In the School of Medicine, for example, this includes base pay and clinical components, if any. Stanford's practices in submitting proposals recognize and respect the policies, guidelines and practices of the involved agency. NIH will adjust these amounts to reflect a Salary Cap, if any. The salary cap is used to compute the maximum allowed rate for an individual pay period. In the examples below, the salary cap is hypothetical.
Salary caps in place when funds are awarded are applicable.
The percentage of effort charged to a sponsored project where a salary cap is applicable cannot be applied to any more than the maximum capped rate for the pay period. If the salary cap increases during the life of a competitive award, i.e., subsequent non-competing funding is awarded during a Government Fiscal Year in which the cap is higher, Principal Investigators may elect to rebudget awarded project dollars to pay salaries to the higher level. No additional funds will be provided by the agency for this purpose. When an individual's salary exceeds the salary cap established by the funding agency, the difference between that individual's actual salary and the maximum amount allowed under the cap for that percent of effort must NOT be charged to another federal award. The difference should be charged to a non-sponsored account.