Sample Calculation
How is F&A calculated?
An F&A rate is reflected as a percentage which is then multiplied by the direct cost base of the grant in order to determine the amount of F&A to be charged. An example of a FY21 on-campus organized research budget is below:
| Sample Budget | Total Budget |
|---|---|
| Salaries | $ 160,000 |
| Fringe Benefits | 43,600 |
| Supplies | 4,000 |
| Travel | 6,400 |
| Equipment | 6,000 |
| Total Direct Costs (TDC) | $ 220,000 |
| Exclusions (Equipment) | (6,000) |
| Modified Total Direct Costs (MTDC) | $ 214,000 |
| Total Direct Costs (TDC) | $ 220,000 |
| x F&A Rate | 56 % |
| TDC F&A Total | $ 123,200 |
| Total Cost (TDC + F&A Total) | $ 343,200 |
| Modified Total Direct Costs (MTDC) | $ 214,000 |
| x F&A Rate | 56% |
| MTDC F&A Total | $119,840 |
| Total Cost (MTDC + F&A Total) | $333,840 |
Considerations
Modified Total Direct Costs include: all salaries and wages, fringe benefits, materials, supplies, services, travel and subgrants and subcontracts up to the first $25K of each subgrant or subcontract (regardless of the period covered by the subgrant or subcontract).
The Total Direct Cost (TDC) base includes: all direct costs without exclusions
Modified Total Direct Costs exclude: equipment, capital expenditures, charges for patient care, student tuition remission, rental costs of off-site facilities, scholarships, and fellowships as well as the portion of each subgrant and subcontract in excess of $25K.