Budget: Direct and Indirect Costs

Two types of expenses are associated with sponsored funding: direct costs and Facilities and Administrative (F&A) or indirect costs. 

• By definition, direct costs can be clearly identified and directly benefit a specific project or program.  For further information, see the Uniform Guidance Subpart E.
• Indirect costs (or F&A) cannot be attributed easily to an individual project or program and include operations and maintenance (e.g. utilities, janitorial services); use of buildings and equipment; sponsored project administration and accounting; and library expenses and collection acquisition.  Each sponsored project contributes to these research infrastructure costs and the F&A rate is applied to all projects, regardless of sponsor. The F&A cost rate is negotiated between Georgia Southern and the US Department of Health and Human Services. 

Last updated: 4/27/2021