditure throughout the year. The applicable expenditure Account codes are: 144, 145, 146, 151, 152, 153 ; the budgets are recorded against Account Codes 159 and 161 .
Long Service Leave
Funding is allocated to a central fund for payments of Long Service leave on termination and for payments in lieu of Long Service Leave.
Payments for Long Service Leave taken are charged to the employee’s position budget as normal salary, although on a separate Account Code - so no extra funding is required in the position. If the employee is to be replaced during a period of LSL absence, the Budget Centre Manager may apply to the Executive Director, Division of Human Resources for additional funding of up to 75% of the cost of replacement.
Maternity Leave
A sum is allocated each year to the Division of Human Resources for Maternity Leave, for distribution as required. Maternity Leave is paid from the staff member’s position budget, although on a separate
Account Code - so no extra funding is required in the position for this leave.
If the employee is to be replaced during the period of paid Maternity Leave, the Budget Centre
Manager may apply to the Executive Director, Division of Human Resources for additional funding.
Lump Sum Payments for Early Retirement/Redundancy
These payments are made from the employee’s position budget, but if in excess of 2 weeks pay for each year of service, may be partially supplemented from a central fund, as determined by the Executive
Director, Division of Human Resources.
D.2 Salaries Budget Recording
The initial budgets recorded on Banner Finance for salaries within Organisation codes agree with the permanent salaries portion of the total amount allocated to the Salaries and On-costs category in the budget document and also equate to the totals of the amounts recorded on these Organisation codes as individual position budgets on the Banner Salary Budget system. If managers wish to alter these allocations during the year they must request such adjustments by position. Managers must allocate the
8

appropriate amounts to casual salaries/overtime if required and also to salary on-costs for casual salaries/overtime.
Refer to the “Salary Budget Guidelines” for an overview and Salary Budget System Instructions for further detail, within the Division’s web homepage under “CSU Financial Policies and Procedures”.
D.3 Salaries Budget Monitoring
Budget Managers must remain aware of alterations to staffing during the year - e.g. reclassifications, resignations, appointments - which will alter the amount required for salaries and on-costs and must ensure that sufficient funds are available within their budget to cover any such alterations. Savings accruing from staff vacancies may be transferred elsewhere within the Centre's budget to cover Casual staff costs or other expense categories.
Refer to Salary Budget system instructions for detailed procedures on obtaining and interpreting information from the Banner Salary Budget System; shortcut information is also contained in F.4 Salary
Budget Query.
D.4 Arranging Expenditure Corrections - Salaries & On-costs
If salary transactions have been erroneously processed against a Budget Centre, the Manager should advise Human Resources of the error and request that expenditure be transferred to the correct code.
Human Resources will then arrange for any corrections necessary to be made to the Human Resources system to ensure future payments are processed on the correct code and also if possible adjust expenditure already processed, otherwise will arrange with Finance for an expenditure transfer to be processed on the Finance system.
D.5 Arranging Salary Budget Transfers
If you wish to transfer funds from/to position budgets, enter the details including position number(s) on a “Funds/Transaction Transfer Request” and forward it to the Finance Manager, Ledgers; or refer to the
Salary Budget System instructions within the Division’s web homepage under “CSU Financial
Policies and Procedures” and process a Salary Budget Adjustment Request.
9

E. YEAREND BALANCES
Each Primary Budget Centre is permitted to carry forward to the next year, funds remaining at 31
December each year - up to 2% of its current annual budget or 5% cumulative. Requests to carry forward funds exceeding the approved limits, to meet a major objective in the future, may be included in the Centre’s budget submission for the following year or may be made during the year if an unforeseen opportunity arises.
At yearend the Department of Finance determines the funds remaining in each Secondary/Tertiary
Budget Centre and combines them to form one balance for each Primary Budget Centre, the Managers of which are advised of these balances. These Managers then advise Finance whether and how the
Primary balance is to be allocated to the Secondary Budget Centres in the new year.
Yearend balance = Net YTD result (i.e. total Income less total Expenditure).
Commitments remaining at yearend for orders placed but not yet paid are not taken into consideration.
Each Faculty/Division carry forward figure is recorded as a YTD entry against Account Code:
499 (if a deficit ); or
699 (if a surplus ) in the applicable Organisation Codes in the new year.
If a Budget Manager wishes to include carried forward funds or deficits in the current year’s budget, then a budget for the applicable amount may be established against the Account Code in which the
YTD entry is situated and also against the required expenditure or income Account Code. (See C.3)
10

F.
OBTAINING BUDGET INFORMATION FROM THE FINANCE SYSTEM
Inquiries and reports are available on the Division of Financial Services Web homepage under
“Banner Finance Budget Information”.
Detailed Help instructions are provided there for both retrieving and interpreting Finance system information.
F.1 INQUIRY SCREENS
Budget/YTD Summary Inquiry
Summary by individual Account Code within the specified Fund/Organisation/Program; includes
Account category sub-totals, Income/Expenditure totals and Net results.
Hierarchy codes may be used.
Transaction detail is viewable.
Budget Availability Inquiry
The Finance system uses this information to identify if sufficient funds are available for a transaction as it is being processed.
Summary by Account Category within the specified Fund/Organisation/Program; includes
Income/Expenditure totals and Net results.
Hierarchy codes may not be used.
Transaction detail is not viewable.
Organisation Budget Inquiry
Displays totals for Income, Salary expenditure, Non-salary expenditure and Net results for the specified
Fund/Organisation.
Hierarchy codes may be used.
Transaction detail is not viewable from this inquiry result.
Budget/YTD Summary Inquiry (see above) may be directly accessed from here - click on “Transaction
Summary”.
Position Budget YTD Inquiry
Option to view details of: all positions used on a specified F/O/A/P; or a specific position number.
F.2 REPORTS
Executive Budget Report
Hierarchy codes may be used.
Options for combined information including all codes under a hierarchy, or separate information for each code in a hierarchy.
Status Budget Report
Non-hierarchy codes only.
Detail Transaction Report
11