Project Budget
Albena Vutsova&Lora Pavlova
When the “Money” becomes an issue
Don’t make it look as an absurdity
Don’t grasp it as an “Golden goose”
The result might be quite disappointing and…
Where to begin? Read the call text – there are hints for you! Keep in mind the type of project and upper funding
limits allowed; Check the eligible costs and types of eligible
activities Do not compare and copy/paste from other partners
and/or projects First prepare the core of the project, then continue
to calculations Choose the type of indirect cost calculation model
Collaborative projects (RTD)STREP (small-medium)
RTD development – new knowledge Demonstration – viability of the new
technologies (testing; prototypes) project management activities innovation-related activities, mainly for
knowledge management and IPR protection
Collaborative projects (RTD)IP (large-scale)
RTD – significant advance; typically multidisciplinary;
Demonstration Innovation activities, including socia-economic
studies; promote exploitation of results Training of researchers and other key staff +
potential users of knowledge produced; Other specific type of activities Project managements
NoE - Joint programme of Activities Activities aimed at integration:
mechanisms for coordination and possibly merging of research portfolios; Staff exchange schemes; complete or partial relocation of staff; shared and mutually accessible research equipment explore legal requirements for durable integration; setting up joint supervisory bodies; joint public relations
Jointly executed research as an addition to own institutional portfolio, not part of the JPA
Activities for spreading excellence joint training programmes; dissemination&communication promotion of the results
Management
CSA – Coordinating activities
Organization of events – conferences; meetings; workshops; seminars
Related studies, exchange of personnel; exchange and dissemination of good practices;
If applicable – definition; organization and implementation of joint activities, together with management actions;
Management
CSA-Supporting activities monitoring and assessment activities; conferences; Seminars; Studies Expert groups; High-level scientific awards and competitions; Support for transnational access to research
infrastructures or preparatory technical work; support for cooperation with other European
research schemes
Personnel costs
In FP7 – you can have temporary and permanent staff paid;
Do not use overestimated monthly rates Make a difference between new (hired) and
permanent personnel; Make difference between categories of staff or use
a weighted average Cost of employment = salary + employers
contribution + any accountable benefits ( car; mobile telephone, pension, etc.)
Personnel costs 2
use a percentage for increase per annum: % of inflation; for outside the Euro zone – expected fluctuations
in the exchange rate Calculate the PM following the EC net
productive annual hours per person, i.e. 140 productive hours per month and 1,680 per annum ( NB! – full time employment on the PROJECT!)
Days Hours ( 8 hour working day)
Annual 365
Less weekends 104
Net 261 = 2.088
National/statuary holidays 8
Annual vacation 21
Annual sickness 12
Training courses 5
Staff meetings, etc. 3
Annual net productive time 212 1.696 = 141.33 hours per month
Personnel costs 3
Personnel costs 4
So, the number of actual productive hours reported per employee should be divided into 141,33
Thus we will get the Person/months estimate Remember – PM has to be recorded Over time will be paid if one is working 100%
on 1 project only
Time sheet
Some organizations has Computerised system based of staff “clocking in and out” in the morning, evening and each break and for different tasks!
In our cases normally work time-sheets Available on-line
Budget table template – summed - up
Project acronym WP1 WP2 WP3 WP4 WP5 WP6 WP7 Totals
WP Name CM Dissem WPname WPname WPname WPname WPname
Man months 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Personnel costs 0 0 0 0 0 0 0 0
Travel 0 0 0 0 0 0 0 0
Equipment 0 0 0 0 0 0 0 0
Materials 0 0 0 0 0 0 0 0
Other 0 0 0 0 0 0 0 0
Other direct costs 0 0 0 0 0 0 0 0
Indirect costs 0 0 0 0 0 0 0 0
Subtotal 0 0 0 0 0 0 0 0
Audit cert 0 0
Sub-contract 0 0 0 0 0 0 0 0
Subcontracting 0 0 0 0 0 0 0 0
Total budget 0 0 0 0 0 0 0 0
Requested EC contribution 0 0 0 0 0 0 0 0
Partner 1,2, 3…..Part 1
MM w/o OH
Funding rate
O/Head rate WP1 WP2 WP3 WP4 WP5 WP6 WP7 Totals
0 in Euros 50/75 0 CM Dissem
WPnam
eWP
nameWP
nameWP
nameWP
name
Labour rate 0 0
Man months 0.00
Personnel costs 0 0 0 0 0 0 0 0
Travel 0
Equipment 0
Materials 0
Other 0
Other direct costs 0 0 0 0 0 0 0 0
Indirect costs 0 0 0 0 0 0 0 0
Subtotal 0 0 0 0 0 0 0 0
Audit cert 0
Sub-contract 0
Subcontracting 0 0 0 0 0 0 0 0
Total budget 0 0 0 0 0 0 0 0
