Research and Sponsored Projects Manual (RSP)

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Effective: 3/1/1983

Revised: 11/1/2015

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RSP 303: Proposal Budget Preparation

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To ensure that proposal budgets are accurate and meet university and federal policies and standards

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Office for Research and Sponsored Projects Administration (ORSPA)

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Budgets in all proposals submitted for external funding and processed per RSP 302, “Proposal Processing and Submission”

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All proposal budgets submitted for external funding must comply with ASU policy. Proposal budgets must also comply with requirements of the sponsoring agency to which they are being submitted, unless those requirements contradict ASU or Board of Regents policy. ASU complies with the federal standards set forth by the U.S. Office of Management and Budget. See RSP 101, “General Research Policy.”

Certain expenses may ultimately be determined to be unallowable if budgets are not in compliance (allowable) with federal authoritative guidance and the standards set forth below. To be permitted on sponsored projects, costs must be:

  • reasonable (Do they reflect the action that a prudent person would have taken under like circumstances?)
  • allocable (Are they correctly assignable to the particular cost objective in accordance with the relative benefits received or some other equitable relationship?)


  • allowable (Are they permitted on the particular project pursuant to the sponsor’s terms and/or applicable regulations?).

For more information on how RSP policies are implemented during each phase of a project, see the ORSPA Web site.


For authoritative references, see RSP 101, “General Research Policy.”

For information about proposal processing, see RSP 302, “Proposal Processing and Submission.”

For information about personnel, see RSP 502–01, “Personnel Employed on Sponsored Projects.”

For information about professional services, see RSP 503–03, “Consultants, Lecturers and Other Professional Services for Sponsored Projects.”

For information about subrecipient agreements, see RSP 503–05, “Subaward Agreements.”

For information about travel, see RSP 504, “Travel.”

For information about equipment and property, see RSP 505, “Equipment and Property.”

For information about cost sharing, see RSP 506–03, “Cost Sharing Documentation for Sponsored Projects.”

For information about charging direct and indirect costs, see RSP 508–01, “Charging Direct and Facilities & Administrative Costs to Sponsored Projects.”

For information about facilities and administrative (F&A) costs, see RSP 508–02, “Facilities & Administrative Costs.”

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