Financial Strategy

MSU has maintained a strong financial foundation supporting our long-term financial health and sustainability. Our institution's priorities center around the people who contribute to its success – our students, faculty, and staff. We are dedicated to providing quality education, conducting impactful research, and engaging in outreach efforts to ensure that Michigan State University grows stronger each day.

Budget Framework and Considerations

• The fiscal year 2023-2024 operating budget includes the General Fund, Designated Fund, Auxiliary Fund and Expendable Restricted Fund. The General Fund consists of unrestricted operating funds that are budgeted and allocated for general operations such as instructional activity, departmental research, maintenance and utilities, financial aid, and other initiatives and support activities. MSU utilizes an incremental budgeting model. The General Fund budget is based on a framework that builds on top of the budget from the prior fiscal year. It includes both recurring and nonrecurring components.
• The General Fund's revenue sources include programmatic investments, annual reallocations (Increments in salary, supplies, services, etc.), revenue-based initiatives, alterations and improvements, and indirect cost recovery.