“RACCE”Raising earthquake Awareness and

Copping Children’s Emotions:

Management and Financial Issues

NATURAL HISTORY MUSEUM – UNIV. OF CRETE (NHMC)

Project co funded by the DG Environment of the EU Grant Agreement No. 070401/2010/579066/SUB/C4

Main budget categories

DIRECT COSTSDIRECT COSTSStaff costsStaff costsTravel & SubsistenceTravel & SubsistenceSub-contractSub-contractEquipmentEquipmentOther costsOther costs

INDIRECT COSTS INDIRECT COSTS

Project co funded by the DG Environment of the EU Grant Agreement No. 070401/2010/579066/SUB/C4

Directly linked Directly linked and necessary for projectand necessary for project

Reasonable Reasonable and comply with principles of sound and comply with principles of sound financial management (“value for money”)financial management (“value for money”)

CompliantCompliant with applicable tax and social legislation with applicable tax and social legislation

Actually Actually incurredincurred during during lifetime of actionlifetime of action

FunctioningFunctioning to financial and analytical to financial and analytical accounting accounting systemsystem in each country in each country

Without Without any profit any profit

Eligible Costs

Raising earthquake Awareness and Copping Children’s Emotions

Project co funded by the DG Environment of the EU Grant Agreement No. 070401/2010/579066/SUB/C4

Staff costs:Staff costs:

• Calculated on the basis of the actual gross salary or Calculated on the basis of the actual gross salary or

wages plus obligatory social charges and any other wages plus obligatory social charges and any other

statutory costsstatutory costs

• Time spent for the project must be recorded on a Time spent for the project must be recorded on a

daily basis by means of daily basis by means of time sheettime sheet

• Own contribution –Overtime workOwn contribution –Overtime work

Raising earthquake Awareness and Copping Children’s Emotions

Project co funded by the DG Environment of the EU Grant Agreement No. 070401/2010/579066/SUB/C4

Keep Time Sheets (a model will be supplied by CO) to report staff cost per month and person. Should be sent to CO and originals kept by the partner for the case of request by EU

We strongly recommend to keep daily diary with the works of the project

Staff changes are acceptable. Except for contracting staff all other changes should officially be reported to CO

Raising earthquake Awareness and Copping Children’s Emotions

Travel and SubsistenceTravel and Subsistence

DETAILS REQUIRED ON:DETAILS REQUIRED ON:

• reason/ purpose reason/ purpose

• destinations destinations

• number of personsnumber of persons

• travel coststravel costs

• subsistence costs (e.g. use of per diem)subsistence costs (e.g. use of per diem)

Project co funded by the DG Environment of the EU Grant Agreement No. 070401/2010/579066/SUB/C4

Distinction should be made between

transportation and subsidence costs:

Transportation (flight, taxi to get to the

work place, visa, travel insurances).

Concerning this, the use of cheapness

principle and the internal rules of your

organization have to be taken into

consideration

Raising earthquake Awareness and Copping Children’s Emotions

For the justification documents

(reimbursement based on kilometers, or

single expense accounts) it is necessary

that you are able to present the related

supporting documents. Supply copies

to CO with summary in English (as in all

categories)

Project co funded by the DG Environment of the EU Grant Agreement No. 070401/2010/579066/SUB/C4

Subsistence costs: they are referred to all the expenses of board, lodging and local transportation in the city of work where one stays for at least one night (if there is no overnight stay, these costs are subject to 50 % reduction)

there is a table of reference given by the Commission, that defines the maximum amounts for hotel and allowance (and that is advisable not to exceed with the justification documents)

Raising earthquake Awareness and Copping Children’s Emotions

EquipmentEquipment

• Relating to durable goods, clear description Relating to durable goods, clear description

of item required of item required

• Full estimated purchase costFull estimated purchase cost

• Participants shall apply Participants shall apply internal rules internal rules toto

calculate the eligible calculate the eligible depreciationdepreciation raterate

Sub-contracting Sub-contracting External assistanceExternal assistance

• Relate to purchase of services, Relate to purchase of services, notnot of goods of goods

• Necessary to make Necessary to make contractscontracts (a model will (a model will

be provided by CO)be provided by CO)

Other direct costsOther direct costs

other other directdirect costs not falling within another costs not falling within another

defined cost categorydefined cost category

((Except consumables (e.g. photocopies), Except consumables (e.g. photocopies),

bank guaranteesbank guarantees))

Indirect costs (overheads) (7%Indirect costs (overheads) (7% of total of total

amount of eligible amount of eligible direct direct costs)costs)

Costs that cannot be directly and exclusivelyCosts that cannot be directly and exclusively

attributed to the project, e.g.attributed to the project, e.g.

• communication costscommunication costs

• costs linked with buildingscosts linked with buildings

• administrative costs administrative costs

Project co funded by the DG Environment of the EU Grant Agreement No. 070401/2010/579066/SUB/C4

Refer to communication costs (telephone, mailing), costs linked with buildings (rent, heating, electricity, cleaning), administrative costs (office equipment, stationery, secretarial costs, photocopies)

These costs don't need to be justified with supporting documentation, but they must be identifiable and justifiable in the accounting system of the partner organization

Raising earthquake Awareness and Copping Children’s Emotions

Project co funded by the DG Environment of the EU Grant Agreement No. 070401/2010/579066/SUB/C4

Not foreseen in the ProjectNot foreseen in the Project

Excessive expenditure: lodging in luxury hotels, Excessive expenditure: lodging in luxury hotels,

business class ticketsbusiness class tickets

Interest chargesInterest charges

Provision on lossesProvision on losses

VAT (exception if the participant cannot recover VAT (exception if the participant cannot recover

the VAT paid under the project. Proof to be the VAT paid under the project. Proof to be

delivered)delivered)

Non Eligible Costs

Raising earthquake Awareness and Copping Children’s Emotions

Management of budget

First installment (40%): March 2011First installment (40%): March 2011Second installment (20%): beginning of Second installment (20%): beginning of

20122012Last installment (40%): after the end of the Last installment (40%): after the end of the

projectproject In order to close the project there is the In order to close the project there is the

need of need of prepaid invoices prepaid invoices by each partnerby each partner