F & A

Facilities and Administrative Costs

(otherwise known as IDC or indirect cost)

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How to calculate F&A

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The current facilities and administrative rate agreement for federal grants and contracts has a negotiation agreement date of August 30, 2007. This agreement is effective until modified.

The current F&A rates are calculated from MTDC (modified total direct costs) and are as follows:
     48.0%     On Campus     Organized Research     effective 09/01/07 - 08/31/09
     48.5%     On Campus     Organized Research     effective 09/01/09 - 08/31/11
     26.0%     Off Campus     All Programs                  effective 09/01/07 - 08/31/11
     43.0%     On Campus     Instructional                    effective 09/01/07 - 08/31/11
     37.0%     On Campus     Other Sponsored Activities     effective 09/01/07 - 08/31/11

Modified Total Direct Costs - MTDC consists of all projected costs minus the following exclusions:

equipment over $5,000
capital expenditures
charges for patient care and tuition remission
rental or lease costs of offsite facilities
scholarships
fellowships
a portion of each subgrant and subcontract in excess of $25,000

Sample budget:

39,683	Salary
10,317	Fringe Benefits
10,000	Materials and Supplies
10,000	Equipment
1,000	Travel
4,000	Other Expense
$75,000	Total Direct Cost (TDC) (for NIH - item 7a on face page)

Definitions:

TDC = Total Direct Cost
MTD = Modified Total Direct Cost
F&A = Facilities and Administrative Costs

Sample F&A calculation:

TDC	-	Exclusions	=	MTD
75,000	-	10,000 (equipment)	=	65,000
MTDC	x	F&A rate	=	F&A (for NIH - item 3a on checklist page)
65,000	x	.48	=	31,200
TDC	+	F&A	=	Total Cost (for NIH – item 7b on face page)
75,000	+	31,200	=	106,200

Back to Office of Sponsored Programs

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September 2007