When are grant invoices submitted and when is revenue recognized?
Cost Reimbursable awards that require a physical invoice be submitted to the sponsor are typically submitted within 1–3 days of the official month end close. Fixed Price awards are submitted in accordance with the payment schedule and/or when departments inform the billing team that deliverables have been completed. Invoicing information can be accessed and reviewed in UDATAGLANCE.
The University of Delaware utilizes an accounting system that recognizes revenue and expenses on an accrual basis, meaning that revenue and expenses are recorded according to when they are earned and incurred, not necessarily when the cash is received or paid. For cost reimbursable awards, under the accrual method revenue is recognized when expenses are incurred, regardless of when payment is received. Revenue on fixed price awards is recognized when sponsors are invoiced, regardless of when payment is received. Details of the invoices and payments on awards can be found in UDATAGLANCE under the “Billing and Collections” section.