NIH Salary Cap 2019
Effective January 6, 2019, the Executive Level II salary (previously set at $189,600) was increased to $192,300. For awards issued in years that were restricted to Executive Level II including competing awards issued in FY2019, if adequate funds are available on active awards, grantees may rebudget to accommodate the most current Executive Level II salary level of $192,300. However, sponsors will not provide additional funding to cover the increase in the salary cap threshold for existing awards.
Faculty Effort Certifications (FECs) for the academic cycle 9/16/2018-3/15/2019 were recently released. Consistent with what was done last year, eFECS will apply the old cap of $189,600 for the entire 09/16/2018 - 03/15/2019 FEC cycle.
Departments have two options:
- Rebudget to accommodate the new higher salary cap beginning January 6, 2019 (provided that funds are available in existing awards), which will result in the FEC salary cap cost sharing being incorrect as it appears on the FEC. To determine the amount of cost share required for the higher (new) salary cap, you may utilize the Salary Cap Calculator for adjusting an FEC that can be found on MAA website. This will require that prior to faculty certification, a manual adjustment be made to each budget subject to salary cap cost share on all FECs where the faculty’s earnings exceed the new higher cap amount (S192,300 cap amount adjusted to the faculty’s Avg. paid FTE %.). FEC Coordinators should use the Free Form Comment section to indicate that the department is choosing to apply the DHHS salary cap Executive Level II at the current amount of $192,300 as of January 2019 for the budget(s), and list each budget number.
- Continue to accommodate the previous lower salary cap ($189,600), which will result in the FEC salary cap cost sharing being correct as it appears on the FEC.
FECs for the calendar cycle of 01/01/2019 – 06/30/2019 will use the new salary cap threshold ($192,300) for the entire cycle when calculating the salary cap cost sharing.
For more information visit NIH website, https://grants.nih.gov/grants/guide/notice-files/NOT-OD-19-099.html