This module covers the requirements of the Uniform Guidance and begins by distinguishing indirect from direct costs.
It explains when recipients of a federal award need an indirect cost rate (ICR) approved by the federal cognizant agency or, in the case of subrecipients, by the pass-through entity. It describes a de minimis rate and how to use it. The module distinguishes between the different types of federally approved rates, and explains when and how to apply for a federal rate. The training summarizes the documentation requirements and forms needed for an ICR proposal, and walks through each section of the ICR proposal using examples of data and other information needed in the proposal. The module also reviews common mistakes that are made by recipients and pass-through entities on indirect costs, and how to rectify them.