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This document certifies the proposal for an indirect cost rate to be used by school districts, confirming that all included costs are allowable under federal guidelines.
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How to fill out certification for indirect cost

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How to fill out CERTIFICATION FOR INDIRECT COST RATE

01
Gather required financial documents, including your organization's financial statements and accounting records.
02
Review the guidelines provided by the governing body for the certification process.
03
Complete the certification form by providing accurate and detailed information regarding your indirect cost rate.
04
Attach supporting documentation that verifies your calculations and justifications for the proposed indirect cost rate.
05
Sign and date the certification form to affirm that all information provided is true and accurate.
06
Submit the completed certification form and documentation to the appropriate certifying authority.

Who needs CERTIFICATION FOR INDIRECT COST RATE?

01
Organizations that receive federal funds or contracts and want to recover indirect costs associated with their projects or programs.
02
Nonprofit organizations, educational institutions, and local government agencies that seek reimbursement for indirect costs.
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People Also Ask about

What is the Average Indirect Cost Rate for Nonprofits? While no two nonprofit organizations will have identical needs, structures, or budgets, an indirect cost rate of between ten and fifteen percent has served as a longstanding rule of thumb.
On February 7, 2025, NIH issued Notice NOT-OD-25-068 (Notice), which imposes a 15% cap on indirect cost (IDC) recovery for all new NIH grants and, controversially, for existing grants awarded to institutions of higher education (IHEs) moving forward from Feb. 10.
Be aware the process for establishing a Negotiated Indirect Cost Rate Agreement (NICRA) can take up to six months (180 days) from the time NIFA receives the ICP. Also, NIFA may issue the award, but withhold funds budgeted for indirect costs pending completion of the indirect cost rate negotiation process.
What is the Average Indirect Cost Rate for Nonprofits? While no two nonprofit organizations will have identical needs, structures, or budgets, an indirect cost rate of between ten and fifteen percent has served as a longstanding rule of thumb.
The de minimis rate is a simplified option set at 10% (15% effective for grants awarded on or after October 1, 2024) of modified total direct costs (MTDC). This rate is available to organizations that have never negotiated a federally approved indirect cost rate.

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CERTIFICATION FOR INDIRECT COST RATE is a document that organizations prepare to validate their indirect cost rates to ensure compliance with federal regulations and to support the allocation of indirect costs across various projects and programs.
Organizations that receive federal funding or contracts and seek reimbursement for indirect costs must file the CERTIFICATION FOR INDIRECT COST RATE.
To fill out the CERTIFICATION FOR INDIRECT COST RATE, organizations must complete the prescribed forms accurately, ensuring that all relevant financial information regarding indirect costs is provided, along with appropriate documentation to support the calculations.
The purpose of the CERTIFICATION FOR INDIRECT COST RATE is to establish a formal acknowledgment of the indirect cost rate being used, ensuring transparency and compliance for the allocation of costs in federally funded projects.
The CERTIFICATION FOR INDIRECT COST RATE must report information including the organization's indirect cost rate, the basis for the rate calculation, financial statements, and any other relevant accounting data that supports the claimed rates.
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