Financial Services - Restricted Funds GM-700. Researcher s Guide to Financial management

Transcription

1 Financial Services - Restricted Funds GM-700 Researcher s Guide t Financial management

2 PREAMBLE All research activity will be cnducted in accrdance with all relevant cllective agreements with the University and University plicies including (but nt limited t) the fllwing: CFO - OFFICE OF THE CHIEF FINANCIAL OFFICER POLICIES Such as: VPF-3 Plicy fr Travel and Other Allwable Expenses VPF-3.pdf CFO-4 Plicy n Capital Asset Management CFO-4.pdf CFO-6 Plicy n the Treatment f Deficits in Research Accunts CFO-6.pdf PURCHASING SERVICES CFO-20 Purchasing Plicy CFO-20.pdf CFO-21 Plicy fr the Acquisitin f Prfessinal Cnsulting Services CFO-21.pdf PURPOSE Restricted Funds ( RF ) has cmpiled this dcument t assist researchers and their assistants with their mst cmmn questins and cncerns relating t financial matters. It may serve as a guide fr Human Resurces & Payrll, Purchasing Services, and Accunts Payable within Cncrdia University s administrative envirnment. SCOPE 1. DEFINITION OF PRINCIPAL INVESTIGATOR: The principal investigatr ( PI ) is defined in the financial infrmatin system as the prject leader. He r she is respnsible fr the management f the research prject, bth financially and peratinally, and ensuring cmpliance with all applicable internal and external plicies and guidelines. As the internal apprval prcesses varies acrss faculties, it is recmmended that the PI cntact their Assciate Dean, Research fr faculty-specific prcedures. It is imprtant t nte that in accrdance with

3 the Research Fund Hlder Agreement the PI is slely respnsible fr a deficit in his r her research accunt and such deficit shall be treated per the University s Plicy n the Treatment f Deficits in Research Accunts. PIs are als respnsible fr cmpliance including the apprval f the financial statement within the time frame f the cntract/grant. 2. FUND CODES: A research prject is assigned a 6-character alpha-numeric FUND cde which is required fr accunting and administrative prcesses. The first letter r letters f this cde generally crrespnd t a fund type. Belw yu will find a few examples f different FUND cdes. Examples f majr FUNDS cdes CIHR-Canadian Institutes f Health Research FQRNT, FQRSC, FRSQ NSERC SSHRC Industry Accunts Mxxxxx (Frmerly MRC) Fxxxxx (Frmerly FCAR) Nxxxxx Sxxxxx Xxxxxx 3. REVENUES Installment will be prcess by Restricted Funds ( RF ) base n the cntract r granting agencies criteria after receiving the Ntice f Award frm Office f Research (ethics apprval, milestnes,...). Fr any infrmatin n freign revenue cntract please cntact RF. 4. EXPENSES: T ensure the timely prcessing f expenses, all transactins against a research FUND must include the apprpriate EXPENSE ACCOUNT cde. A listing f cmmnly used EXPENSE ACCOUNT cdes can be fund n CSPACE under Services/financial sectin. It shuld be nted that nly expenses incurred during the term f the grant/cntract will be prcessed. a. SALARIES & BURSARIES SALARIES

4 It is the PI's respnsibility t ensure that all relevant Payrll frms are prperly cmpleted, signed and sent t Human Resurces ( HR ) by the pertinent prcessing deadlines. Payrll frms may be fund n Cspace under Services/Human Resurces/ Frms sectin. Click n Research-related frms and yu will find Research Grant Emplyees. A schedule f prcessing deadlines may be fund n Cspace under the Human Resurces/payrll sectin. Incmplete frms may result in delays in payment. Payments t third parties fr Prfessinal/Cnsulting Services rendered are payable via a duly cmpleted cheque requisitin and an invice frm such third party. Where an invice des nt indicate the third party s GST/QST numbers, the third party s Scial Insurance Number is required n the cheque requisitin. Prfessinal/Cnsulting Services rendered by freign parties may be subject t self-assessment f tax and visa applicatin. All requisitins and invices must be frwarded t Financial Services. T knw mre abut the distinctin that the taxatin authrities make between an emplyee and an independent cntractr yu can refer t the Canadian Revenue Agency web site (RC4110(E) Rev. 14-Emplyee r Self- Emplyed?) The appintment, cmpensatin rates, rights and respnsibilities f students hired as research assistants ( Student R.A.s ) are gverned by the Cllective Agreement fr Research Assistants between the University and The Public Services Alliance/TRAC Unin ( TRAC-RA CA ). Minimum salary rates fr Student R.A.s are utlined in Appendix A f the TRAC-RA CA. It shuld be nted that a 4% vacatin pay and a 3.6% pay in lieu f statutry hlidays are included in the minimum salary rates utlined in the TRAC-RA CA. Minimum salary rates fr nn-students hired as research assistants ( Nn-student R.A.s ) must meet the minimum salary wage utlined in the Act respecting Labr Standards, t which a 4% vacatin pay must be added, and can match thse utlined in Appendix A f the TRAC-RA CA. Please nte that the Rates utlined in Appendix A f the TRAC-RA CA have already been adjusted t include pay in lieu f statutry hlidays and vacatin pay. Salaries that are charged t a Research FUND must include the applicable csts f benefits as detailed belw Bargaining Unit TRAC RA* (student RA s) CARE Research Assciates Cntract length Benefit rate** (yearly revisin) (B) Vacatin (A) (C) N/A 10.1% 4% Included in hurly rate Less than 12 mnths Hlidays (D) 3.6%*** Included in hurly rate 21.4% 4% 8 hlidays Example: Basic salary($17/hr x 100) $1, Plus (B) 10.1% $ Ttal cmmitment $1, Plus (D) 4% $ $1, Plus (B & C) 21.4% $ Ttal cmmitment $2, mnths r mre 21.4% 8.8*****% 12 hlidays Plus (D)8.8%***** $ $1, Plus (B & C) 21.4% $395.81

