The National Science Foundation (NSF) defines participant support costs (PSC) as “direct costs for items such as stipends or subsistence allowances, travel allowances and registration fees paid to or on behalf of participants or trainees (but not employees) in connection with meetings, conferences, symposia or training projects.”
Participants perform no work or services for the project or program other than for their own benefit. A participant is not involved in providing any deliverable to the university or a third party. The expenses may be paid for directly or as a reimbursement to the individual.
While participant support is provided by a number of federal agencies and other sponsors, NSF has the most comprehensive policies governing the budgeting, spending and reporting of these funds.
Proposal Preparation
Proper categorization and budgeting of participant support costs in a proposal is important for proposal review and subsequent award management.
- Review program guidelines to determine whether PSC can be included in the budget. Agencies vary in how they consider PSC.
- If allowed, describe how the participant support and associated costs will directly benefit the project.
Include only costs that directly support participants such as:
- Subsistence amounts to be paid directly to participants, including REUs, should be budgeted and paid as stipends, not as salary and benefits.
- For NSF proposals, items such as incentives, gifts, souvenirs, t-shirts, and memorabilia must be explained in the budget justification, and will be scrutinized by NSF.
- Speakers and trainers are generally not considered participants, and their costs should not be included under PSC unless the primary purpose of their attendance at the event is to learn and participate.
Do not include as participant support costs any of the following:
- Salary and benefit costs for individuals responsible for developing, organizing and presenting the conference/workshop.
- Support costs such as facility rental, catering, supplies, or media equipment rental.
- Payments to research subjects/participants.
- F&A is not allowed on participant support costs. PSC should be excluded from the modified total direct cost base for the F&A calculation.
Award Management
- Participant support costs (PSC) should be identified within the award or approved budget. NSF will identify such funds specifically as participant support costs. Other agencies may use another cost category such as stipends.
- PSC are restricted and must be accounted for separately from the other award costs. The sponsored programs team will establish a separate grant for awarded PSC costs to ensure they are categorized correctly and no F&A is charged. The department/PI should use the PSC grant for any PSC-related expense transactions.
- Payments to participants, including REUs, should use one of the following methods:
- Stipend payment through the Miscellaneous Payment process in Workday. Active Ohio State employees cannot be paid through this method.
- For ongoing REU participants, appointment through HR as a student fellow/trainee.
- Rebudgeting from the PSC category into other categories requires prior sponsor approval.
- Any unexpended PSC are returned to the sponsor at award close-out. PSC funds cannot be used to offset over-expenditures in other categories or on other non-PSC grants. However, funds remaining in another budget category (e.g., salaries or supplies) on the main grant can be used to offset an over-expenditure of PSC grant costs.
Unbudgeted PSC
Adding unbudgeted PSC after an award is made.
- Funds may be rebudgeted into the PSC category without sponsor approval (unless the rebudget results in a change of scope).
- Investigators must discuss any proposed changes with the sponsored programs team to ensure the rebudgeting plan complies with program guidelines.
- If appropriate, the sponsored will set up a new grant to house the PSC funds.
Principal Investigator Responsibility
The principal investigator (PI) and project staff should become familiar with the sponsor’s participant support cost requirements and are expected to ensure compliance with those requirements. In addition to the financial restrictions and guidance noted above, the PI/department is also required to retain records detailing:
- Criteria by which participants in the program were selected.
- Copies of applications of selected participants, with documentation as to how they met the selection criteria. As noted above Ohio State employees cannot be supported as participants in a training program/conference/meeting funded by PSC.
- List of program participants and documentation of their participation in the program.
Additional Information
- Participant support costs see NSF’s Proposal and Award Policies & Procedures Guide (PAPPG), Part I, Chapter II.D.2.f(v) (Line F on the Proposal Budget).
- NSF proposals for conferences, symposia and workshops, see NSF’s PAPPG, Part I, Chapter II.F.8.
- NSF’s Research Experience for Undergraduate (REU) program see the REU Program Overview.
- NIH proposals for meetings, conferences and workshops.