TESTEd Finances

First things first: Please remember that only 80% of the costs are funded by the EU!

What costs are eligible in TESTEd?

In the TESTEd project, we are talking about actual costs. This means costs that were actually incurred by the beneficiary during the TESTEd project’s runtime in connection with the proposed project’s actions. The costs must be necessary for the project’s implementation, they must be declared under one of the budget categories given and they must be identifiable, verifiable, and recorded in the beneficiary’s accounts.

Travel costs can be either calculated as actual costs or as unit costs. However, as these costs are usually calculated by the universities as costs actually incurred, the EU also calculates them like actual costs in line with the beneficiary’s usual practices on travel. If a beneficiary calculates travel costs as unit costs, please use the method set out in the Grant Agreement, Annex 2a.

Volunteers are paid using unit costs. This would include possible funds for teachers. Volunteer costs are clearly set out in the Grant Agreement, Annex 2a (p. 211). The number of units must also be identifiable and verifiable, supported by records and documentation.

Volunteer costs (Daily rates):

• Ireland: 157 €
• Germany, Finland: 131 €
• Spain, Portugal: 78 €

What do the different cost categories include?

• A. Personnel costs
  • i. Employees or equivalent: It is very important to declare the employees time spent working in the project in accordance with the Grant Agreement (see Grant Agreement p. 19, see time sheet template)
  • ii. Costs for natural persons working under direct contract other than an employment contract
  • iii. Volunteers (i.e., persons who freely work for an organisation, on a non-compulsory basis and without being paid): Volunteer costs are calculated as unit costs set out in the Grant Agreement, Annex 2a (p. 211). Unit-costs are dependent on country. Teachers would be grouped as volunteers!
• B. Subcontracting costs
• C. Purchase costs
  • i. Travel, accommodation, and subsistence
  • ii. Equipment, infrastructure, or other assets (declared as depreciation costs, calculated based on the costs actually incurred and written off in accordance with beneficiary’s usual accounting practices). Costs for renting or leasing equipment are also eligible if they are cheaper than actual purchases and do not include financing fees.
  • iii. Other goods, works and services, such as consumables, supplies, promotion, dissemination, translations, publications, certificates, …
• D. Other cost categories
  • i. Financial support to third parties as grants or prizes. Unless otherwise specified in the Grant Agreement, the financial support provided by the beneficiaries may take any form (e.g., a lump sum). Nevertheless, for the purpose of the EU grant, they remain actual costs. The support to third parties must follow transparent selection procedures and must include the following:
    • maximum amount of financial support for each third party,
    • criteria for calculating the exact amount of the financial support (there is no specific calculation method given by the EU),
    • different types of activity that qualify for financial support,
    • the persons or categories of persons that will be supported and
    • the criteria and procedures for giving financial support.
• E. Indirect costs (calculated as a flat-rate of 7% of the eligible costs)

Can I re-allocate my budget between different cost categories?

The budget breakdown may be adjusted without an amendment by transfer between participants and between budget categories, IF this does not imply a substantive or important change to the description of the action. An amendment must be provided for a re-allocation of funds for:

• changes to the budget category for volunteers. This would include the re-allocation of budget for participating teachers.
• the addition of amounts for subcontracts not provided for in Annex 1

Nevertheless, as the coordinator (RUB) must provide a financial overview to the EU, it is vital to inform us in case you plan on re-allocating budget.

When will we get the next payment from the EU?

The EU schedules three payments over the course of a project – the pre-financing payment (which has already been paid), the interim payment and the final payment.

The interim payment will be 548,267.43 € for all beneficiaries. Starting December, we have 60 days to provide the EU with a periodic report. Then the EU will take 90 days to check the periodic report and calculate the accepted EU contribution. Here, the EU will also consider the continuous reporting on the Funding & Tender portal. However, if the statement on the use of the previous prefinancing payment shows that less than 70% was used, the amount set out in the Data Sheet will be reduced by the difference between the 70% threshold and the amount used. Reductions can also occur due to substantial errors or serious breaches of obligation. To document the costs actually incurred, it is therefore important to:

• keep accounting documents supporting your declaration for the project (e.g., time records for staff on monthly basis) and
• check declared costs in final report for the project carefully with your bookkeeping.

The final payment will then be a payment of balance at the end of the project.

Is it possible to compensate experts for their work in the project (i.e., feedback on syllabus, involvement in lecture series or CPD courses, student support during research exchange)?

It is possible to compensate experts via the cost category Personnel costs (A.2/3). However, depending on the prior work contract of the expert, it might not be possible to reimburse them with money from their employing institution. We will check with the project’s PO concerning reimbursement from other project partners.

Is it possible to combine mobility funding (e.g., BIP) for the students from the partner universities and teachers in the CPD course?

Information will follow after June 26th.