Undergraduate units of study are typically differentiated by level as introductory, intermediate or advanced. This paper considers the processes used to create such differentiations together with their implications. Results from a survey of current policy and practice in Australian universities are presented. They reveal a paucity of guidance for lecturers as they design their unit presentations and assessment expectations to reflect the level assigned to their unit. There is also a widely held view that academics intuitively know how to interpret unit levels. The authors contend that current policy and practices associated with determining levels of units are inadequate and argue that more explicit definitions and educationally defensible processes are required. (Contains 1 table.)