Handbook Section and Topic Page Links
Section 1: Introduction
Section 2: Proposal and Budget Development
- Charging Administrative Expenses
- Accounting for Unallowable Costs
- Application of Facilities and Administrative (F&A) Cost Rates
- Facilities and Administrative (F&A) Cost Waivers
- Personnel Costs
- Fringe Benefit Rates
- Institutional Base Salary
- Cost Sharing
Section 3: Managing Awards
- Opening or Modifying a Project
- Prior Approvals
- No-Cost Extension
- Cost Transfers
- Effort Reporting
- Salary Cap Administration
- Program Income
- Clinical Trials Financial Management
- Managing Sponsor Payments
Section 4: Travel and Procurement
- Domestic and Foreign Travel
- Memberships, Subscriptions, and Professional Activities
- Managing Subawards
- Small Business Program
- Managing Equipment Acquired with Federal Funding
- Recharge Center Policy
Section 5 Closing an Award
The purpose of this policy is to provide guidance on University standards and procedures for determining and supporting the costs of personal services (i.e., effort) committed and charged to Federally-sponsored programs.
As a condition of accepting such funding, NYU must ensure that such charges are based on records which accurately reflect the work performed, and which reasonably ensure the charges are accurate, allowable, and properly allocated.
To ensure that that effort reporting is administered properly, please:
- Track “University Effort” - NYU utilizes an effort reporting system which is a system of internal controls that reasonably ensures that salary charges to sponsored projects are accurate, allowable and properly allocated. NYU’s effort reporting system documents salaries charged to federally sponsored projects accurately reflect the work performed and to meet the requirements of the Uniform Guidance and University policy. Effort reports are generated electronically through the University’s Effort Reporting System or ERS.
- Use the same basis to propose or commit effort as the method used to calculate, report, and certify one’s effort.
- Calculate effort percentages based on the estimated actual effort and not a set number of hours. The Institutional Base Salary (IBS) is the fundamental measure of the effort expended by faculty in institutions of higher education in performance of work under a Federal award.
- Maximum effort – the Faculty effort assigned to sponsored projects cannot total more than 95%.
- Understand Summer Effort for Faculty with 9-month appointments. This means that faculty who are compensated for 9-month appointments are permitted to spend up to an additional 3 months of summer effort on sponsored projects and other University activities. The maximum effort (95%) rule applies to summer salaries.
- Understand Institutional Base Salary (IBS). For faculty with 9 month appointments, IBS is the salary base for the period 9/1 – 5/31.
- Various academic activities are not a part of the IBS and it is incumbent on all those involved in certifying effort to understand the appropriate effort to be certified. Please refer to the IBS section of the SPA Handbook for explanations and the definition of the IBS. Exclusions to the IBS for certification purposes include:
- Extra-service pay, such as compensation for short-term assignment at Global Sites, or teaching during minimesters, and including Intra-institutional consulting across departmental lines and in addition to regular workload
- Consulting and other outside compensated professional work including service on scientific advisory boards compensated by external organizations
- Volunteer community or public service
- Clinical Services Effort
- Veteran’s Administration compensated activities outlined in a Memorandum of Understanding
- Bonuses and certain “one-time” payments for which extra compensation is paid by NYU
- Report committed Cost Sharing in the effort report. See the Cost Sharing policy for more information.
- Do not make any adjustments in ERS without the PI’s written consent.
SPA 011: Effort Reporting
Open SPA 011: Effort Reporting (NYUHome login required)
This learning module will cover the Effort Reporting Policy for Sponsored Programs as outlined in the SPA Handbook.
Duration: 9:00 minutes