5 Ttal cmmitment $2, CARE Research Prfessinal & Technical supprt Less than 12 mnths 21.4% 4% 8 hlidays Plus (D) 4% $ $1, Plus (B & C) 21.4% $ Ttal cmmitment $2, mnths r mre 21.4% 8.8*****% 12 hlidays Plus (D)8.8*****% $ $1, Plus (B & C) 21.4% $ Ttal cmmitment $2, Research Supprt staff Less than 12 mnths 21.4% 4% 8 hlidays Plus (D) 4% $ $1, Plus (B & C) 21.4% $ Ttal cmmitment $2, mnths r mre 21.4% 8.8*****% 12 hlidays Plus (D)8.8% $ $1, Plus (B & C) 21.4% $ Ttal cmmitment $2, Visiting cllabratrs Usually cvered under CUFA agreement 27.6% *Salaries charged t accunt cdes beginning with 662xx and 665xx). On payrll frms select "student status" and prvide the student s I.D. number **This rate includes the cst f all legally required payments such as CSST, EI, QPP, etc. As well, the cst f the pensin plan (emplyer prtin) is included in certain instances. Please nte this charge is nt related t the actual eligibility f the emplyees t benefits, such as Health and Dental benefits. Eligibility t benefits fr each categry f emplyees is determined by virtue f the emplyment cntracts/cllective agreements Benefit rates are subject t change every year (this table include the rates). ***Please cntact Payrll at extensin 3666 fr calculatin f paid statutry hlidays. ***** 8 Hlidays: January 1 st, Gd Friday r Easter Mnday, Mnday preceding May 25 th, St-Jean-Batiste (June 24 th ), Natinal hliday (July 1st r July 2nd when the 1st falls n a Sunday), Labur day (1st Mnday in September) Thanksgiving Day (2nd Mnday in Octber), December 25 th. ***** The 8.8% is paid nly in the current year (June 1 t TR date). Any perid befre this, emplyee accumulates vacatin days that can be taken r paid at terminatin if nt taken. If emplyee takes vacatin days during emplyment, cmmitment will be less than calculatin shws. BURSARIES The payment f bursaries t graduate students is permitted under specific cnditins where the relatinship is that f a student t a prfessr, as identified belw. Hwever, the plicies f a granting agency r the terms f a Research Cntract (as defined in the University s Plicy n Cntract Research) with respect t bursaries supersede thse f the University. It is the PI s respnsibility t ensure that the payment f a bursary t a graduate student is allwed by the spnsring party(ies). Please nte that a recent change in the Fnds de Recherche du Québec ( FRQ ) administrative guidelines indicate that students must be remunerated thrugh salaries as bursaries are n lnger eligible. Prir t the payment f a bursary t a graduate student fr his r her participatin in a research prject, an assessment f the nature f the relatinship between the student and the researcher must be dne. The relatinship may be that f (i) emplyee t emplyer r (ii) student t a prfessr. (i) If the relatinship is that f emplyee t emplyer, payments made t the graduate student are cnsidered emplyment incme. Fr example, a graduate student hired by his r her prfessr t perfrm labratry, clerical r ther similar functins is cnsidered an emplyee and may nt be paid a bursary.

