College of Education

Internal.Education

Outreach College Committees Units Resources Awards

Grants and ICR

Tools to Support Principal Investigators in Budget and Grant Financial Management

Purpose

To strengthen research sustainability and support effective stewardship of sponsored funds, the College of Education provides and encourages the use of standardized financial management tools that help Principal Investigators (PIs) actively monitor grant performance. These tools are intended to support informed decision‑making, early identification of risks, and alignment with University, campus, and college fiscal expectations.

Why Grant Management Tools Matter

Sound grant management practices—particularly forward‑looking projections and burn‑rate analysis—help ensure that both direct and indirect resources are used effectively and for allowable University purposes. Consistent use of these tools supports transparency, compliance, and shared accountability among PIs, academic units, and the College.

Core Financial Tools Available to PIs

The following tools are strongly encouraged for all active sponsored projects and may be required by academic units or the College for higher‑risk or complex awards:

1. Grant Expenditure Projections

Grant projections provide a forward‑looking view of expected spending through the end of the project period. These projections help PIs:

  • Anticipate whether current spending patterns will fully and appropriately utilize awarded funds
  • Plan the timing of hires, purchases, and programmatic activities
  • Identify potential underspending or overspending early enough to adjust course

Projections should be updated regularly, particularly when there are staffing changes, scope adjustments, or sponsor‑approved modifications.

2. Burn Rate Analysis

Burn rate analysis compares actual expenditures to elapsed time in the project period. This tool allows PIs and finance staff to assess whether spending is occurring at a pace that is reasonable given the remaining time on the award.

Burn rates are especially useful for:

  • Identifying projects at risk of ending with unspent balances
  • Flagging unusually rapid spending that may require review
  • Supporting conversations with unit leadership about corrective actions

3. Salary and Effort Planning Tools

Because personnel costs are often the largest component of sponsored projects, salary planning tools help PIs:

  • Verify that salary charges align with approved effort
  • Anticipate future payroll commitments
  • Avoid late‑stage budget constraints driven by staffing changes

These tools are critical for maintaining compliance with sponsor and campus requirements.

Good Practices for PIs

PIs are encouraged to:

  • Review grant financials on a regular cadence (e.g., monthly or quarterly)
  • Use projections and burn rates together, rather than in isolation
  • Discuss emerging issues with finance staff and unit leadership early
  • Document decisions that affect spending patterns or timelines

Pre-Award Guidance for Budgets with Multiple Units

Forward-thinking engagement with pre-award staff during the proposal development stage is especially important when projects involve multiple academic units. Creating a multi-unit budget template at the time of proposal submission allows roles, responsibilities, and resource commitments to be clearly defined upfront, ensuring alignment with the proposed scope of work and sponsor expectations. Early coordination supports accurate budgeting, appropriate distribution of direct and indirect costs, and transparent documentation of cross-unit participation. In contrast, attempting to restructure or split budgets after an award has been made can introduce administrative complexity, delays, and compliance risks. Developing a multi-unit budget during the proposal stage promotes smoother award setup, reduces the need for post-award adjustments, and strengthens stewardship of sponsored funds from the outset.

Post-Award Guidance for Adjusting Budgets to Accommodate Multiple Units

If, after an award is made, you determine that a portion of your grant budget needs to be allocated to or shared with another unit on campus, you should contact your designated Finance team member as early as possible. Early consultation helps ensure that the proposed budget split is handled appropriately within University and campus policies, reflects the approved scope of work, and is documented correctly in the financial system. Finance staff can advise on allowable mechanisms, timing considerations, and any approvals that may be required, helping to avoid downstream complications and supporting transparent, compliant stewardship of sponsored funds.

These practices support strong stewardship of sponsored funds and help sustain the research environment across the College of Education.

College Finance Staff are available to assist PIs in understanding reports, developing projections, and interpreting trends. Regular consultation with designated finance staff is strongly encouraged, particularly for complex or high‑value awards.