Indirect costs are expenses that are incurred by the University as part of the general operations of the institution that support sponsored project activities. Indirect costs are typically not readily identifiable to any single project, but rather support overall sponsored project activities. In order to recoup indirect costs, Montclair has a negotiated indirect cost rate with the federal government.
Montclair State University’s Federally Negotiated Indirect Cost Rate for research and sponsored programs on campus is currently 46% of a project’s modified total direct costs (see Montclair’s Indirect Cost and Fringe Benefit Rate Agreement, dated October 27, 2021).
The standard distribution for indirect cost funds recovered from sponsored research programs is as follows:
- General University Fund – 30%
- School/College Dean’s Office – 15%
- Academic Department – 25%
- Principal Investigator – 10%
- Office of Sponsored Programs – 20%
In unique circumstances, when an award is granted to an institute, center, or core facility, a non-standard distribution can be requested. Non-standard distribution requests will be reviewed by the applicable Dean and Vice Provost for Research. To discuss this further, please contact OSP.
All PI/PDs that have budgeted indirect costs on their grants will be assigned an individual IDC account. For more information on how recovered indirect cost funds may be used, see Montclair’s Policy on Indirect Cost Distribution and Expenditures.