Indirect cost recovery

Indirect costs — sometimes called overhead, facilities and administrative (F&A) costs, or shared expenses — are costs incurred in the conduct of externally sponsored research that are shared across a large number of projects as well as other functions of the University. Indirect costs include grant administrative services, lab operations and maintenance, depreciation and debt services taken on for new construction to provide researchers with modern facilities. 

The university seeks to apply its federally negotiated F&A rates to all extramurally funded projects. These rate agreements are developed and negotiated based on Uniform Guidance (2 CFR 200), the federal government's regulation that provides cost principles for federal awards.

Seeking Full-Cost Recovery

Recovering the Costs of Research

Overview on the federal costing principles and concepts that inform how universities seek to recover the full costs of research.

Calculating Indirect Cost Recovery

What's the difference between Modified Total Direct Costs, Total Direct Costs, and Total Costs? How do federal and non-federal sponsors approach indirect costs?

Challenges to Full-Cost Recovery

Restrictions to the recovery of all costs associated with a research project create a burden to universities amid increased regulatory requirements and diminished support to the University.

Background on Rate Agreements

Background on UC's F&A rate agreements.

UC Rates & Sponsor Specific Guidance

About UC Rates

A description of UC-established rates for certain types of non-federal funding.

Human Clinical Trials

Information about the UC Rate to be used for human clinical trials.

State of California

Information about the UC Rate to be used when working with State of California agencies.

Federal Agencies

Information about indirect cost recovery for federal assistance under 2 CFR 200 (Uniform Guidance).

Agriculture Marketing Boards

Information about indirect cost recovery when working with Agriculture Marketing Boards.

Chapter 8: Indirect Costs

Chapter 8 of the Contract & Grant Manual provides background information and guidance on the application of indirect cost agreements and the process for indirect cost exceptions.

Indirect Cost Exceptions

Indirect Cost Exceptions

Information on indirect cost exception policies and procedures.


Managing sponsor information, sponsor guidance, and indirect cost policy exceptions.