Fundamentals of Budget Development
Whenever possible, grants should cover the full direct and indirect costs of implementing the project. If an RFP specifies a matching fund (cost-sharing) amount or formula, this should be referred to SPaRC as early as possible, to determine whether and how the College can make such resources available to the project. Voluntary cost-sharing commitments (i.e., those not specifically required by a funding source or an RFP) are discouraged. All cost-sharing commitments, whether mandatory or voluntary, must be approved by the Dean of the Faculty before a proposal is submitted.
The SmartGrant Grants Management System has been pre-programmed with most of the institutional data that you need in order to build a complete and compliant budget. The following information is provided for your reference:
Equipment: Defined as any item having an item cost of $5,000 or more and a useful life of 1 year or longer.
Subawards: The portion of a grant award that is re-granted to another institution or organization for their performance of activities intrinsic to the successful completion of a project. Please see Subawards for forms that will need to be completed by your collaborators’ institutions before a proposal can be submitted.
Indirect cost rate: 38.3% on a Modified Total Direct Cost (MTDC) base. MTDC excludes the full value of any equipment, the portion of any subaward over $25,000, and (on NSF awards) Participant Support Costs.
Fringe benefits: 34.5% (as of July 1, 2017) for benefits-eligible employees. 7.65% (FICA only) for Faculty summer salaries, non-benefits-eligible employees, and student employees during the summer. 0% for student employees during the academic year.