Budget Preparation

Preparation of a budget is an important part of the proposal preparation process. The budget should be accurate, realistic and reasonable in light of the work proposed. The requested amount should not be so small as to preclude successful completion of the stated goals nor so large that the sponsor will not seriously consider funding the proposal.

The SPA Project Officers will be reviewing your proposed budget for accuracy, reasonableness, compliance with University and sponsor guidelines, and to ensure the appropriate indirect costs and fringe rates are requested.

For guidance on preparing your budget, please refer to the Sponsored Projects Handbook - Chapter 5: Preparing a Sponsored Projects Budget.

Research expenses can be divided into direct costs and indirect or facilities and administrative (F&A) costs. Direct costs can be specifically identified with a particular project, program or activity or directly assigned thereto relatively easily and with a high degree of accuracy. Direct costs include such specific line items as salaries and fringe benefits, materials, supplies and travel. F&A costs are other costs that are less readily allocable to specific individual projects, such as general administrative support and the operation and maintenance of facilities. F&A costs are paid as a fraction of direct costs, with the fraction negotiated by the University and the cognizant federal entity.