{"id":26,"date":"2012-11-09T09:56:08","date_gmt":"2012-11-09T14:56:08","guid":{"rendered":"https:\/\/tuxpan.highpoint.edu\/rasp\/?page_id=26"},"modified":"2025-03-03T12:50:32","modified_gmt":"2025-03-03T17:50:32","slug":"budgeting-procedures","status":"publish","type":"page","link":"https:\/\/www.highpoint.edu\/rasp\/start\/budgeting-procedures\/","title":{"rendered":"Research Budgeting Procedures"},"content":{"rendered":"

All costs proposed on sponsored project must be allowable under Title 2, Subpart A, Chapter II, Grants and Agreements, Part 200 – Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards<\/a> (aka “Uniform Guidance”).\u00a0<\/span> Allowable costs are those costs that are reasonable, allocable, treated consistently, and that conform to specific programmatic limitations.\u00a0 In rare instances, an exception to these requirements can be made.\u00a0 These exceptions are called \u201cUnlike Circumstances\u201d.\u00a0 An example of an Unlike Circumstance exception is if a project seeks to test inebriated drivers\u2019 response times.\u00a0 Alcohol is prohibited under the Uniform Guidance (Section 200.423)\u00a0 However, alcohol would be allowed due to its direct application in the study.\u00a0 Costs and their allowance are described in detail in Subpart E, Cost Principles<\/a> (Sections 200.400-.476).\u00a0 Please contact the Office of Research Administration and Sponsored Programs if you believe that your project meets an Unlike Circumstance exception.<\/span><\/p>\n

Budget Templates and Examples are available here<\/a>.<\/h3>\n
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Salaries<\/strong><\/h3>\n

Salary for faculty and other personnel is estimated using the the calendar months or effort devoted to a project, committed effort. The committed effort is converted to a percentage of the individual\u2019s annual salary.\u00a0 For example, if a twelve-month faculty member earns $50,000 a year and will expend ten percent of his annual effort on a project, the resulting salary would be $5,000. Under no circumstances should salary be budgeted as an hourly rate. If hourly rates are requested, please contact the RASP before moving forward.<\/p>\n

When given the opportunity, it is recommended to include a salary escalation rate of two percent for all project out years.<\/p>\n

Tools for Calculating Effort<\/strong><\/p>\n

Effort Conversion Table<\/a><\/p>\n

NIH Effort Conversion Calculator<\/a><\/p>\n

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Fringe<\/strong><\/h3>\n

HPU\u2019s fringe rate for full time faculty and staff is 23%. The fringe rate for part time staff or summer salary for 9-month faculty is 10%. Students may accrue fringe in select circumstances.<\/p>\n

For example, if a faculty member budgets $5,000 in salary on a project, the resulting fringe charge would be 23% percent of $5,000 or $1,150.<\/p>\n

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Travel<\/strong><\/h3>\n

All costs budgeted and incurred must be in furtherance of the sponsored project.\u00a0 Airfare, car rental, hotel, conference fees, etc. should be based on actual costs or estimates from a reputable travel source, such as Expedia or the US General Services Administration (GSA<\/a>).\u00a0 Flights should be economy-based and Federal awards require using United States-based carriers when possible under the Fly America Act.\u00a0 If a HPU vehicle is used, please contact Transportation at 9113 for an estimate of charges.\u00a0 Use of a personal vehicle will be reimbursed at a rate of fifty-seven and a half cents per mile.<\/p>\n

Receipts are required for reimbursement of all travel charges.\u00a0 When given the opportunity, please include a two percent escalation rate for all project out years.<\/p>\n

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Participant Support Costs<\/strong><\/h3>\n

Participant support costs as defined by Uniform Guidance means direct costs for items such as stipends or subsistence allowances, travel allowances, and registration fees paid to or on behalf of participants or trainees (but not university employees) in connection with conferences or training projects. This is a specifically defined category, do not use this budget category unless the expense clearly meets the sponsor definition or is provided for in the program guidelines.<\/p>\n

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Capital Equipment<\/strong><\/h3>\n

Equipment is defined as any item that is $5,000 or greater and has more than one year of useful life.\u00a0 This includes equipment that is fabricated at HPU wherein the component costs are greater than $5,000.<\/p>\n

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Computers<\/strong><\/h3>\n

Computing devices are allowable as direct costs but do not need to be solely dedicated to a project under the Uniform Guidance, indicating that some non-project use is acceptable, although the predominant use of the computing device should be on the project. Uniform Guidance also states that \u201cIn the specific case of computing devices, charging as direct costs is allowable for devices that are essential and allocable, but not solely dedicated, to the performance of a Federal award\u201d.<\/p>\n

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Materials and Supplies<\/strong><\/h3>\n

Materials and supplies should be budgeted using quotes or costs of similar items that were recently purchased.\u00a0 If HPU is buying components to assemble into a piece of fabricated equipment with a total costs of $5,000 or more, those costs should be placed in the equipment line.<\/p>\n

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Subawards and Consultants<\/strong><\/h3>\n

Subawards and Consultants are non-HPU participants that support a HPU sponsored project.\u00a0 Both are similar in that each supports the efforts of a HPU sponsored project; however, it\u2019s how each contributes to the project that determines which category to use. Subawards must be issued through the Office of Research Administration and Sponsored Programs, while Consultant agreements are issued through HPU Purchasing.<\/p>\n

Subawards are those non-HPU project participants that:<\/p>\n