02/02/2016 - Avoid Finance Errors - Letter from Robert-Jan Smits

The Director General for Research and Innovation, Mr Robert-Jan Smits, has written an open letter for all FP7 and H2020 Participants.

The letter points out that some very basic mistakes are still being made in the calculation of costs claimed from FP7 and H2020 Projects.

He would like to emphasise four key points in particular, relevant to both FP7 and Horizon 2020 projects, which will help to reduce some recurring errors:

1. For most projects, the time spent on the project must be recorded, generally by timesheets (*except if, under Horizon 2020, the staff member works 100% on the project and in case of some SME lump-sum grants).

2. The costs claimed must be those actually incurred on the project - and certainly not those budgeted for the project! (** there are exceptions when flat rates or averages are used).

3. Pay particular attention to the rules on subcontracting and remember that you must never sub-contract work to another member of the consortium.

4. Please implement audit recommendations to avoid problems at a later date.

To read the full letter please click here.