Can an Employee be Paid from an Indirect Rate and Directly?

m

Cost Allocation, Financial, Indirect Costs, Uniform Guidance



Executive Director, Finance Director



2014

This FAQ addresses the question of whether employers can pay an employee from both the indirect rate and directly from the funding source. Because of the complexity of this issue, CAAs may find it useful to discuss its position with its independent auditor–and possibly fiscal staff at the government funding source(s) involved, if their fiscal monitoring is particularly thorough–to be sure that they are in agreement.

Related Resources:

Final Uniform Guidance Revisions Issued

On April 4, 2024, the federal Office of Management and Budget (OMB) announced a draft version of the federal register notice releasing the final revisions to the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (the Uniform...

Being Direct: Shared Cost Recovery through Direct Cost Allocation Webinar

In this webinar, CAPLAW and financial expert Kay Sohl review the Shared Cost Recovery through Direct Cost Allocation toolkit and discuss the issue it covers, including factors CAAs should weigh when deciding. . .

Being Direct: Shared Cost Recovery through Direct Cost Allocation

When federally funded organizations incur shared costs that benefit multiple funding awards it can be difficult to determine how much to charge each award for those costs. Allowable methods of shared cost recovery vary, and organizations weigh factors such as size,...