A federal audit shows how poor grant documentation can become costly. A nonprofit faced $45,000 in unallowable costs and $1.5 million in payroll costs that could not be verified. Here's what 2 CFR 200.407–411 teaches grants professionals.

Understand composition of cost under 2 CFR 200, Sections 402–406. Learn how allowability, reasonableness, allocability, applicable credits, and total cost rules work together to support accurate federal grant accounting, compliance, and audit readiness.

Understand 2 CFR 200.400 and 200.401, the Uniform Guidance cost principles that decide which federal grant costs are allowable, reasonable, and audit-ready.

Navigating federal procurement under 2 CFR 200.320 means choosing the right method—informal, formal, or non-competitive—based on thresholds and circumstances. With changes coming in 2025, grant professionals must match methods to expenses, ensure fairness, and document every step for compliance.

Direct costs are expenses directly tied to a specific grant or project. They must be clearly identifiable and essential to the award's goals. Key examples include salaries for dedicated staff, equipment, and supplies. Consistency in cost classification is vital for compliance and avoiding audit issues.

Grants professionals often ask, "Can I charge this cost to my grant?" 2 CFR 200.403 outlines seven factors affecting cost allowability: necessary and reasonable, conformance to terms, consistent policies and treatment, GAAP compliance, no double dipping, and adequate documentation.

Misclassifying a partner as a subrecipient or contractor in federal grants can lead to audits, penalties, or lost funding. Use 2 CFR 200.331 to guide classification, document your decision, and apply the right oversight. Strong agreements, monitoring, and staff training protect compliance, funding, and your organisation’s reputation.

Intangible property like data, copyrights, and patents plays a key role in grant compliance. Understand your rights, limits, and responsibilities under 2 CFR 200.315 to protect your work, meet federal rules, and maximize the impact of your grant-funded efforts.

When a federal grant ends, unused supplies often get overlooked—yet they can trigger major compliance issues if mishandled. From laptops to medical kits, understanding what qualifies as “supplies” under 2 CFR and how to dispose of them properly can save your organization time, money, and risk. In this blog, we unpack the federal rules, upcoming threshold changes, and practical tips to stay audit-ready.

When a federally funded project ends, what happens to the equipment purchased with grant dollars? This blog breaks down the essential rules and best practices for equipment disposition under 2 CFR Part 200. Learn how to determine fair market value, handle compliance, and avoid costly mistakes when managing federally funded equipment.