Salary Adjustments And Cost Transfers

Case Western Reserve University and federal policies require prompt transfers of both salary and non-salary costs to sponsored project accounts. Every effort should be made to ensure that salary and non-salary costs are charged to the correct account(s) when they are incurred.

Expense statements should be reconciled on a monthly basis to confirm that activities charged to sponsored projects are reasonable, consistently treated, allocable, and allowable in accordance with applicable federal regulations, the Uniform Guidance, 2 CFR Part 200. Review the four fundamental cost principles.

Cost Transfer Policy

Researchers and research administrators should review the Office of Research and Technology Management’s Cost Transfer Policy prior to submitting costs. In the event that an adjustment is necessary, all transfers, both salary and non-salary, to sponsored projects should be made within 90 days of the end of the month in which the charges were initially posted. 

Please note:

  1. Cost transfers should be used to correct errors. 
  2. Cost transfers may not be made for the purpose of spending down a grant. 
  3. Cost transfers may not be made from one sponsored project to another for the purpose of clearing an overdraft. 

Cost transfers should be prepared by the department and submitted in PeopleSoft Financials (Cost Transfers/Journals) and/or PeopleSoft HCM (salary adjustments) as soon as the need for the transfer is identified, but under most circumstances, not later than 90 days from the month in which the original transaction date is identified on expense statements. 

An approved Late Cost Transfer (LCT) Form is required to be submitted with the cost transfer request If the need for a cost transfer is identified more than 90 days from the month in which original transaction is identified on the expense statement.

Inappropriate charges made to sponsored projects must be removed regardless of the timeframe. The department is responsible for transferring the inappropriate charge to a departmental, discretionary or unrestricted Speedtype.

In order to maintain consistency in the treatment of cost transfers, the university policy applies to all sponsored projects, regardless of the sponsor.

Specific guidance for submitting salary adjustments and non-salary journals is available on the RADAR Training website

Managing Late Transfers

At times, salary and non-salary cost transfers are not completed within 90 days from the month in which the original transaction is identified on the expense statement. When this occurs, the principal investigator (PI) and research administrator are required to submit an Late Cost Transfer request form with the salary adjustment or non-salary journal. 

The LCT form must be signed by the PI, research administrator, the PI's chair and leadership in the school or management center, as LCTs are an audit risk to the university. PASC reviews the submitted LCTs and will approve or deny them based upon justification on the form. More specific guidance for the completion of the LCT request form is available on the RADAR Training website

To assist in timing and avoidance of Late Cost Transfer (LCT) requests, please note the following dates:

Current Processing Month Months where activity can be adjusted without a LCT
January December
February December, January
March December, January, February
April January, February, March
May February, March, April


July June
August June, July
September June, July, August
October July, August, September
November August, September, October
December September, October, November