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Fees: Creating and Assessing Fees

Fee schedules are set up to record administrative fees that are charged to pooled funds (typically 1% of endowment balance or less).  The administrative fee may also be set up to cover the salary of the person managing endowment funds, an investment consultant, or even the cost of endowment management software.  In Fundriver, not all funds are required to participate in an administrative fee; a client can select specific funds that will be charged. Using the Assessing Fees feature in Fundriver makes it easy to record specific fees to the General Ledger.

Watch a quick demo video on the Assess Fees feature here!

1. Click on the ORGANIZE tab in Fundriver.

Click on the ORGANIZE tab in Fundriver.

2. Click on FEES.

Click on FEES.

3. In the FEE SCHEDULE tab, pick a schedule from the drop down menu.

In the FEE SCHEDULE tab, pick a schedule from the drop down menu.

3.1. If your fee schedule was not pre-loaded, you can choose to add a fee schedule by clicking the green ADD button.

3.2. Type in a name for your fee.

4. Choose how you would like to apply the fees.

Choose how you would like to apply the fees.

Fees are most commonly applied as a percent of Fund Market Value or as a proportional allocation.  How often the fee is paid should help determine how you set up the fee schedule. To track the timing of the fees assessed in relation to drawing from investments, please see the User Guide entitled "How do I use Due To/From in Fundriver?"

4.1. If using the percentage of market value, enter percent, periods for average, and evaluation frequency.

If using the percentage of market value, enter percent, periods for average, and evaluation frequency.

Using this setup, only funds with market value > 0 will be charged a fee. Note: See section on Excluding Underwater Funds.

4.2. For a proportional allocation, enter the dollar amount that will be allocated.

For a proportional allocation, enter the dollar amount that will be allocated.

Customizations of fee schedules are possible in Fundriver.  Please speak with your Client Support Specialist for more information.

5. Transaction Type, this drop down list will show the standard "Expense" Transaction Type and any additional standard transaction types or custom transaction types that a client requested be available. Note, if you'd like a transaction type that is not listed be available and/or set up, please submit a ticket to support for this type of request.

6. Enter general ledger information (not required), which will be used to map your fields if you are using the GL Export feature. Fields commonly used include Account (expense account) and Note. Any fields that are populated within the GL Information will be attached to the expense transaction when using the Assess Fees button (explained in further detail within this article).

Enter general ledger information (not required), which will be used to map your fields if you are using the GL Export feature. Fields commonly used include Account (expense account) and Note. Any fields that are populated within the GL Information will be attached to the expense transaction when using the Assess Fees button (explained in further detail within this article).

7. If you would like underwater funds excluded from the fee assessment, check the Exclude Underwater Accounts box.

If you would like underwater funds excluded from the fee assessment, check the Exclude Underwater Accounts box.

If a fund is underwater at the time of the selected post date (Historical Gift > Market Value), the fee will not be calculated for that fund. By default, the fee can bring a fund to underwater status.

8. Click on ASSIGN SCHEDULE and choose which funds will be allocated the fees.

Click on ASSIGN SCHEDULE and choose which funds will be allocated the fees.

Certain funds may be excluded due to donor intent or the wishes of an individual institution.

9. On the left, select funds to which you would like your schedule to apply. Move selected fund(s) to the right by clicking the right arrow.

On the left, select funds to which you would like your schedule to apply. Move selected fund(s) to the right by clicking the right arrow.

As with other programs, holding CONTROL while you select fields will let you select multiples funds at a time.  Holding SHIFT will allow you to select a group of funds.

You can assess multiple fees to the same fund.  If multiple fees are applied to a fund, you can see each of the fee schedules listed on the FUND PROFILE.

9.1. If you'd like to check your numbers prior to assessing fees, click on REPORT>OTHER and choose the Projected Expenses report.

If you'd like to check your numbers prior to assessing fees, click on REPORT>OTHER and choose the Projected Expenses report.

10. Click on ACTIVITY, and then ASSESS FEES.

Click on ACTIVITY, and then ASSESS FEES.

11. Assess one fee at a time by selecting from the FEE SCHEDULE drop down.

Assess one fee at a time by selecting from the FEE SCHEDULE drop down.

Clients may choose to customize fee schedules for administration fees, consulting fees, etc.  Please contact customer support to explore this option.

12. Choose fund value date.  Post date will automatically be set to current period.

Choose fund value date.  Post date will automatically be set to current period.

13. Click on Assess Fees.

Click on Assess Fees.

Repeat procedure for as many different fee schedules as you like.  You must assess each fee one at a time.  

If you need to delete fees click "Delete Fees"

Please note, when you DELETE fees, they are deleted for ONLY the fee schedule selected and ONLY for funds currently assigned to the fee schedule selected.  (this is a change implemented April 2017) 

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