How does the allocated process work?

The individual accounts are automatically charged allocated fringe costs at the end of the month by multiplying the salary activity that occurred during that month times the appropriate allocated rate. An offset is done to the fund’s pool account (account 0001 is used for all but 142 which uses account 9997). Each 133 and 144 account needs to have the fringe benefit indicator on the ES (extramural support) file set to ‘Y’ in order to have the automated fringe process activated. The ES file is managed by Graduate School Research and Sponsored Programs. Any differences between allocated rate and actual fringe costs are taken into consideration when building the new allocated rates each year.