Use of Grant Funds

Preamble

The following are guidelines to assist grantees and institutional administrators in their interpretation of the acceptable use of grant funds. The list of examples is not exhaustive. Grantees are encouraged to communicate with their relevant institutional contacts, e.g., business officer, Research Grants officer. For further information on any of the Agencies’ policies and requirements, contact the Agency's Finance Division.

General Principles

Grant funds must contribute towards the direct costs of the research for which the funds were awarded. The institution provides for indirect or overhead costs, such as the costs associated with facilities and basic utilities, the purchase and repair of office equipment, administration fees, insurance for equipment and research vehicles, and basic communication devices such as telephones and fax machines.

The funds must be used effectively and economically, and the expenses must be essential for the research for which the funds were awarded.

Contributions to shared expenses must be directly attributable to the funded research program or project, and agreed to and authorized by the grantee

Additional eligible and non-eligible expenses specific to a program are detailed in the Agency’s program literature.

In the absence of a written Agency policy, the institutional policy, e.g., per diem rates (travel), is to be applied. In the presence of both an Agency policy and an institutional policy, the Agencies require compliance with the involved Agency policy, recognizing that grantees may also have to comply with institutional policies.

The institution has the right and responsibility to withhold approval of expenses proposed by a grantee that contravene Agency requirements or institutional policies.

Retroactive Expenses

Costs incurred between the date of the grant announcement on the Agencies Web site and the effective funding start date of the grant, are eligible. However, the Agencies will not assume any responsibility for any costs should a change in funding occur. These expenses are subject to approval at the discretion of the institution.

For NSERC project grants only

In exceptional circumstances, as determined in the sole discretion of NSERC, NSERC will agree to consider the eligibility of certain retroactive costs that would be defined as costs incurred prior to the official start date of a grant.

The Agency will not assume any responsibilities for retroactive expenses in the event that the project or expenses are not approved.

Retroactive Expenses are evaluated on a case-by-case basis by NSERC in accordance with the following four criteria:

• They must be “eligible expenses” as per the Program Guide for Professors under the Use of Grant Funds in the Financial Administration section;
• They must be identified as Retroactive Expenses, and justification provided at the time of submission of the original application;
• They must relate to a project grant application which has been approved for funding; and
• The cost must be incurred between the submission date of the original application and the official start date of the approved project.

Compensation-Related Expenses

Persons paid from Agency grants are not considered Agency employees, scholars or fellows.

Institutional non-discretionary benefits normally include long- and short-term disability insurance; life insurance; pension benefits; medical, vision and dental care benefits; and parental leave. Institutional non-discretionary benefits must not contravene Agency guidelines.

Eligible Compensation-Related Expenses

NSERC only

• Salaries,* stipends,* and related federal, provincial and institutional non-discretionary benefits for research work performed by research personnel (e.g., students, research associates, technicians).
• A maximum salary/stipend of $16,500 per annum for master's students and $19,000 per annum for doctoral students from grant funds. Non-discretionary benefits are also an eligible expense. Additional support may be provided from the partner’s funds.
• Postdoctoral fellows paid in whole, or in part, from grant funds must receive a total stipend/salary of at least $25,000 per annum plus non-discretionary benefits.
• Salaries to postdoctoral fellows are limited to two years' support from the Agency. Three years' support is acceptable, when justified, to attract exceptional foreign candidates. The three-year appointment must be offered up front and reported to the Agency with a written justification within one month of an offer being accepted.
• Supplements to salaries/stipends are permitted for the following programs only: NSERC Postdoctoral Fellowships, NATO Science Fellowships, Undergraduate Student Research Awards and Northern Research Internships. In addition, non-discretionary benefits are also an eligible expense.
• Visiting researchers' stipends are limited to a maximum of $2,000 per month for up to 125 days per year, not including travel and subsistence costs.

SSHRC only

• Salaries,* stipends,* and related federal, provincial and institutional non-discretionary benefits for work performed by research personnel, support staff and other personnel (i.e., research associates, technicians).
Full-time master's students are eligible for stipends of up to $12,000 per annum; full-time doctoral students, up to $15,000 per annum; and full-time postdoctoral fellows, up to $31,500 per annum. Non-discretionary benefits are also an eligible expense. However, if a student or postdoctoral fellow receives a salary, the rate shall be in accordance with the salary scale of the Institution concerned.
• Research Time Stipends only when awarded.
• Salary Replacement Stipends.

CIHR only

Notes:

• The stipends listed below are the:
  • maximum amounts that a Nominated Principal Applicant can request when applying for a grant and that CIHR will award. Once the grant is held, the Nominated Principal Applicant may provide a stipend to a trainee that is higher than the CIHR minimum;
  • minimum amounts that must be paid to trainees from a grant.
• Grant funds may also be used to supplement stipends received by trainees from other sources, including other Agency grants and individual training awards.

