Revenue & Gifts

The University recognizes revenues received based upon accrual accounting, according to Generally Accepted Accounting Principles (GAAP).


Revenues are recognized when earned regardless of when payment is received. Revenues are considered earned when SHSU has substantially met its obligation and is entitled to the benefit of the revenue. Deposits and advanced payments for programs to be conducted primarily in the next fiscal year will be treated as unearned revenues and are recognized after the event or program has occurred. In the case of grants, revenue will be recognized as expenses are incurred.


A grant is an externally funded activity where there is an agreement stating terms including the specific services provided by SHSU for financial compensation. There is often rights to and products of the service that is specified in the agreement. There is an enforceable contract associated with a grant. All grants must go through the Office of Research and Sponsored Programs.

Office of Research and Sponsored Programs

A gift is a voluntary transfer of money, services, or property from a donor to SHSU for unrestricted or restricted use. There is usually no commitment of activities related to the gift other than perhaps using the gift as the donor specifies. All gifts (including non-monetary gifts) must go through University Advancement.

University Advancement

Is it Internal Revenue or a Reimbursement of Expenses?

In preparing Interdepartmental transfers, it may be challenging to determine which account code to use. If one department is providing a service to the other department, the account should be an internal revenue code. If one department is reimbursing the other department for shared costs, it would be appropriate to use the account that was used for the original purchase if it is within the same fiscal year as the original expense. General Accounting will review the accounts to determine if it is appropriate and can answer any questions.