The Univsersity of Arizona

Estimated Unobligated Balances

How to Calculate your Estimated Unobligated Balance

Often Sponsors request Grant Holders to report on their estimated unobligated balance; that is, the estimated amount of unspent funds at the end of the current budget year (BY). These requests often come 45-60 days prior to the end of the budget period, which requires Grant Holders to project their spending for the next two months based on their current budget and spending burn rate.

To determine your percentage of unobligated balance use the calculation below.
 

        Total estimated unspent Direct Costs + Indirect Costs at end of BY
   _________________________________________________________________________   X 100 = Unobligated %

        All Carryforward $ from Previous BY + This Year's Award total Amount
 

Unobligated balances greater than 25% often require an explanation/justification to be reviewed and approved by your Grants Management Specialist (GMS). Please contact Danielle Gartner (626-4180; dgartner@email.arizona.edu) for assistance in drafting this language to ensure no future funds are cut.