Eligible Expenses

• Salaries* and related federal, provincial and institutional non-discretionary benefits for work performed by research associates, research assistants, technicians and trainees being paid from a grant, e.g., undergraduate, graduate students, postdoctoral fellows. The rates of pay for research associates, research assistants and technicians shall be in accordance with the salary scale of the institution concerned.
• Graduate students paid in whole or in part from a CIHR grant must receive a minimum stipend of $17,850 per annum, paid in whole or in part from a CIHR grant.
• Postdoctoral fellows with a PhD must receive a minimum stipend of $36,750 per annum. Postdoctoral fellows with a PhD degree must begin their postdoctoral training within five years of obtaining their doctoral degree.
• Fellows with a health professional degree such as medicine, dentistry, pharmacy, optometry, veterinary medicine, nursing or rehabilitative science, with or without licensure in Canada, may be supported during the first four years of research training. Registration for a master's or PhD degree is not a requirement. Those who are neither Canadian citizens nor permanent residents of Canada are not eligible for such support beyond the eighth year, following receipt of their health professional degree. The minimum stipend levels for those with a health professional degree and holding licensure in Canada are dependent upon the number of years of academic experience since obtaining the health professional degree. For zero to two years of postgraduate academic experience, a candidate must receive a minimum $36,750 stipend per annum. For two or more years of postgraduate academic experience, a candidate must receive a minimum $47,250 stipend per annum.
• Fellows with a health professional degree who do not hold licensure in Canada must be paid between $17,850 and $36,750, depending on the policies of the institution.
• Those with a health professional degree and a PhD may be supported during the first three years following receipt of the PhD (same stipend level as the fellows with a health professional degree). If a PhD degree was obtained prior to studies for the health professional degree, CIHR will accept this as being equivalent to one extra year of experience. Each year of post-PhD training completed before the health professional degree is recognized as additional experience.
• Undergraduates being trained in research during the summer months are eligible to receive a minimum monthly stipend of $1,313, paid in whole or in part from a CIHR grant.
• Research Time Stipends only when included in a particular funding opportunity.

* Agencies defer to Canada Revenue Agency requirements.

Other types of eligible compensation-related expenses

• Consulting fees.
• Fees paid to research subjects, such as modest incentives for participation, where ethically acceptable.
• Subcontract costs.
• Clerical salaries directly related to dissemination activities, including manuscript preparation.
• Honoraria for guest lecturers (NSERC and CIHR only).

Non-Eligible Expenses

• Any part of the salary, or consulting fee, to the grantee or to other persons whose status would make them eligible to apply for grants.
• Administrative (or management) charges and fees.
• Discretionary severance and separation packages.
• Payments to practicing clinicians who wish to participate in the research on a part-time basis, or to individuals who wish to participate in the research as an investigator and who at the same time receive remuneration for teaching or service work, except when deemed eligible in a particular funding opportunity (CIHR only).
• Payments of stipends to students from grants who already hold a master’s scholarship, a doctoral award or postdoctoral fellowship from an Agency (SSHRC only).
• Additional Agency funding for students who already hold a master’s or doctoral scholarship (NSERC only).

Travel and Subsistence Costs

Eligible Expenses

Travel and subsistence costs (meals and accommodation) include reasonable out-of-pocket expenses for field work, research conferences, collaborative trips, archival work and historical research, for the grantee, research personnel, students and colleagues working with the grantee, and visiting researchers.

• Air travel must be claimed at the lowest rate available, not to exceed full economy fare.
• Travel cancellation insurance.
• Travel health insurance for research personnel who do not receive any such benefits from their institution and/or other sources (NSERC and CIHR only).
• Safety-related expenses for field work, such as protective gear, immunizations, etc.
• Entry visa fee (for grantees and/or research personnel) when required for the purpose of research.

Child care expenses while a nursing mother or single parent is travelling.

• The eligible cost for a single parent is limited to overnight child care costs incurred while the grantee is travelling.
• The eligible cost for a nursing mother who is travelling with a caregiver is limited to the customary cost of child care.

CIHR only

The eligible cost for a nursing mother who is travelling with a caregiver and a child under two years of age is limited to travel and accommodation costs up to a maximum of $1,000 for the traveling caregiver, in lieu of child care expenses.

NSERC and CIHR

Relocation costs for eligible research personnel and their immediate family members:

• Economy airfare; or
• Cost of land travel, up to the equivalent of economy airfare.

Non-Eligible Expenses

• Commuting costs of grantees and associated research personnel between their residence and place of employment, or between two places of employment.
• Passport and immigration fees.
• Costs associated with thesis examination/defence, including external examiner costs.
• Reimbursement for airfare purchased with personal frequent flyer points programs.

