Allowable Direct Costs
Direct costs are those that can be specifically assigned to a FSEA activity with relative ease and high degree of accuracy. The unit should keep supporting evidence to substantiate allocability, allowability, and reasonableness of these costs. Examples include materials and supplies used to deliver the service, salaries of technical personnel, etc.
- Direct Salaries: Salary and benefit expenses directly related to sale of the product or service provided. (6xxxxx Accounts)
- Other Operating Expenses: Expenses that are directly related to the cost of providing the product or service. (7xxxxx accounts)
Unallowable Costs
The numerator in calculating rates (expenses) cannot include unallowable costs. Please see below a list of unallowable costs for recovery through internal rates.
- Advertising
- Alcoholic beverages
- Alumni costs
- Center personnel salary expense funded on sponsored projects
- Commencement/Convocation costs
- Contingency Reserve costs
- Dependent tuition benefit costs
- Depreciation expense (To ensure that these expenses are not double counted for charges to Federal projects as depreciation expense is included as part of the Indirect Cost (IDC) rate pool of the University)
- Donations or Contributions (including donated materials and supplies where no actual expense is incurred by the center)
- Entertainment (unrelated to the business purpose)
- Fines and Penalties
- Fund Raising
- Housing Allowances/Personal Living Expenses
- Interest
- Intramural Activities
- Legal costs
- Lobbying
- Membership to Community or Civic Organizations
- Membership to Social or Dining Clubs
- Personal use of UF or State-Owned Vehicles
- Personal use of Supplies or Services
- Public Relations
- Renovations or decorating
- Space rental costs (whether the rent expense relates to UF space or non-UF space)
- Student Clubs
- Student Publications
- Travel and Subsistence Costs of Trustees
- University administration (indirect costs, including the administrative overhead fee that is charged to FSEAs to address the use of university-wide resources such as human resources, accounting, legal, etc
In general, any cost designated as unallowable per OMB Uniform Guidance. These unallowable costs are referenced at: OMB Uniform Guidance, Subpart E, §200.420 through §200.475 and Cost Analysis Directives and Procedures.
Resources
Audit Requirements for Federal Awards 2 C.F.R. §200 Subpart E §200.468 (“Uniform Guidance”)
OMB Uniform Guidance, Subpart E, §200.420 through §200.475
FSEA Authoritative Guidance
Auxiliary Accounting: (352) 294-7236
Directive Statement