Payroll and indirect expenses, rates for fellowship grants

• Universities and university colleges
• Independent research institutes
• Companies

Special rates have been established for payroll expenses relating to fellowship grants. Projects that include proposals for fellowship grants should utilise the rates appropriate to these (please see the specific types of fellowship grants below).

Information about rates for the SkatteFUNN tax deduction scheme is found on the SkatteFUNN website (Norwegian only).

Calculating payroll and indirect expenses for budgeting purposes

The rules below are to be used by the various applicant groups (project owners) for budgeting purposes when calculating payroll and indirect expenses. The rates apply to all applicant groups and should be used for all years for which funding is sought. 

Universities and university colleges

• For funding of salaries for researchers the rate for the lump-sum allocation for post-doctoral research fellowships should normally be used. This rate includes compensation for indirect costs, so additional overhead will not be granted.
  If a higher salary is sought for a researcher, an explanation for why this is warranted must be provided. The budget for indirect costs should then include an overhead of 25 per cent of the salary amount (including social security costs) being sought.
• For funding of salaries for technical personnel, the budget should be based on the individual's actual salary, plus an overhead of 25 per cent of the salary (including social security costs) for indirect expenses. 

Independent research institutes

Payroll and indirect expenses are to be calculated together as hourly rates for groups of R&D personnel. The hourly rate is to be established by the individual research institute and must reflect the actual costs based on efficient operations. The Research Council is to be informed of the specific rates each year via the designated form (Norwegian only) (ZIP-40.8 KB) , and the rates must be used in all grant applications submitted by the research institute.

For projects where the application was submitted before 1 January 2012, the hourly rates are to be determined on the basis of the nominal annual salary of the R&D personnel involved. The hourly rate must reflect the actual costs, and may be up to .0016 of the nominal annual salary.

Companies

For internal R&D personnel participating in the project, payroll and indirect expenses may be calculated together as hourly rates calculated on the basis of the nominal annual salary in accordance with the following rules:

• The hourly rates are calculated on the basis of the nominal annual salary, with a maximum rate of .0012 of the nominal annual salary. An average rate may be used for R&D personnel as a group. 
• The rate may not exceed NOK 1,100/hour.
• The number of project hours for each participant per year may not exceed 1,850.

These rules apply in all cases where payroll expenses for companies comprise part of the basis for allocation of funding from the Research Council, i.e. regardless of whether or not the company involved is serving as the project owner. 

Public sector

For public entities/governmental institutions, payroll and indirect expenses for internal R&D personnel participating in the project may be calculated together as hourly rates calculated on the basis of the nominal annual salary in accordance with the following rules:

• The hourly rates are calculated on the basis of the nominal annual salary, with a maximum rate of .0012 of the nominal annual salary. An average rate may be used for R&D personnel as a group.
• The rate may not exceed NOK 1,100/hour.
• The number of project hours for each participant per year may not exceed 1,850.

These rules apply in all cases where payroll expenses for companies comprise part of the basis for allocation of funding from the Research Council, i.e. regardless of whether or not the public entity involved is serving as the project owner. 

Rates for fellowship grants

The national budget for 2013 establishes a new set of rates for fellowships grants. These rates will be applied to new fellowships that will commence in 2013.
The table below provides an overview of the rates that apply for fellowship grants as from 2013.

These rates apply to all applicants (with two exceptions, see below). The rates stipulated for lump-sum allocations for doctoral and post-doctoral research fellowships apply when the project owner (institution) serves as the employer.

The above rates to not apply to foreign doctoral and post-doctoral research fellows who are affiliated with a research project at a Norwegian institution, but will be spending their grant period at an institution in their home country or another country. The project owner (applicant institution) is responsible for determining the funding to be granted to the fellowship-holder to cover salary, overhead, day-to-day expenses, etc. A short explanation of the funding amount proposed (conditions in the relevant country, level of expertise) should be provided in the grant application. Please note that the amount may not exceed the lump-sum allocation listed above.

For more information about the individual types of fellowship grants, please see below. 

Student Research Grants

The rate used for student research grants applies per two-semester academic year. Student grants are intended to cover the documented costs of education. Any surplus may be liable to taxation, and will be subject to assessment by the tax authorities. Funding for student research grants may only be sought when this has been specifically included in the call for proposals.

Doctoral Research Fellowships

The Research Council will ordinarily finance full doctoral research fellowships at the specified annual lump sum amount for three years.  Fellowship funding is awarded as a lump sum allocation to the host institution, and includes salary, social security costs, indirect costs and general operating expenses. For doctoral fellows who are pursuing their degrees abroad, and who are under the employment of the Research Council, a lower rate will apply (see above).

For applications encompassing more than one year’s duration, the following rates should be used for doctoral research fellowships (in cases where the project owner serves as the employer):

Post-doctoral Research Fellowships
The rate for post-doctoral research fellowships for individuals employed by a Norwegian institution includes salary, social security costs, indirect costs and general operating expenses. For post-doctoral fellowship-holders who intend to spend their entire project period at an institution abroad, and who will be under the employment of the Research Council, a lower rate will apply (see above).

The following rates are to be used for post-doctoral research fellowships (in cases where the project owner serves as the employer):  

Grants for Visiting Researchers

For visiting researcher fellowship grants, the high rate applies for the first month, and the low rate applies for each of the subsequent months thereafter. Personal visiting researcher grants are normally awarded for a period of one to 12 months. Fellowships for visiting researchers cover documented settling in costs in Norway, and associated extra costs incurred in connection with the research visit. Any surplus may be liable to taxation, and will be subject to assessment by the tax authorities. It is also possible to apply for funding to cover round-trip travel expenses (cheapest mode of travel) for the visiting researcher.

Funding may also be sought to cover travel expenses for the researcher’s spouse/partner and children under the age of 18, provided that the fellowship grant has been awarded for at least three months, and that the family members will be residing together with the visiting researcher throughout the entire fellowship period. Researchers with children of school age or younger (under 16), may also apply for funding for travel expenses for their children and spouse/partner when the grant has been awarded for a period of less than three months, provided that the family members will be residing together with the visiting researcher throughout the entire fellowship period.

A family is defined as a researcher accompanied by a spouse, common-law partner or registered partner and any children. A common-law partner is a person with whom the individual has lived in a marriage-like relationship for the past two years or shares a common address.

Overseas Research Grants
The rates for overseas research grants cover documented costs of settling in abroad and associated extra costs incurred in connection with the research visit (based on fixed amounts). Any surplus may be liable to taxation, and will be subject to assessment by the tax authorities. It is also possible to apply for funding to cover travel expenses (cheapest mode of travel). Overseas Research Grants are available to academic personnel, including doctoral and post-doctoral research fellows, employed by Norwegian institutions. Funding is normally granted for research visits lasting from 3 to 12 months. A recommendation from the applicant's own institution/research group and an invitation from the host institution abroad is submitted with the grant application. Doctoral or post-doctoral fellowship-holders who will be spending their entire fellowship period abroad are also eligible to apply for Overseas Research Grants.

In cases where a research visit will extend across two calendar years, the entire funding amount sought should be listed under the first year. Support may be granted within a given project for several shorter-term visits and more than one round-trip tickets for researchers who have school-age children and who will not be accompanied by their children and spouse/partner. For example, four visits of 2-3 months duration may be an alternative to a complete, uninterrupted year in another country. The need for a flexible solution of this type must be explained in the field for further details in the Cost Plan.

A family is defined as a fellowship-holder/researcher accompanied by a spouse, common-law partner or registered partner and any children. A common-law partner is a person with whom the individual has lived in a marriage-like relationship or shared a common address for the past two years.