Budget 101

This page provides UNR budget basics and an overview of account types, key terms, and available training resources. If you have questions, please contact your Budget Liaison.

What is a budget?

A budget is a financial plan that compares the expected costs of activities to the income those activities are projected to generate, normally on an annual basis. Budgeting allows an organization to assess its financial health by forecasting whether its activities will produce a surplus (income exceeding costs) or a deficit (costs exceeding income) in a specific period (fiscal year).

Creating a budget enables an organization to:

  • Make informed decisions
  • Allocate resources effectively
  • Monitor financial performance on an ongoing basis.

Budget Basics

The University of Nevada, Reno’s budget is primarily funded through state appropriations, mainly including the state general fund, student tuition and registration fees. The pricing structures are governed by policies outlined in NSHE Chapter 7, which provides standardized financial guidelines across the Nevada System of Higher Education institutions. Additional revenue sources are from grants, donor contributions, and other miscellaneous funds. 

To promote transparency and support data-driven planning, UNR provides access to DataDen, a centralized portal for institutional data and analytics. DataDen offers interactive dashboards and reports on enrollment, student success, faculty, and financial metrics, with access tailored to individual user roles.

How are campus state operational funds allocated?

At the University of Nevada, Reno, we manage nine state appropriations. They are:

  • Campus Operational funds (FD121) for instruction, instructional support and general campus operational costs (except School of Medicine FD110 operations)
  • School of Medicine Operational Funds (FD110)
  • Intercollegiate Athletics funds (FD122)
  • Statewide Programs funds (FD123)
  • Agricultural Experiment Station funds (FD103 and FD135)
  • Cooperative Extension funds (FD105, FD106, and FD134)
  • University Press funds (FD113)
  • Business Center North funds (FD114)
  • State Health Lab funds (FD111)

For the Campus State Operational funds (FD121) and Statewide Programs Funds (FD123), we use an Incremental Budgeting Model for the annual budget allocation. This approach starts with the prior year’s budget as a baseline and adjusts throughout the year for academic promotions, staffing changes, approved new funding needs, fringe benefit rate changes (increases or decreases), etc.

This model provides individual units with a stable framework for planning while allowing for necessary adjustments. Once the final allocation is determined, budget authority is assigned to each unit, which gives the units the autonomy to manage and distribute their resources to departments (FD121/FD123). This ensures that units can align their budgets with institutional goals and maintain balanced operations.

For all other appropriations, since they are already assigned to a specific unit, those units manage the allocations, supporting the same consistency and accountability across the institution.

Account Types and Funding Sources

Each account (worktag) is uniquely linked to one unit, one cost center, one fund, and one function. It is a 1:1 relationship.  No worktag should have more than one of those attributes, meaning no two units, or two cost center, or two functions, just one of each. 

  • Units represent individual colleges and administrative areas.
  • Cost centers function as departments within each unit.
  • Funds indicate the source of funding.
  • Functions are categorized by the intended purpose of account activity.

Funds (FDxxx)

Funding sources are identified by their fund number, which always begins with “FD.” The primary fund types are:

FD1XX- State Funds

State Funds are provided by the State of Nevada government to support public college operations, financial aid, and programs. These appropriations include general fund allocations from the State and revenue from in-state and out-of-state student tuition and fees (FD121 and FD110), both of which are major parts of the budget.

FD2XX- Self-Supporting Funds

Self-supporting funds are financial resources designated for specific programs and activities that generate their own revenue rather than relying on state appropriations. Budgets for these accounts are approved by the NSHE Board of Regents and are used to manage operations expected to be financially independent. Funding sources for these accounts include, but are not limited to, other student fees, sales and service income, investment income, indirect cost recovery, etc.

FD4XX- Gift Funds

Donor-designated contributions held for specific purposes such as scholarships, research, operations, or capital project/improvements, etc. These funds may be available for immediate use or endowed, which only earnings can be used. They are managed in accordance with donor intent and applicable institutional policies.

FD5XX - Grant and Contract Funds

Grant and contract funds are competitively awarded by government agencies, foundations, or corporations to support research and other sponsored projects. These funds typically cover expenses such as salaries, operating costs, equipment, and other related project needs. Recipients are required to submit periodic progress reports in accordance with the grants and contracts’ reporting requirements and provide a final report to the funding agency upon project completion.

Functions (FN)

Function numbers always begin with “FN” and followed by 2-digit numbers. The type of functions we have are:

  • FN10 – Instruction
  • FN20 – Research
  • FN30 – Public Service
  • FN40 – Academic Support
  • FN50 – Student Services
  • FN60 – Institutional Support
  • FN70 – Operations and Maintenance
  • FN80 – Scholarships and Fellowships
  • FN90 – Auxiliary Enterprises

Budget Expense Categories and Definitions

Personnel Expenses

Salaries, stipends, allowances, and other payroll-related expenses.

Fringe Expenses

Non-cash benefits provided to employees, such as health insurance, retirement contributions, and tuition benefits. These costs are calculated using a fringe rate—approved by DHHS and the federal government—applied as a percentage of salary to cover the full cost of employment. View fringe rates.

Operations Expenses

Costs related to day-to-day activities, including office supplies, equipment, utilities, and other non-personnel expenses.

Travel Expenses

Expenses incurred for work-related travel, including transportation, lodging, meals, and incidentals. View UAM 1,401: Travel.

Hosting Expenses

Costs for organizing or hosting events, meetings, or conferences, including catering, venue rental, and related services. View UAM 1,067: Host expenses.

Recharge

Internal costs billed for shared services or resources provided by other departments or external partners.

Transfers

Movement of funds between non-state accounts, projects, or departments for budget adjustments or cost allocations.

Account Oversight by Fund Type

For more information, please visit the click the links above.

Want to learn more?

Please refer to our training page, FAQs and policies. If you have additional questions, feel free to reach out to pbamailbox@unr.edu.