How is matching or cost sharing calculated?

The calculation of matching or cost sharing varies based on how the requirement is stated. For example, a statute may specify that the non-federal share may not exceed a certain percentage of total project costs, or that for every dollar of Federal funds a recipient must contribute “y” amount. The match applies in relation to both direct and indirect costs and, if an award is broken down by activities to the combined amounts for those activities—not separately by category. The Notice of Grant Award will specify the recipient share the base, whether total approved project costs or the Federal funds, to which the matching or cost sharing ratio or percentage should be applied.