You use a burden cost code to define the expenditure type that you will use to burden the raw cost expenditure type when calculating total operating cost. For example, you can burden labor raw costs with overheads or material raw costs with handling charges. You can use burden cost codes for internal costing, revenue generation, billing, and burden cost recovery.

We can have two different burden cost codes attached to a single Expenditure type ex. Two different burden cost codes: Fringe - Faculty & Fringe – Staff can be associated with a single Expenditure type of Fringe Benefits.
But the reverse is not true i.e we cant have a single burden code associated with two different Expenditure types.

To define a burden cost code:

1. In the Burden Cost Codes window, enter the Burden Cost Code and a Description.

2. Optionally assign an expenditure type to the burden cost code for creating separate burden transactions.
The expenditure type you enter must have the Burden Transactions expenditure type class assigned to it. (Only expenditure types with the Burden Transactions expenditure type class assigned to them are displayed in the list of values for this field).

3. Save your work