Financial reporting

The EU imposes financial reporting templates and it is of utmost importance that proper care is taken to compile the reporting figures. There are usually also very specific rules when it comes to budget excess tolerance for EC cost categories and what to do in case of such an excess. It is therefore of paramount importance to keep track continuously of the actual expenditure per EC cost category compared to the related budget. A timely implementation of the financial reporting process could detect early the need of contractual amendments in order to amend budget categories.

Financial reporting has no secrets to us. It is our daily work. Most accounting systems will not always allow a continuous reporting in the EU financial format, nor will it allow comparison against budget for EC cost categories/budget headings and sub-headings. With a view of grant utilisation or absorption this is an essential element.

Did you know that...

the EU allows for most types of funds an internal re-allocation of budgets for cost categories within the total budget or a time extension but this has to be formally requested and approved in a contractual amendment to the grant agreement in order to take effect.