Child Accounts

During award setup, RAS creates any required child accounts (see below for standard scenarios) based on the sponsor agreement. RAS shares the new award setup, including the award structure, for DLCI review. DLCIs may also request additional child accounts to assist in managing their award.

At Least One Child Account Required

    • Child account for separately tracking cost sharing expenditures
    • Sponsor is listed as "Internal Cost Sharing"
    • In KC with $0 Obligated/Anticipated
    • Cost sharing plan from KC award feeds to SAP financial system for Authorized Total
    • VPF Property Office contacts RAS Data Services Team for a child account when approving a DLCI’s request for an equipment fabrication account. Follow the Equipment Fabrication Accounts Process to obtain approval. 
    • Child account for separately tracking the fabrication expenditures with no F&A applied
    • When fabrication is completed, child account is closed out regardless of the parent status
    • Child account set up for the amount allowed for the restricted use
    • Set up with different allowed overhead rate than parent
    • Child account set up with a 1-series account
    • Costing Sheet entered: "BLANK"
    • Title starts with "Lincoln Lab child"
    • For example, when an award includes a combination of research and non-research activities or a supplement subject to a different fixed rate

Multiple Child Accounts Required

    • “Dummy” parent account set up for entire grant period and anticipated total
    • Level 2 child account for each year obligation and period of performance
    • Level 3 child accounts as required for cost sharing, fabricated equipment
    • Additional level 3 child accounts as desired by department for management
    • Parent is the master consortium award
    • Separate child account for each membership agreement for billing and tracking revenue
    • Separate award structure for expenditures: 
      • Expenditure parent obligated amount = Master agreement obligated amount (total of all memberships)
      • Child account as requested by department for management and administration
    • Separate child account set up as a "billing element" for each piece that needs separate tracking, invoicing and/or reporting
    • Level 2 separate billing element child account for each task/delivery order
    • Level 3 child accounts are created at discretion of the DLCI under individual task/delivery orders

Child accounts are no longer required when the sponsor requires interest income be applied to project.

Child Accounts Recommended

    • Separate child account for all subawards on an award, or separate child account for each subaward
    •  Move the applicable MIT indirect cost onto the Indirect Cost (IDC) lines of the child account

Department-requested Child Accounts

Once RAS has created any required child accounts for an award, DLCIs can request that additional child accounts be set up to assist in their management of the award. Some scenarios departments have used when requesting child accounts:

  • Separate child account for each Co-Investigator on an award
  • Separate cost share child account for each faculty member contributing cost share salary to the project

Updated October 1, 2024