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Part III - Annual TRAC

Section A: Overview

Charge-out rates

  1. The annual TRAC process generates the indirect cost rates and estates charges that are used to charge sponsors with costs of a particular project or programme.
  2. Costs are classified as direct or Support during the annual TRAC process:
    • Direct costs are those that can be attributed directly to an individual project or programme, or are shared between a few projects or programmes. These would include Research Assistants' costs (R), under-graduate student fieldwork (T), residences (O).
    • Support costs, such as indirect and estates costs, are necessarily incurred in carrying out Teaching, Research or Other activities, but cannot be so directly charged to a specific activity or project.

      Support costs are attributed to academic departments, and to activities, using cost drivers. These include: the square metres of each type of space used (estates); the number of books (some library costs); staff and student numbers (some of the finance department costs).

  3. The indirect cost rates and estates charges are derived from the Support costs identified during the annual TRAC process.
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