Jump to Section:
Limit on Use of Grant Funds for Salaries of Grantees’ Employees
Support of Salaries, Wages, and Fringe Benefits
Added Work
Overtime Compensation
You may not use Federal grant funds to pay cash compensation (salary plus bonuses) to any employee at a rate that exceeds 110 percent of the annual salary payable to someone at the Federal Government???s Senior Executive Service (SES) level.
Any additional compensation beyond 110 percent of the U.S. Government SES level will not be considered matching funds where matching requirements apply.
[ back to top ]
Charges made to Federal awards for salaries, wages, and fringe benefits will be based on payroll records approved by a responsible official(s) and in accordance with the generally accepted practice of the organization.
The awarding agency must approve all salary supplements, including severance provisions and other benefits with non-Federal funds. Refer to the appropriate cost principle section of the CFR referenced previously for further details.
[ back to top ]
As a recipient or subrecipient, you may employ a State or local government worker to complete tasks in addition to his or her full-time job, provided the work is performed on the employee???s own time and:
[ back to top ]
You should compensate recipient and subrecipient employees with overtime payments for work performed in excess of the established work week (usually 40 hours).
Executives, such as the president or executive director of an organization, may not be reimbursed for overtime or compensatory time under grants and cooperative agreements.
In no case is dual compensation allowable. That is, an employee of a unit of Federal, State, or local government may not receive compensation from his/her unit or agency of government AND from an award for a single period of time (e.g., 1 to 5 p.m.), even though such work may benefit both activities.
[ back to top ]