• A change in paid effort requires a corresponding payroll transfer or cost share entry. Due to the deadline for processing cost transfers of 120 days, it is critical that ledgers are reviewed and the payroll transfers are made in a timely manner.
  • Example: PI Smith charged 30% of her salary to Project A for the entire effort reporting period. At the time of certification, she believes she only worked 28% of her time on the project. What should she do?
    • It is not always possible to determine time spent on any project with absolute certainty. Office of Management & Budget (OMB) Uniform Guidance 2 CFR 200 (A81): "A precise assessment of factors that contribute to costs is not always feasible, nor is it expected. Reliance, therefore, is placed on estimates in which a degree of tolerance is appropriate."
    • The current practice in the University of California is to certify effort within a +/- 5% tolerance. For example, if the effort report shows 30% effort for a project, either directly charged or cost shared, and the actual effort determined is 28%, the report can be certified because it is within the tolerance range.
  • Changes must be made in the Effort Reporting System (ERS) if the difference between the effort report’s percentage and the actual effort expended exceeds the +- 5% tolerance. If changes are made in ERS, then a corresponding UPay must be completed in the Payroll Personnel System (PPS).