Contract and Grant Accounts

Cost Share 

Activity: Cost Share
Financial Policy: N/A
Related Policies: N/A
Additional Forms: N/A

Things to Know:

  • There has been a renewed emphasis placed on cost sharing and its administration by the Federal government. The following are Policies and Important Notices to cost sharing. Please see documents on policies and important notices at the following locations: Cost Sharing on Sponsored Programs, SPA-11-002 and Accounting for Cost Share - Create a Budget.
  • Congress has legislatively mandated a provision for the limitation of salary. Commonly known as the NIH Salary Cap, this limitation restricts the amount of direct salary of an individual charged against an NIH grant or cooperative agreement (referred to here as a grant) or applicable contract to Executive Level II of the Federal Executive Pay scale.
  • Effective January 10, 2016, the Executive Level II Pay Scale was increased, therefore increasing the NIH Salary Limitation from $183,300.00 to $185,100.00.
  • References:
  • The increased salary limitation is effective on all new and existing Department of Health and Human Services (DHHS) awards subject to the Executive Level II Pay Scale beginning January 10, 2016.
  • More information regarding the DHHS Salary Limitation at Indiana University can be found at the following link:
  • Any faculty or staff paid from an NIH grant are subject to this limitation and any salary or wages which exceeds the cap must be cost shared. See Research policy National Institutes of Health (NIH) Salary Limitation SPA-11-008.
  • See NIH Salary Limitation notice for more details on the Salary Cap.

For more information please contact Bethany Wuensch,

*BC - Budget Construction