Labour costs pertain to the time spent directly on carrying out the project, including project management and administration. During project implementation, the maximum amount that can be included in the expense budget is the actual hourly wage multiplied by the number of hours spent on the project. The hourly wage for a month’s wages is calculated as the annual gross salary divided by 1,640. The amount listed as the labour costs may not exceed the actual annual gross salary.
Direct external costs
Other costs that fall under the expense budget are direct external costs. These may include costs associated with project auditing, travel expenses, hiring of an external consultant such as a design agency or having user studies conducted by an external supplier.
Indirect costs associated with the project can be included in the expense budget and may pertain to social costs related to participating personnel, electricity, heating, cleaning, maintenance, insurance, office supplies, phone expenses, secretarial expenses and leasing costs if the project management/collaborative partners are working on the project in leased accommodations.
The project manager and collaborative partners can calculate the indirect costs based on a standard rate that may be no more than 20 percent of the project’s total labour costs. The rate used and indirect costs claimed must all be documented.
We would also like to receive a specified funding budget for the project, stating the amount of own financing, expected subsidy from the Design-Driven Innovation Program and any public funding. Other public funding may originate from Innovation Norway or the Research Council of Norway.
The financing is divided among the project manager and any collaborative partners.