Definition/Background:
- Salaries are encumbered on grants and contracts to assist departments in planning expenditures during the life of a grant or contract.
Applies to:
- Grants and contracts (budget type 05)
Process:
- Department submits payroll transaction using Workday.
- Workday and FAS interface and the encumbrance is calculated.
Helpful hints:
- Differences between departmental records of pending salaries and salary encumbrances are usually tied to Workday transactions "in process."
- Encumbrances are updated twice per month, the night before the ETR/PTR is distributed.
- Salary encumbrance may be eliminated - department takes responsibility for deficits.