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Lindy-Ann Wright, M.A Financial Manager, MU-JHU Johns Hopkins University Nov. 3, 2010 Slide 2 Slide 3 Slide 4 Slide 5 NIH competing applications generally use two types of budget formats, Modular Budget orodular Budget Detailed Budget format.etailed Budget NIH competing applications generally use two types of budget formats, Modular Budget orodular Budget Detailed Budget format.etailed Budget Slide 6 A Modular Budget is used for applications requesting a maximum of $250,000 per year in Total Direct Costs. Budgets are simplified, and do not require submission of detailed budget information to NIH. A Detailed Budget format is required for all applications requesting more than $250,000 per project year A Modular Budget is used for applications requesting a maximum of $250,000 per year in Total Direct Costs. Budgets are simplified, and do not require submission of detailed budget information to NIH. A Detailed Budget format is required for all applications requesting more than $250,000 per project year Slide 7 Applications for more than $500,000 Direct Costs per project year must obtain prior approval from the NIH supporting institute or center. NIH recommends the approval process is initiated by calling or e-mailing one of the program officers at least six weeks prior to the submission deadline. Applications for more than $500,000 Direct Costs per project year must obtain prior approval from the NIH supporting institute or center. NIH recommends the approval process is initiated by calling or e-mailing one of the program officers at least six weeks prior to the submission deadline. Slide 8 Slide 9 Slide 10 For applications submitted manually, use the NIH PHS 398 Budget Pages Download the most current PHS 398 forms and instructions from the NIH website: http://grants.nih.gov/grants/forms.htm For applications submitted manually, use the NIH PHS 398 Budget Pages Download the most current PHS 398 forms and instructions from the NIH website: http://grants.nih.gov/grants/forms.htm Slide 11 Slide 12 Slide 13 Personnel Consultants Equipment Travel Supplies Patient Care Costs Alteration and Renovations Other Expenses Consortium/Subcontract (Direct Costs) Personnel Consultants Equipment Travel Supplies Patient Care Costs Alteration and Renovations Other Expenses Consortium/Subcontract (Direct Costs) Total Direct Costs Initial & Proposed Budget Periods Consortium /Subcontract Facilities & Administrative Costs Total Costs Initial & Proposed Budget Periods Budget Justification Total Direct Costs Initial & Proposed Budget Periods Consortium /Subcontract Facilities & Administrative Costs Total Costs Initial & Proposed Budget Periods Budget Justification Slide 14 Proposals submitted electronically must use the SF 424 (Research and Related) Budget Pages Forms can be located at the NIH site http://grants.nih.gov/grants/forms.htm Proposals submitted electronically must use the SF 424 (Research and Related) Budget Pages Forms can be located at the NIH site http://grants.nih.gov/grants/forms.htm Slide 15 Slide 16 Slide 17 Slide 18 Slide 19 Senior / Key Personnel Other Personnel Equipment Travel Participant /Trainee Support Costs Other Direct Costs Total Direct Costs Indirects ( F &A) Total Costs Fee Budget Justification (pdf versions only) Slide 20 Personnel effort on NIH proposals must be reported in person months For frequently asked questions/ answers on person months visit the NIH website: http://grants.nih.gov/grants/policy/person_months_faqs.htm Personnel effort on NIH proposals must be reported in person months For frequently asked questions/ answers on person months visit the NIH website: http://grants.nih.gov/grants/policy/person_months_faqs.htm Slide 21 Slide 22 Multiply the % of effort associated with the project by the number of months of the appointment. For example: 25% of a 9 month academic year appointment = 2.25 (AY) person months (9 x.25= 2.25) 10% of a 12 month calendar appointment = 1.2 (CY) person months (12 x.10 = 1.2) 35% of a 3 month summer term appointment equals 1.05 (SM) person months (3 x.35= 1.05) Multiply the % of effort associated with the project by the number of months of the appointment. For example: 25% of a 9 month academic year appointment = 2.25 (AY) person months (9 x.25= 2.25) 10% of a 12 month calendar appointment = 1.2 (CY) person months (12 x.10 = 1.2) 35% of a 3 month summer term appointment equals 1.05 (SM) person months (3 x.35= 1.05) Slide 23 Salary Requested is then: Number of paid "Person Months" by 1/12 of the Institutional