Accounting Services

Facilities and Administrative (F&A/Indirect Cost) and Fringe Benefit Rates

According to OMB Circular A-21, F&A costs are "costs that are incurred for common or joint objectives and, therefore, cannot be identified readily and specifically with a particular sponsored project, an instructional activity, or any other institutional activity." Examples include: salaries wages and fringe benefits for clerical and administrative positions not allowable as direct costs, meeting and meal expenses that have not been specifically approved by the funding agency, memberships, subscriptions, library books, periodicals, office supplies, equipment, janitorial services, photocopying charges (for general business use), postage, repair & maintenance, sanitation services, local telephone service, utilities, etc.

All applications for sponsored research, education, and outreach (public service) projects will generally have associated F&A costs. These F&A charges are real expenses incurred in the conduct of projects and need to be recovered from the sponsor. It is expected that the standard F&A rate will be used in all applications. If the rate indicated is a nonstandard rate, justification for the rate should be submitted to Sponsored Projects for approval.

The Department of Health and Human Services (DHHS) formally approves our Facilities and Administrative Rates. The current rates and rate agreement are available below.

Facilities and Administrative (F&A/Indirect Cost) Rates

F&A Rates		THRU FY 2006	FY 2007 - FY 2010
Research	On-Campus	43%	42%
	Off-Campus	26%	26%
Other Sponsored Activity		34%	34%
Clinical Trials		25%	25%

Facilities and Administrative Cost Rate Agreement

Facilities and Administrative Cost Rate Agreement Detail Breakdown

The percentages used to allocate the cost of fringe benefits are established annually by the Vice Chancellor, Financial and Administration Services. The Department of Health and Human Services (DHHS) formally approves our federal fringe benefit rates. The negotiated fringe benefit rates and the detail are available below. These fringe benefit rates should be used for grant proposals and contracts. Applicants for grants that require cost estimates for future fiscal years should contact the Office of Sponsored Programs to obtain estimated percentages to be used for future years.

Fringe Benefit Rates

Fringe Benefit	FY 2010	FY 2011	FY 2012
Faculty & Staff	33.0%	33.0%	35.0%
House Officers	12.1%	12.1%	16.2%
Transients	8.2%	8.2%	8.1%
Graduate Assistants	0.7%	0.8%	0.6%
Student Workers	6.2%	6.6%	7.0%
Postdoctoral Fellows	15.8%	15.8%	16.5%
Faculty & Staff - Additional Compensation	N/A	1.55%	1.8%

Fringe Benefit Rate Detail

Fringe Benefit Rate Agreement

Indirect cost recovery splits are established by the Vice Chancellor, Financial and Administration Services. The current split is available below.

Indirect Cost Recovery Splits

Page last updated
on 05/25/2011