Calculate the actual rate so you recover the full indirect costs your grants allow.
Indirect cost rate calculator that sizes your overhead recovery.
Calculate your nonprofit indirect cost rate using MTDC, total direct cost, or salary base, and project indirect recovery on a proposed grant.
1. Enter cost structure
CalculatorEnter rate type, base type, direct and indirect costs, and proposed grant details. Or load the sample scenario.
Indirect Cost Rate Calculator in the browser
The functional tool stays first: enter your cost totals and base type, review the rate, and only then scroll into the guide below.
This page runs in the browser and does not upload any data.
What this tool is built to solve
An indirect cost rate calculator divides allowable indirect costs by the chosen allocation base to produce the rate used for overhead recovery on grants.
Compare MTDC, TDC, and salary bases side by side to select the one that matches your NICRA.
Strip out entertainment, lobbying, and other 2 CFR 200 exclusions before dividing.
Key signals
The result cards explain how the rate compares to the de minimis threshold and what drives the numerator and denominator.
Decision support
Use these cards to move from the calculation into grant budgeting and NICRA discussions.
Detailed breakdown
The breakdown keeps the math explainable and export-ready.
Calculate the rate using MTDC, total direct costs, or direct salaries and wages to match your NICRA requirements.
Strip out entertainment, lobbying, and other costs deemed unallowable under 2 CFR 200 before computing the rate.
See how your calculated rate compares to the 10% de minimis rate available to organizations without a NICRA.
Enter a proposed grant budget and see the projected indirect cost recovery amount instantly.
How to use the indirect cost rate calculator well
This section is written for searchers, answer engines, and busy finance teams: direct definitions, practical steps, and concrete follow-up guidance.
A calculator that computes the indirect cost rate by dividing allowable indirect costs by the chosen allocation base (MTDC, TDC, or direct salaries) and projects overhead recovery on a proposed grant budget.
Grants managers, CFOs, federal award recipients, and finance teams at nonprofits who need to calculate or verify their negotiated indirect cost rate.
Selecting the correct base type, excluding unallowable costs from the indirect pool, and understanding whether the de minimis 10% rate would be more advantageous.
Four practical steps
Use the tool as a fast decision layer. The goal is to move from raw cost totals to a defensible indirect cost rate before your next grant proposal or NICRA negotiation.
Choose whether the rate is provisional, predetermined, fixed with carry-forward, or final, and pick the allocation base.
Input total direct costs, MTDC exclusions, direct salaries, and the total indirect cost pool for the fiscal year.
Remove entertainment, lobbying, and other costs that are unallowable under 2 CFR 200 from the indirect pool.
Review the computed rate, compare it to the de minimis threshold, and see projected recovery on a proposed grant.
What reviewers usually validate first
These are the areas teams usually discuss first once the indirect cost rate calculation is visible.
Confirm the allocation base matches the one specified in your NICRA or the one required by the cognizant agency.
Verify that entertainment, lobbying, fundraising, and other unallowable costs have been stripped from the indirect pool.
Ensure equipment, capital expenditures, and subaward amounts above $25,000 are excluded from the MTDC base.
Check whether the organization qualifies for the 10% de minimis rate and whether it would be more favorable than the calculated rate.
Confirm that the rate calculation method aligns with the requirements of the cognizant federal agency.
Verify that the same rate methodology is applied consistently across all federal awards in the fiscal year.
Built to close the gap between a formula and a defensible overhead rate
Most search results either define indirect costs or sell grant management software. This page solves the immediate job first: calculate the rate, see the grant-level recovery, and understand what it means before you open a larger compliance workflow.
The functional tool stays on top so users can solve the immediate problem before reading a guide.
The result cards explain what the rate means instead of leaving users with a raw percentage.
Ledger Summit can build richer indirect cost tooling later, but this page delivers value now.
Indirect cost rate calculator questions, answered directly
Written in short form so searchers can get a clear answer without digging through generic product copy.
An indirect cost rate calculator divides allowable indirect costs by a chosen allocation base (MTDC, TDC, or direct salaries) to produce the rate used for overhead recovery on federal and other grants.
Grants managers, CFOs, federal award recipients, and finance teams at nonprofits who need to calculate or verify their negotiated indirect cost rate.
MTDC excludes certain costs like equipment, capital expenditures, and subaward amounts above $25,000, while TDC includes all direct costs. MTDC is the most common base for federal awards under 2 CFR 200.
No. The calculator runs entirely in your browser and does not upload any data to a server.
Yes. If you need NICRA preparation support, multi-year rate tracking, or integration with your grants management system, Ledger Summit can build a custom version around your process.
Need this connected to a broader workflow?
Use the free browser tool first. If you need a richer model, reporting automation, or an internal production version, Ledger Summit can build the next layer around your process.
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