1. Budget Development and Personnel Management Michael L. Boninger, M.D.

2. Outline Budget Budget Development Development Tracking Tracking Changing Changing Personnel Personnel Hiring/Firing Hiring/Firing Utilization Utilization Meeting Meeting

3. Qualifier This lecture does not have all the answers or even that many This lecture does not have all the answers or even that many Hopefully it give you the questions you need to ask Hopefully it give you the questions you need to ask You can always call You can always call

4. Budget Two Aspects Two Aspects Grant Development Grant Development Yearly Management Yearly Management

5. Budget Development How much will they give you? How much will they give you? Basis of type of grant to write Basis of type of grant to write R01 vs. R21 vs. R03 R01 vs. R21 vs. R03 How much do you need? How much do you need? Personnel – Equipment Personnel – Equipment Supplies – Subject reimbursement – Consultant Supplies – Subject reimbursement – Consultant Travel – Other Travel – Other

6. Budget Development Directs/Indirects Directs/Indirects Rent offsite/onsite Rent offsite/onsite Subcontracts Subcontracts Equipment Equipment Exempt employees Exempt employees Grant allowables Grant allowables Training grant Training grant

7. Estimating Costs Personnel Personnel Largest portion of budget Largest portion of budget Estimate time to complete work – then double it Estimate time to complete work – then double it Remember Fringe Remember Fringe Remember subject recruitment Remember subject recruitment Clinical/Research Faculty Clinical/Research Faculty VA/NIH VA/NIH

8. Estimating Costs Personnel (continued) Personnel (continued) Who can you hire? Who can you hire? Is part-time realistic? Is part-time realistic? Student? Student? When working with mentors decided up front When working with mentors decided up front Supervision – who’s the boss Supervision – who’s the boss Payroll – who gets the indirects Payroll – who gets the indirects

9. Estimating Costs Equipment Equipment Better to have or… Better to have or… Have experience Have experience Supplies Supplies Complete realistic accounting Complete realistic accounting Don’t forget Don’t forget Toner/cage costs/markers/reagents Toner/cage costs/markers/reagents Human Subjects Human Subjects Determine after power calculations Determine after power calculations

10. Budget Development Travel – include all costs Travel – include all costs Clinical Costs Clinical Costs Other Keys Other Keys Be prepared for cuts Be prepared for cuts Use a spreadsheet Use a spreadsheet Don’t wait for final numbers (guess) Don’t wait for final numbers (guess) # of grants to cover you # of grants to cover you

11. Budget Justification Explain how you arrived at your #s Explain how you arrived at your #s No page limit – justify choices No page limit – justify choices Although not supposed to be considered, costs enter into review Although not supposed to be considered, costs enter into review Modular grants Modular grants

12. Budget Management Keys Business manager/accountant is as important to your team as statistician Business manager/accountant is as important to your team as statistician Meet regularly Meet regularly Track expenses Track expenses Document changes Document changes Share/group personnel costs and expenses Share/group personnel costs and expenses

13. Budget Management Keys Carryover Carryover VA/NIH VA/NIH Understand indirect distribution Understand indirect distribution Negotiating with the chair Negotiating with the chair

14. Top Ten Personnel Management Errors 10)Letting employee define job 9) Not documenting problems 8)Not complementing good work Redefine good 7)Giving a good review to a bad employee 6)Giving a perfect review to a good employee

15. Top Ten Personnel Management Errors 5)Not knowing if your employee is happy 4)Not knowing your employees plans 3)Not having regular meetings 2)Waiting to long to act (fire someone) 1)Thinking employees are indispensable

16. Other Personnel Choices Tradeoffs between short-term and “career” research assistants Tradeoffs between short-term and “career” research assistants Student vs. Employee Student vs. Employee Involve HR is serious action is anticipated – but… Involve HR is serious action is anticipated – but… Depersonalize Depersonalize

17. Growing Communication will not happen automatically Communication will not happen automatically More specialization More specialization Post-doctoral fellows and/or junior faculty can share scientific responsibility Post-doctoral fellows and/or junior faculty can share scientific responsibility Diversification Diversification Finally okay to lose focus (just a little) Finally okay to lose focus (just a little)

18. Final Keys Be transparent Be transparent Be fair Be fair Teach Teach Document Document Understand your value Understand your value