1 Financial Management Training Research Finance.

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Financial Management TrainingResearch Finance

Pre-award finance administration

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Focus on Research GrantsLifecycle pre-award

Pre-award finance administration

Application and

costing

Write research proposal

Approval Submission NotificationContract / Letter of

Offer

Approved RGAS form

(research grant application summary)

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Resources required

Application and

costing

Write research proposal

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Cost versus Award ValueWhat’s the difference?

Directly Incurred Costs

Directly Allocated Costs

Indirect Costs

FECFull economic

cost Directly Incurred Costs

?

?

Award Value

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Different Types of CostsWhat falls into each category?

• Directly linked to the project. If you did not undertake the research the University would not incur these costs.

Directly incurred costs

• Not directly linked to one specific project but are related to research. These costs are calculated based on making certain assumptions about the nature of the costs.

Directly allocated costs

• Cannot be directly linked to a research project but are necessary to run the University.

Indirect costs

salary of an additional researcher, laboratory consumables, travel

costs

share of PI/CI time

contribution to all other central overheads e.g.

support functions, estates

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Approach to costing

Once you have FEC….Funder Income Template Summary Information

Use pFACT to calculate FECInput direct costs Input staff time pFACT calculates

indirect/estates costs

Costing principleFEC, applying TRAC principles

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pFACTHow does it work in practice?

• University’s web based research costing systemWhat is it?

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FEC vs Award ValueExample

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Cost versus Award ValueThe importance of Full Economic Costing

FEC Award Value

Should we continue with application?

RGAS form

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Focus on Research GrantsLifecycle pre-award

Pre-award finance administration

Application and costing

Write research proposal

Approval Submission NotificationContract / Letter of

Offer

Approved RGAS form

Accept - RAF

Decline

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Reporting of Research Application ActivitySystems used

Finance Dashboard

Academic CV

Research Grants

Database

PURE

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Finance DashboardResearch Applications

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Finance DashboardResearch Applications

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Finance DashboardResearch Awards

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Finance DashboardResearch Awards

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Focus on Research GrantsLifecycle pre-award

Pre-award finance administration

Application and costing

Write research proposal

Approval Submission NotificationContract / Letter of

Offer

Approved RGAS form

Accept – RAF

Decline

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Research Award Form

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Putting it all togetherFEC/Award Value/Budget

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Putting it all togetherFEC/Award Value/Budget

* With the exception of equipment funded at 50% of FEC

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Putting it all togetherFEC/Award Value/Budget

shortfall in funding of direct costs

£75,000

* With the exception of equipment funded at 50% of FEC

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Putting it all togetherFEC/Award Value/Budget

* With the exception of equipment funded at 50% of FEC

transfer£75,000

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Putting it all togetherFEC/Award Value/Budget

* With the exception of equipment funded at 50% of FEC

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RAF