Carthage policy requires all project budgets, along with other proposal details to be reviewed and approved by the Office of Sponsored Programs (OSP) prior to submission to the sponsor.
Below are the information and resources you need to develop budgets that are complete and compliant with federal regulations and Carthage policies.
The proposal’s budget section has two components: budget and budget justification. The budget presents each line item and the justification explains why each item is necessary for the project; the justification explains why each item is necessary for the project.
As you prepare your project’s budget, thoroughly review the solicitation as well as the sponsor’s grant preparation guide. It is important to be cognizant of any sponsor restrictions regarding specific budgetary requirements, such as cost-share, and allowances or dis-allowances. Budget preparation is an important part of the proposal development process. Ideally, the budget should be considered as you are developing the project itself – not something hastily put together. This is important for two reasons:
- Developing your budget alongside your narrative assures that the budget items are specifically related to activities described in the proposal.
- Reviewers often examine the budget in the context of the program narrative, evaluate whether sufficient and appropriate personnel to perform the work have been included, and match the overall budget to the work proposed.
Definition of “Budget”
A detailed statement outlining estimated project costs to support the sponsored project. A budget should include all the Direct Costs and Facilities and Administrative (F&A) (or overhead) costs required to carry out the project objectives. Proposal budgets should match the level of detail submitted to the sponsor. Specific requirements, including cost principles as defined by the federal government in the Office of Management & Budget (OMB) Circular A-21and OMB’s Uniform Guidance, must be adhered to at Step 4: Submitting a Proposal and when the funds are expended. Proposals to non-federal sponsors requesting approval of direct costs which are unallowable for federal reimbursement should clearly include and justify those costs in the budget.
- Direct Costs – Expenses that are specifically associated with a particular sponsored project or activity and/or can be directly assigned to that project or activity with a high degree of accuracy.
- Indirect Costs – Institute expenses that cannot be specifically identified with a particular project or activity.
The budget should list all cost details for the year or other appropriate period of time. It should include any applicable salaries & wages, fringe benefits, services, supplies, equipment, publications, travel, other direct expenses, and any facility and administrative costs. Click here to learn more about cost considerations for budget categories.