Research applications: What you need to know about project allowances and direct costs

New agreement between Universities Denmark and six large private foundations will affect applications for research funding.

Vice-dean for Research Poul Nissen emphasizes the importance for researchers to be familiar with the new guidelines for project supplements and direct project costs. Photo: AU Photo, Jens Hartmann Schmidt.

Earlier this year, Universities Denmark and Denmark's largest private research foundations entered into an agreement that means the foundations will now contribute more to the direct costs of projects, and thereby contribute to more sustainable finances at the universities.

The increased contribution will take the form of the so-called project allowances, and the parties to the agreement have published a set of guidelines. You should be familiar with these guidelines when applying for external funding for a research project.

Project allowances are made available on the basis of FTEs for research assistants, PhD fellows, postdocs and fixed-term project group leaders.

Apply correctly and apply for all costs
Poul Nissen, vice-dean for research at NAT, emphasises how important it is that researchers be familiar with the new guidelines for project allowances and direct project costs.

"It’s important that we at Nat apply for project allowances and that we do so correctly and on time. Allowances can’t be adjusted later on if you discover that you were actually entitled to a larger amount," he says, and adds: "There’s only one loser in that case, and that’s us.”

To ensure better funding of research projects in the future, Poul Nissen believes it is also important to be aware of all project-related expenses that can be included in the budget.

"We also need to remember to apply for coverage of the direct costs that are not covered by the project allowance, like   a TAP salary, or a service provided by a core facility or similar. It’s important that we get as close as possible to covering the actual costs of the project – it’s the only way we can maintain and scale robust research activity and research infrastructure. All the universities and the foundations agree on that. An application with an underfunded budget can easily seem like a poorly planned project," he says.

 The departments and the faculty have therefore prioritised providing the necessary support and guidance for the application process, adds the vice-dean.

To ensure that as many related costs as possible are included in the applications to the private foundations, a budget template has been prepared that calculates project allowances and contains other helpful functions.

Contact your local funding support office to gain access to the budget template.

How to ensure that all costs are included in your budget:

  • Prepare a detailed budget and plan your research project meticulously so all categories of direct costs are taken into account and covered to the extent possible.
  • Include project allowances in your applications. It is an important and individual responsibility to structure the application in a way that supports project allowances - and thereby support the entire research environment in the best way possible.
  • Keep up to date: Stay informed about updates and guidelines from the department and foundations to ensure that you can follow the guidelines, meet requirements and avoid administrative rejections.
  • Contact the administration: If you have any questions or need help understanding how the new rules affect your specific project, please contact your local funding support office.

Will this affect your application?

The new guidelines apply to applications for research projects under DKK 50 million in open calls to the following foundations: 

  • The Novo Nordisk Foundation
  • The Villum Foundation
  • The Carlsberg Foundation
  • The Velux Foundation
  • The Lundbeck Foundation
  • The LEO Foundation
  • TrygFonden - (has in the meantime accepted the agreement)