Base Salary - which is $36,000 for this example: 1.2 (CY) x $36,000 (1/12) = $3,600 $3,600 is included in the Salary Requested column of the budget form Salary Requested is then: Number of paid "Person Months" by 1/12 of the Institutional Base Salary - which is $36,000 for this example: 1.2 (CY) x $36,000 (1/12) = $3,600 $3,600 is included in the Salary Requested column of the budget form Slide 24 The PI and other individuals who contribute to the scientific development or execution of a project in a substantive, measurable way, whether or not they receive salaries or compensation under the grant. Typically these individuals have doctoral or other professional degrees. Consultants also may be considered key personnel if they meet this definition. The PI and other individuals who contribute to the scientific development or execution of a project in a substantive, measurable way, whether or not they receive salaries or compensation under the grant. Typically these individuals have doctoral or other professional degrees. Consultants also may be considered key personnel if they meet this definition. Slide 25 Key Personnel listed under the Personnel category of the budget form can only be your institutions employees. DO NOT list non-institution collaborators in this budget category Non institution collaborators are either Consultants or are funded under Sub-recipient Agreements, also known as Subcontracts. They have separate budget categories and forms Key Personnel listed under the Personnel category of the budget form can only be your institutions employees. DO NOT list non-institution collaborators in this budget category Non institution collaborators are either Consultants or are funded under Sub-recipient Agreements, also known as Subcontracts. They have separate budget categories and forms Slide 26 Slide 27 Slide 28 Slide 29 Fringe Benefits costs are the expense to an institution to provide medical, dental, tuition reimbursement and other staff benefits NIH follows your institutions policy with regard to fringe benefits, and does not have a pre-set limit for these costs Fringe Benefits costs are the expense to an institution to provide medical, dental, tuition reimbursement and other staff benefits NIH follows your institutions policy with regard to fringe benefits, and does not have a pre-set limit for these costs Slide 30 The rate your institution uses to calculate Fringe Benefits cost may change annually It is important to get the best estimated rate from the Research or Finance Department for the proposed start date of your project Apply the projected rate (s) to Salaries Requested on the budget to calculate Fringe Benefit costs The rate your institution uses to calculate Fringe Benefits cost may change annually It is important to get the best estimated rate from the Research or Finance Department for the proposed start date of your project Apply the projected rate (s) to Salaries Requested on the budget to calculate Fringe Benefit costs Slide 31 To calculate the fringe benefits costs multiply the Salary Requested (SR) by the fringe rate $20,500 (SR) x 35% fringe rate = $7,175 Add fringe benefit cost to (SR) for the Total Salary (TS) column of the budget page $20,500 (SR) + $7,175 (fringe) = $27, 675 (TS) To calculate the fringe benefits costs multiply the Salary Requested (SR) by the fringe rate $20,500 (SR) x 35% fringe rate = $7,175 Add fringe benefit cost to (SR) for the Total Salary (TS) column of the budget page $20,500 (SR) + $7,175 (fringe) = $27, 675 (TS) Slide 32 Slide 33 If your institution allows employees to be consultants on the proposal list the expenses under Personnel, including fringe benefits costs. An employee with the role of consultant cannot be listed in the consultant category of the budget If your institution allows employees to be consultants on the proposal list the expenses under Personnel, including fringe benefits costs. An employee with the role of consultant cannot be listed in the consultant category of the budget Slide 34 Equipment Slide 35 Slide 36 Slide 37 Normally, a research project will consume supplies such as laboratory items, teaching aids, computer software, and other research supplies. Itemize by category all expenses over $1,000 on the budget page. Slide 38 Slide 39 Slide 40 Slide 41 Major Alterations &Renovations (>$500,000). Unallowable under foreign grants and domestic grants with foreign components. Minor Alterations & Renovations ($500,000). Unallowable under foreign grants and domestic grants with foreign components. Minor Alterations & Renovations (