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  • #2505

    I see that for indirect costs one can budget up to either 50% of total budgeted salary and wages, or 10% of MODIFIED total direct costs (MTDC). And I suppose the last option is to itemize the indirect costs.

    I’m wondering what the best practices are here.

    Currently, I am the only one taking a salary/wage on the project and I did add costs for fringe benefits.



    Without additional detail on your indirect budget needs, it is not straightforward to give advice in this case. The standard indirect cost rate of 50% is the most common way of requesting indirects. If that would be too much for your needs, you can always opt for a lower rate (e.g. 30%) so you free up some extra funds for other costs on the proposal. However, going for an indirect cost rate that is higher than 50% will likely trigger a rate negotiation at time of award.

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