Indirect Costs

Question: Since COVID, many of our classes and support groups have been held virtually. Staff are facilitating from the hospital but participants are in the community. I've been counting the hours as "in unit" is this the correct way to record the indirect cost?

Recommendation: The "in unit" rate would be the best rate since it is the hospital’s resources that are being used to host the event. The community based rate assumes that most of the indirect costs would be born by an outside facility. In the case of virtual, it’s the hospital bearing the costs.

Please Take Note: The information provided does not constitute legal or tax advice. The material is provided for informational/educational purposes only. Please consult with counsel regarding your organization's particular circumstances.