Sabbatical Leave

Eligible Expenses

• Costs related to a vehicle necessary for field work (with prior institutional approval; the vehicle must be licensed and insured during the sabbatical period).
• Direct research expenses, including research assistance, bench fees and field work expenses, when supported by appropriate documentation.
• Transportation costs to move research equipment or material to and from the sabbatical location.
• Travel costs to attend conferences.
• The costs of travel between the home institution and the sabbatical location, limited to one return trip ticket, except in unusual circumstances (NSERC and CIHR only).

Non-Eligible Expenses

• Costs of transporting research personnel to and from a grantee's sabbatical location for supervisory or academic purposes.
• Costs of transporting the grantee to the home institution for supervisory or academic purposes.
• Living expenses.

Equipment and Supplies

For computers and electronic communications, refer to the section titled “Computers and Electronic Communications.”

Eligible Expenses

• Research equipment and supplies. See table for additional information regarding eligible and non-eligible expenses for stationery and office supplies. 
• Travel costs to visit manufacturers to select major equipment purchases.
• Transportation costs for purchased equipment.
• Extended warranty for equipment.
• Brokerage and customs charges for the importation of equipment and supplies.
• The costs of training staff to use equipment or a specialized facility.
• Maintenance and operating costs of equipment and vehicles used for Agency-supported research.

Non-Eligible Expenses

• Insurance costs for equipment, research vehicles.
• Costs of the construction, renovation or rental of laboratories or supporting facilities.

Computers and Electronic Communications

Eligible Expenses

• Computers, modems, and other hardware and software required for the research.
• Monthly charges for the use of the Internet from the institution or the home, only when this service is required for the purpose of research and not normally provided by the institution free of charge.
• Cellular phones and personal digital assistants (PDA, e.g., BlackBerry, Palm Pilots, Pocket PC) when they are necessary for data collection and with adequate justification.

Non-Eligible Expenses

• Standard monthly connection or rental costs of telephones.
• Connection or installation of lines (telephone or other links).
• Voice mail.
• Library acquisitions, computer and other information services provided to all members of an Institution.
• Cellular phone or personal digital assistants (PDA, e.g., BlackBerry, Palm Pilot, Pocket PC) rental or purchase, including service plans, long distance or local charges, unless they are necessary for data collection.

Dissemination of Research Results

Eligible Expenses

• Costs of developing Web-based information, including Web site maintenance fees.
• Costs associated with the dissemination of findings, i.e., through traditional venues as well as videos, CD-ROMs.
• Page charges for articles published, including costs associated with ensuring open access to the findings (e.g., costs of publishing in an open access journal or making a journal article open access).
• Costs of preparing a research manuscript for publication.
• Translation costs associated with dissemination of findings.
• Costs of holding a workshop or seminar, the activities of which relate directly to the funded research (including non-alcoholic refreshments or meal costs).

Services and Miscellaneous Expenses

Eligible Expenses

• Recruiting costs for research personnel, such as advertising and airfare for candidates, etc.
• Costs for safe disposal of waste.
• Costs for the purchase of books or periodicals, specialized office supplies, computing equipment and information services not formally provided by the institution to all its academic and research staff.
• Costs involved in providing personnel with training and/or development in novel techniques required for the conduct of the research project.
• Hospitality costs (non-alcoholic refreshments or meals) for networking purposes in the context of formal courtesy between the grantee and guest researchers and research-related activities in the context of assemblies that facilitate and contribute to the achievement of the research objectives (e.g., grantee meeting with partners and stakeholders).
• Costs of membership in professional associations or scientific societies if necessary for the research program/project.
• Monthly parking fees for vehicles specifically required for field work and only for month(s) when field work was conducted.

Non-Eligible Expenses

• Costs of alcohol.
• Costs of entertainment, hospitality and gifts, other than those specified above such as regular interactions with colleagues from the institution and personnel meetings.
• Costs related to staff awards and recognition.
• Education-related costs such as thesis preparation, tuition and course fees.
• Costs related to professional training or development, such as computer and language training.
• Costs involved in the preparation of teaching materials.
• Costs of basic services such as heat, light, water, compressed air, distilled water, vacuums and janitorial services supplied to all laboratories in a research facility.
• Insurance costs for buildings or equipment.
• Costs associated with regulatory compliance, including ethical review, biohazard or radiation safety, environmental assessments, or provincial or municipal regulations and by-laws.
• Monthly parking fees for vehicles, unless specifically required for field work.
• Sales taxes to which an exemption or rebate applies.
• Costs of regular clothing.
• Patenting expenses.
• Costs of moving a lab.