Three Separate Events
An activity can finish while its cash advance remains unresolved. Activity completion says the stated work ended. Accounting for the advance explains what happened to the funds, with payment support, unused cash and exceptions. Settlement is the authorized disposition of that account under the actual terms and delegation. These are OpenAid's explanatory distinctions, not a universal accounting definition of retirement.
A custodian's account is evidence for review. A return receipt supports returned money, not the acceptability of every expense. A reviewer can identify supported and disputed amounts without holding authority to approve settlement. Check the actual delegation before treating a review signature as that decision.
Worked Fictional Advance
All amounts and events are invented, in USD. The activity is finished. An advance of 800 has this reported position:
| Component | USD | Evidence and limit |
|---|---|---|
| Supported payments | 520 | Supporting records supplied; final acceptance still needs the applicable review |
| Unused cash | 200 | Not yet supported by evidence of return |
| Questioned voucher | 80 | Finance has questioned it; disposition unresolved |
| Accounted-for categories | 800 | 520 + 200 + 80; arithmetic coverage only |
The amount beyond supported payments is 800 - 520 = 280: the 200 unused cash plus the 80 questioned voucher. It is not automatically a debt finding, accepted expense or loss. The unused balance needs return evidence, the voucher needs resolution, and the responsible authorized person must decide settlement. No supplied fact establishes that any of those steps has happened.
Why Completion Is Not Settlement
Saying the activity ended answers a work question, not a money question. Saying the three lines total 800 answers an arithmetic question, not whether the voucher is supported or the unused cash was returned. Labeling the advance settled would conceal both remaining issues.
Keep the original submission, evidence, review findings and authorized outcome distinguishable in the approved record location. Use references rather than copying personal or sensitive financial details into a general summary. An unknown decision is PENDING, not zero and not approval.
Who Decides
The custodian prepares the account; the independent reviewer examines its evidence. The role named in actual written delegation decides settlement, with reasons and any unresolved conditions. That role is not inferred from a title, a signature or an AI draft.
Continue with custodian preparation or independent difference review. A grant closeout concerns a broader set of duties.
Source and Scope
UNFPA's historical September 2016 project-advance policy, steps 3 and 6-9, illustrates custody, supporting records, returns and review for its direct implementation; its current currency is unverified. UNDP's undated Global Fund implementation guidance, Direct Cash Transfers, distinguishes reporting/certification from funder acceptance. CC8 sections 2.7 and 6.6 (November 27, 2024, England and Wales) and Oregon DOJ's undated recommendations support separation of financial duties. Checked November 1, 2026. These scoped examples supply no universal deadlines, thresholds or settlement permission.