Budget Information

• PROGRAM DATES
  • Dates listed on program materials-day of arrival for students (first night accommodations are needed) and the day of departure for the students.
  • We must have the correct dates for student schedules, insurance & accuracy of housing expense.
• LEAD FACULTY INFO
  • Person in charge of budget
  • Normally is responsible for program funds (can receive advance early-30 days prior to departure, rather than standard 7 days)
• TARGET ENROLLMENT
  • Be realistic. The fixed cost total is divided by the target enrollment to determine the amount per student. If the target enrollment is high, there won’t be enough students to cover the fixed costs and the program will start out with a deficit.
  • If enrollment much lower than target-there may be discussions about whether the program should go (between coordinator, Kathleen & College).
  • If the target enrollment is way too low, too many fixed costs are allocated to each student and the program fee is higher than necessary.
• MINIMUM CREDITS
  • All students must take minimum # of credits, unless grad student or senior graduating the semester they are abroad.

• AVAILABLE FROM TUITION
  • Target enrollment x min credits x OSA rate x 62%.
  • -38% used to cover OSA overhead, including marketing expenses.
  • Must be a surplus, which is returned to the College at the end of the year (summer to spring)

• INSTRUCTION-Costs that would be covered by tuition if on-campus course
  • Faculty Salary-credit hours x 15 x $ based on rank & college
    
    • Generally AY paid to faculty, AN transferred to College
      
  • Faculty/PA - Must have name of faculty and PA-payroll, communication, emergency preparedness seminar.
    
  • Family members may not report directly to another family member. Special permission must be received to hire a family member and supervision must be established in writing.
    
  • PA is not paid until program is complete-may received combination of stipend/paid expenses.

• FIXED COSTS
  • Brochure, postage, telephone/fax - standard, fixed costs for all programs.
  • Airfare.
    
    • Must be coach.
      
    • Can be direct billed by Spartan, Passageways or STA (they can email itinerary and direct bill charge).
      
    • If paid by faculty, we can give an airfare advance with copy of itinerary and proof of payment (as long as permitted by Voucher Processing).
  • Program cell phone
    
    • New requirement in Summer 2006.
      
    • Reviewing expenses to get accurate costs.
      
  • Airport Transportation
    
    • Mileage – currently 44.5 cents/mile.
      
    • Rental car – approx. $50-60 each way.
      
    • Taxi – approx. $20 to Lansing airport.
      
    • Limo – approx. $165 each way to Detroit.
      
  • Faculty lodging
    
    • Reimbursed based on actual expense.
      
    • Try to estimate as closely as possible.
      
    • Max=State Dept Rate.
      
    • OSA can pay for lodging in advance.
      
    • If meals provided (ex. B&B), deduct meal from M&IE per diem and save students money.
      
  • M&IE Options (meals and incidentals – laundry, local transportation to meals, place of business, etc.)
    
    • State Dept Rate-causes budgeting issues when there is a large fluctuation between the budget and actual date of travel.
      
    • Agreed to by faculty-Saves money for students if State Dept rate seems more than necessary.
      
      • Lower than State Dept rate OR agree to State Dept rate at time budget finalized.
        
      • Helps keep program more affordable for students.

• STUDENT COSTS
  • Provide as much detail as possible to make student costs as accurate as possible.
  • If there are additional funds (ex. activity cost less or cancelled), those funds can be used for another educational activity but they may not be returned to the students.
    
  • HOUSING-Be as specific as possible. This helps when paying for student accommodations.
    
  • Use actual costs-reserve early to secure costs.
    
• ACTIVITIES
  
  • Must have academic focus and be relevant to the program academic theme (ex. theatre performances for theatre or English Lit, tours of various buildings for architecture).
    
  • Most students will visit tourist attractions on their own and the cost shouldn’t be included unless relevant-will increase program fee.
    
  • Details are necessary to budget accurately and make sure the activity is permitted by MSU (for liability reasons). Also, makes it easier when paying for arrangements (some things prepaid and some included in faculty advance).
    
  • Pay for as much in advance as possible-Sean
    
  • Included for all programs
    
    • Student insurance at $.87/day
      
    • Contingency-mandated by Provost and can only be used if approved by the Provost (London bombing, large exchange rate & M&IE fluxuations, etc)

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