Allowable Costs

These will depend on the sub-contract’s approved budget. Payment Requests must be supported by appropriate documentation for the allowable expenditures incurred and paid on the grant otherwise will be treated as unallowable. If you are unsure whether a particular expenditure is allowable, consult your approved project budget and/or the appropriate OMB Circulars -- A-110, A-21 and A-122 for Nonprofit and Institutions of Higher Education or A-102 and A-87 for State and Local Governments. The Circulars have been relocated to 2CFR Parts 220, 225 and 230. You can also contact Office of Grants & Research Administration if additional assistance is needed.

Allowable Cost:

  • Reasonable, allowable, and allocable to the project
  • In accordance with program plans and objectives
  • Clearly required for the project
  • Consistent with the budget established for the project (in total, by category, or by line item, depending on sponsor requirements
  • Incurred within the project time period
  • In accordance with sponsor regulations, university policy, and Office of Grants and Research Administration procedures for implementing those regulations and policies.