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Grant Accounting checklist
Grant Setup
Review and understand the grant agreement or award letter
Set up grant in accounting system with appropriate tracking codes or project identifiers
Establish budget controls and reporting categories per grant requirements
Financial Management
Allocate staff time and payroll costs to the grant based on actual time spent on grant-related activities
Track and document all grant expenditures with appropriate supporting evidence
Review expenses regularly to ensure they are allowable and within the budget
Reporting and Compliance
Prepare financial reports in accordance with the grantor's reporting timeline and format
Ensure compliance with all grant conditions, including any restrictions on use of funds
Maintain records for required period after grant closure for audits and reviews
Revenue Recognition
Recognize grant revenue in accordance with accounting standards and grant terms
Reconcile grant receivables and deferred revenue accounts regularly
Monitor cash flow from grantor and follow up on any delayed payments
Audit Preparation
Compile all financial records, reports, and supporting documents for the grant
Conduct internal review of grant transactions and compliance prior to audit
Coordinate with auditors and provide requested information promptly
Closeout Procedures
Complete final grant expenditure report and submit to grantor
Reconcile all grant accounts and ensure all revenue and expenses are accurately recorded
Document lessons learned and best practices for future grant management
