For the past 21 years, there has been a legislatively imposed cap on salaries paid under NIH funded grants, cooperative agreements and contracts. Since 2001 and through 2011, the cap has been linked to Executive Level I of the Federal Pay Scale, but the 2012 NIH budget imposes a lower cap, set at Executive Level II. The 2012 cap is $179,700 for all awards issued on or after 12/23/2011. For 2012 awards issued prior to December 23, the salary limitation is $199,700. Full text of the NIH notice (NOT-OD-12-035).
In prior fiscal years, the salary cap was variously tied to Executive level II pay scales or legislatively based. Hence, individual salaries charged against any grants issued by NIH and its sister agencies (the Agency for Healthcare Research and Quality, and the Substance Abuse and Mental Health Services Administration) must observe the cap or caps in effect in the fiscal year during which the funds were awarded.
The following summarizes the time frames associated with these various salary caps:
| Notice Number | Time Frame | Salary Cap | |
|---|---|---|---|
| FY 2012 Awards (Executive Level II) | NOT-OD-12-035 | 12/23/11 - TBD | $179,700 |
| FY 2012 Awards (Executive Level I) | NOT-OD-12-035 | 10/1/11 - 12/22/11 | $199,700 |
FY 2010 Awards (Executive Level I) | 1/1/10 - 12/31/10 | $199,700 | |
FY 2009 Awards (Executive Level I) | 1/1/09 - 12/31/09 | $196,700 | |
FY 2008 Awards (Executive Level I) | 1/1/08 - 12/31/08 | $191,300 | |
FY 2007 Awards (Executive Level I) | 1/1/07 - 12/31/07 | $186,600 | |
10/1/06 - 12/31/06 | $183,500 | ||
FY 2006 Awards (Executive Level I) | 1/1/06 - 12/31/06 | $183,500 | |
10/1/05 - 12/31/05 | $180,100 | ||
FY 2005 Awards (Executive Level I) | 1/1/05 - 12/31/05 | $180,100 | |
10/1/04 - 12/31/04 | $175,700 | ||
FY 2004 Awards (Executive Level I) | 1/1/04 - 3/3/04 | $174,500 used for calculation from 1/1/04 - 3/2/04; $175,700 approved 3/3/2004 | |
10/1/03 - 12/31/03 | $171,900 | ||
FY 2003 Awards (Executive Level I) | 1/1/03 - 12/31/03 | $171,900 | |
10/1/02 - 12/31/02 | $166,700 | ||
FY 2002 Awards (Executive Level I) | 1/1/02 - 12/31/02 | $166,700 | |
10/1/01 - 12/31/01 | $161,200 | ||
FY 2001 Awards (Executive Level I) | 1/1/02 - 12/31/02 | $166,700 | |
1/1/01 - 12/31/01 | $161,200 | ||
10/1/00 - 12/31/00 | $157,000
|
For competing applications submitted as modular grants (not exceeding $250,000 per year in direct costs) and non competing continuations, internal budgets should NOT reflect salaries beyond the current salary cap. For all other competing applications, actual base salaries should be used in preparing budget estimates, and NIH will adjust amounts to reflect the cap in effect at the time of award.