Requested EC contribution 0 0 0 0 0 0 0 0
Man power total Part 1 Part 2 Part 3 Part 4 Part 5 Part 6
0 0 0 0 0 0 TOTAL ACTIVITIES
Activities
WP2 0.00 0.00 0.00 0.00 0.00 0.00 0.00
WP3 0.00 0.00 0.00 0.00 0.00 0.00 0.00
WP4 0.00 0.00 0.00 0.00 0.00 0.00 0.00
WP5 0.00 0.00 0.00 0.00 0.00 0.00 0.00
WP6 0.00 0.00 0.00 0.00 0.00 0.00 0.00
WP7 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Total 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Consortium management activities
WP1 Project Management 0.00 0.00 0.00 0.00 0.00 0.00 0.00
TOTAL per PARTICIPANT 0.00 0.00 0.00 0.00 0.00 0.00
Overall TOTAL MANPOWER
0.00
In-house consultant Worker that simultaneously fulfills the following:
The beneficiary has a contract with a physical person and part of the tasks cover tasks to be carried under EC project;
the work is designed, decided and supervised by the beneficiary;
the results belong to the beneficiary; costs are close or equal to the personnel travel and subsistence are eligible if paid by the
beneficiary NO overheads on the consultant costs – it uses
employer's administrative services
Management costs
Certificate on Financial statement costs and Audit certificates BUT without overhead as technically this is subcontracting;
Certification of accounting system management of joint competitive calls within a large
project or NoE or ERA-NET schemes; Updating and management of the CA Consortium management – technical issues; Overall legal, financial, ethical management; Coordination of knowledge-management plan
Research and Demonstration costs
Material and immaterial resources deployed by a participant for carrying out research activities
Costs for proving the viability for future applications of a research results;
“Trials” or “result validation” – carried out on prototypes or pre-production systems can be classified under the Innovation or research activity type
Other costs
IP protection – patent searches; filling of patent (or other type of IPR) applications, etc.;
Dissemination activities – publications; conferences; workshops; web-based activities;
Studies on socio-economic aspects – assessments of impact of the knowledge generated; analyses of the influence factors (e.g. standartisation; ethical or regulatory aspects);
Promotion of exploitation of results – plan for knowledge use and dissemination; feasibility studies; “take-up activities” to promote early or broad application ( assessment; trial and validation of promising but not fully established technologies and solutions);
Training activities – can include salary costs for those providing training but not for those being trained
Indirect costs costs for general administration and management; office or laboratory space, including rent or
depreciation of buildings and equipment and all related expenditures such as water, electricity; maintenance ; insurance and safety costs
communication expenses, network connection charges, postal charges and office supplies;
depreciation of common office equipment such as PC’s, laptops, office software;
various consumables
Third party costs
Can be eligible if: There is a pre-existing agreement between the
beneficiary and the third party; This is written in the Annex 1 of the GA; Certified by an external auditor and the
beneficiary can only declare them in its accounts If above can not be fulfilled - receipt
Receipts Resources made available by third parties to the
beneficiary by means of financial transfers or contribution in kind which are free of charge and have been contributed by the third party specifically to be used on the project
Income generated by the project (e.g. admission fee to a conference carried out by the consortium, sale of the proceedings of the conference, etc.)
Income generated from the use of foreground resulting from the project shall not be considered a receipt
Receipts 2
The receipts would not have an impact on the EC contribution, as long as their amount does not exceed the difference between the eligible costs of the project and the EC contribution:
Equipment costs Depreciation is applied The Formula: A/BxCxD, whereA is the period of months during which the durable
equipments is used for the project after invoicing;B is the normal depreciation period;C is the actual cost of the durable equipmentD is the percentage of usage of the durable equipment
for the project
Lap Top 36/24x1000x0.30 =450 euro
NoE costs
The leading is the Number of researchers involved
EC provides 23,500 per researchers per year
Addition of further partners will not affect the funding
4000 per year for each registered doctoral student
Important issues
Each partner has to prepare its own calculations – Why?; Too many PM/or too high PM costs No subcontracting envisaged No equipment envisaged Indirect cost calculation
Or check it before submission