6 (ii) Where the graduate student participatin in the research prject was primarily undertaken t assist the student in qualifying fr a degree r ther academic recgnitin in the field in which the research is being carried n, the relatinship is that f a student t a prfessr. Fr example, this may include the graduate student s participatin in the writing f a research paper related t the research prject. In such a case, a bursary may be paid t a graduate student frm a research accunt subject t the prir apprval f the spnsr. PROCEDURE FOR THE PAYMENT OF A BURSARY TO A GRADUATE STUDENT FROM A RESEARCH ACCOUNT In rder t pay a bursary t a graduate student frm a research accunt, bth the graduate student and the PI must cmplete the Research Bursaries/Fellwships (Graduate Studies) frm. This frm must be apprved by the Chair f the Department. b. DIRECT EXPENDITURES: REIMBURSEMENT OF ALLOWABLE PERSONAL OR TRAVEL EXPENDITURES Reimbursement f eligible ut-f-pcket expenses per the University s Plicy fr Travel and Other Allwable Expenses may be claimed against a research FUND by cmpleting an Expense Reprt Reimbursement frm available at the University Bkstre. Please nte that where the Expense Reprt Reimbursement frm includes a request fr reimbursement f expenses incurred by the PI, such frm must be signed and apprved by the persn t whm the PI reprts. The apprpriate FUND and EXPENSE ACCOUNT cdes must be indicated n the Expense Reprt Reimbursement frm and riginal receipts must be attached. The Expense Reprt Reimbursement frm must be apprved by the PI r their delegate and frwarded t Accunts Payable GM NO INVOICE When invices are nt typically available, as fr registratin fees, membership fees r allwable cntributin t a partner institutin based n crrespndences and pre-existing agreements (in ther wrds transfer t a c-investigatr), a Cheque Requisitin frm must be used in these r similar cases where invices are nt available. Cheque Requisitin frms can be btained at the University Bkstre. TRAVEL RELATED EXPENDITURES 1. In "Expense Reprt Reimbursement Frm" the fllwing infrmatin must be prvided: Travel Start Date Travel End Date Destinatin Purpse f Trip Affiliatin t Research Grant: ie Principal Investigatr, C-Investigatr, Cllabratr Fr training and cnferences, the fficial cnference prgram r prspectus is required. Nte: Travel-related expenditures funded by a research accunt must be prcessed via the "Expense Reprt Reimbursement Frm" r Travel vucher frm nly.

7 Credit card slips in place f itemized receipts are nt acceptable t the agencies and expenses will nt be reimbursed. 2. Separate trip reprting: As per the granting agency guidelines, please ensure that each trip is claimed n a separate expense reimbursement frm. Als nte, if part f the travelling cst was incurred/claimed prir t the final expenses reprt (ex: plane tickets bught thrugh an University travel agency) all expenses shuld be shwing n the last reprt hwever the amunt shuld be recrded as already paid by the university. 3. Apprval: All Expense Reprt Reimbursement Frms must be reviewed and apprved by the persn t whm the claimant reprts. Fr mre infrmatin, please refer t the Federal Granting Agencies' (NSERC/SSHRC/CIHR) Financial Administratin Guide which can be fund at : c. PROCUREMENT OF GOODS AND SERVICES Please refer t the Financial Services web site under Purchasing Services sectin fr the University s plicies and prcedures with respect t purchase/payment cycles (web requisitin, crprate card, ). All gds r services charged t a research accunt, regardless f their value, must be rdered thrugh Purchasing Services. Gds r services needed are submitted, by the researcher, t Purchasing Services via the nline web requisitining tl (WebReq). CORPORATE CARD Crprate Cards are gverned by the University s Plicy fr Travel and Other Allwable Expense and are intended t facilitate allwable travel and entertainment expenses. ALLOCATING FUNDS FOR FEDERAL AND PROVINCIAL TAXES Federal and prvincial taxes must be paid n material and supplies, equipment, and cnsulting services rendered by a registered business. As f January 1, 2013, the rate fr G.S.T. is 5%, and the rate fr Q.S.T. is %. The University receives a rebate f 67% f the G.S.T., and 47% f the Q.S.T. When preparing yur research prpsal yu must budget fr the difference between the amunt f taxes payable n such material and supplies, equipment, and cnsulting services rendered by a registered crpratin and the amunt f the rebate. Calculating G.S.T. and Q.S.T. n gds r services - The difference between the G.S.T. payable and the rebate received by the University is 1.65% f the amunt f the taxable gds r services. The difference between the Q.S.T. payable and the rebate received by the University is 5.29%. T calculate the ttal taxes which will be charged t yur fund fr gds r services, multiply the cst f the gds r services by 6.94% (1.65% %). Example 1: Example 2: Cnsulting fees due t a registered business - $1, $1, x 6.94 % = $69.40 The ttal t be budgeted - $1,069.40

8 When nly $1, is available fr cnsulting fees t be paid t a registered business, including all taxes, divide $1, by t determine the amunt available befre tax. $1,000.00/1.0694= $ Cnsulting Fees Detailed calculatin: $ Cnsulting Fees plus 5% G.S.T. (31.33) less 67% G.S.T. rebate plus 9.975% Q.S.T. (43.84) less 47% Q.S.T. rebate $1, ttal cst 5-FORMS & GUIDES All frms and guides are available n the Cspace under -Sectin Services/financial Or -Sectin Human ressurces /research related frms 6. CONTACTS: Financial Services Restricted Funds Prject accunt manager Angela Lucian Ext Restricted Funds Prject accunt manager Cha Ling Pan Ext Accunts Payable - General Inf. Ext Purchasing Services - General Inf. Ext General Accunting - Accuntant - Ext Human Resurces Pensin & Benefits -Ext benefits@cncrdia.ca Payrll - General Inf. - Ext r payrll@cncrdia.ca