Fiscal Management | Knowledge Center

SUBJECT: Fiscal Management

This assessment outlines the financial standards schools must maintain to participate in the Federal Student Aid programs. If you identify areas requiring corrective action, we recommend that you complete an Action Plan.

Fiscal Management Worksheets:

Federal Pell Grant Monthly Reconciliation

TEACH Grant Monthly Reconciliation

FWS Monthly Reconciliation

FSEOG Monthly Reconciliation

Direct Loan Monthly Reconciliation

Activity Bar:

Fiscal Management Activity 1: Reconciliation Worksheets

Fiscal Management Activity 2: General Fiscal Requirements

Fiscal Management Activity 3: Excess Cash

Fiscal Management Activity 4: Disbursing Aid File Review Worksheet

Fiscal Management Activity 5: Financial Ratios

Fiscal Management Activity 6: Campus-Based Programs Administrative Cost Allowance

Fiscal Management Activity 7: Disbursing Funds

Additional Links:

2024-2025 FSA Handbook, Volume 2, Chapter 4 (digital version); pdf version

2024-2025 FSA Handbook, Volume 4, Chapter 1 (digital version); pdf version

2024-2025 FSA Handbook, Volume 4, Chapter 2 (digital version); pdf version

2024-2025 FSA Handbook, Volume 4, Chapter 5 (digital version); pdf version

2024-2025 FSA Handbook, Volume 4, Chapter 6 (digital version); pdf version

For reference, the table below lists the regulatory areas related to Fiscal Management. The left column shows the title of the regulatory section and summarizes the main content of some of the sections. The middle column includes a link to each regulatory section in the Electronic Code of Federal Regulations and any related guidance posted in the Knowledge Center. Where applicable, the associated assessment activity is listed in the third column.

Section Title	Links	Assessment Activity
Standards of Administrative Capability 34 CFR 668.16	34 CFR 668.16
Financial Responsibility 34 CFR 668, Subpart L, 668.171 through 668.177	34 CFR 668, Subpart L, 668.171 through 668.176
Record Retention and Examinations 34 CFR 668.24	34 CFR 668.24	Fiscal Management Activity 2: General Fiscal Requirements
Scope and institutional responsibility 34 CFR 668.161	34 CFR 668.161
Maintaining and Accounting For Funds 34 CFR 668.163 Institutional depository account Separate depository account Interest-bearing depository account Accounting and fiscal records	34 CFR 668.163
Cash Management (requesting funds) The advance payment method 34 CFR 668.162(b) Reimbursement payment method 34 CFR 668.162(c) Heightened cash monitoring payment method 34 CFR 668.162(d)	34 CFR 668.162 See also: G-6 Web Page: G6 Portal	Fiscal Management Activity 1: Reconciliation Worksheets Fiscal Management Activity 6: Campus-Based Programs Administrative Cost Allowance
Disbursing Funds 34 CFR 668.164 Disbursement Disbursements by payment period Crediting a student’s ledger account Direct payments Tier one arrangement Tier two arrangement Ownership of financial accounts opened through outreach to an institution’s students Title IV, HEA credit balances Early disbursements Late disbursements Retroactive payments Returning funds Provisions for books and supplies	34 CFR 668.164	Fiscal Management Activity 4: Disbursement Worksheet Fiscal Management Activity 7: Disbursing Funds
Notices and authorizations 34 CFR 668.165	34 CFR 668.165
Excess Cash 34 CFR 668.166	34 CFR 668.166	Fiscal Management Activity 3: Excess Cash
Consumer Information	34 CFR 668, Subpart D
Composite Scores and Financial Ratios 34 CFR 668.171(b)(1); 34 CFR 668.172	34 CFR 668.171 34 CFR 668.172	Fiscal Management Activity 5: Financial Ratios
Refund reserve standards 34 CFR 668.173	34 CFR 668.173
Meeting financial obligations and providing administrative resources 34 CFR 668.171(b)(3)	34 CFR 668.171
Past Performance, Affiliation Standards, and Ownership Interest 34 CFR 668.174	34 CFR 668.174
Alternative Standards and Requirements 34 CFR 668.175	34 CFR 668.175
Change in Ownership 34 CFR 668.176	34 CFR 668.176

Last Modified: 11/25/2024