Personnel — Horizon Europe Unit Cost (A.6)

Calculation 1.1 What? If eligible under the Grant Agreement, the beneficiaries/affiliated entities may charge ‘Other personnel costs’.

Such cost categories exist currently only in a limited number of EU programmes (HE, SMP ESS, CUST/FISC):

− HE personnel unit cost (see Article 6.2.A.6 HE_Personnel unit costs)

− SMP ESS personnel costs based on time (see Article 6.2.A.6 SMP_ESS_Personnel unit costs based on time)

− SMP ESS personnel costs based on deliverables (see Article 6.2.A.7 SMP_ESS Personnel unit costs based on deliverables)

− Customs/Fiscalis personnel costs (see Article 6.2.A.6 CUST/FISC_Personnel unit costs)

1.2 Depending on the provisions of the specific personnel cost categories, they must be declared as actual costs (or any other cost type, e.g. unit cost, flat rate or lump sum).

1.3. The costs must comply with the eligibility conditions set out in each specific personnel cost category.

1.4 The calculation method will depend on the type of cost and the provisions of each specific personnel cost category.

A.6 HE Personnel unit cost

[additional OPTION for HE: A.6 For beneficiaries with personnel unit cost, the personnel costs under categories A.1-A.4 must be declared as unit cost and are eligible, if they fulfil the general eligibility conditions, are calculated as unit costs in accordance with the method set out in Annex 2a and comply with the conditions set out in Points A.1-A.4 for the underlying types of costs (personnel).]

1.1 **What?** This cost category will be inserted for all Horizon Europe types of action which are mixed actual cost grants (e.g. RIA, CSA, PCP/PPI, COFUND, ERC, EIC, EIT).

This cost category is optional in the sense that it is granted only on request. However, once the unit cost is approved, it must be used in all HE actions (i.e. new proposals submitted after the approval date and not yet signed grants under preparation; and including to calculate personnel costs for lump sum grants in the proposal's detailed budget table).

The approved unit cost is valid for at least two years. You may request an update to the unit cost amount, every two years after the approval date, until 31 December 2027. The updated unit cost will apply to all the beneficiary's Horizon Europe and Euratom proposals that are invited to grant preparation after the new approval date.

You may change your mind ONCE. After the approval you may, if needed, request to revert back to actual personnel costs (i.e. charging costs under categories A1 to A4), for all future grants signed after the unit cost is withdrawn (ongoing grants would not be impacted). Please be aware that if you revert back to actual costs, you will not be able to request again the use of the personnel unit cost for the rest of the MFF period 2021-2027.

For beneficiaries/affiliated entities that have selected this unit cost, they must (once approved) charge all their personnel costs under 'HE Personnel unit cost'.

This budget category replaces categories A1-A4 (A.1 Employees, A.2 Natural persons with direct contract, A.3 Seconded persons against payment, or A.4 SME owners and natural person beneficiaries) and covers the cost of all personnel that works on HE actions.

**What not?** Cost category A.6 can NOT be used to declare costs for personnel with other kinds of working relationships (e.g. staff provided by a temporary work agency must still be declared either as purchase of services or subcontracting).

1.2 The costs must be declared as unit costs, using the unit cost (daily rate) approved by the granting authority in accordance with the HE personnel unit cost authorising decision⁹ and set out in Annex 2a.

⁹ Decision of 15 January 2024 authorising the use of unit costs for personnel costs for actions under the Horizon Europe and Euratom Programmes.

The precise unit cost (daily rate, i.e. EUR/day) is not prefixed by the authorising decision. It must be calculated and approved for each beneficiary/affiliated entity organisation in the Portal Participant Register.

The formula for calculating the amount per unit (daily rate) is:

Amount per unit [daily rate] = {total staff costs of the beneficiary in the last closed full financial year¹⁰} divided by {annual work units in the last closed full financial year²} divided by {215 days}

The result is subject to a maximum cap per country.

{EUR 9 618 multiplied by the corresponding country-specific correction coefficient divided by 18 days}

The country-specific correction coefficient is the one for HE MSCA actions (see Horizon Europe Work Programme > Marie Skłodowska-Curie actions in force at the time of the approval).

You can make a test calculation by using the wizard available on the Portal.

In order to formally request the use of the personnel unit cost, the request must be submitted by the organisation's legal entity authorised representative (LEAR) through the Portal (by entering total staff costs in the last closed full financial year, number of annual work units and country of establishment). It must be supported by an audit certificate (template to be used) provided by a qualified approved external auditor which is independent and complies with Directive 2006/43/EC (or for public bodies: by a competent independent public officer. The amount approved will be accessible in the Portal Participant Register.

The granting authority may verify that the provided data in the audit certificate match those in the statutory annual accounts and/or other official documents on which the audit certificate was delivered (and correct it, if needed).

For more information concerning the unit cost validation procedure, see HE Personnel unit cost validation procedure.

1.3 The costs must comply with the eligibility conditions set out in Article 6.2.A.6, in particular:

− fulfil the general conditions for unit costs to be eligible (i.e. units used during the action duration, necessary, linked to the action, correct calculation, etc; see Article 6.1(b))

− be calculated in accordance with the method set out in Annex 2a

− be declared based on the number of day-equivalents for persons working on the action and

¹⁰ At the moment of the request for the unit cost (or the request for its update).

− comply with the specific conditions set out in Article 6.2.A.1-A.4 for the underlying types of costs. This means that costs can be declared in category A.6 only for personnel who have a working relationship with the beneficiary/affiliated entity falling under the categories A.1 Employees, A.2 Natural persons with direct contract, A.3 Seconded persons against payment, or A.4 SME owners and natural person beneficiaries. Since in HE in-kind contributions are eligible, cost category A.6 may also be used for seconded persons free-of-charge who have such a working relationship with a third party (e.g. an employee of a third party seconded free-of-charge to the beneficiary).

1.4 The costs must be calculated in accordance with the methodology set out in the authorising decision and Annex 2a.

The formula for calculating the HE personnel unit costs is:

{amount per unit [daily rate approved in the Portal Participant Register]} multiplied by {number of day-equivalents worked on the action}

The daily rate is fixed by the granting authority in the Participant Register, based on the rate requested by the beneficiary/affiliated entity (see above).

The calculation itself is automated by the IT system. The beneficiary/affiliated entity must only indicate the number of days worked on the action and the system will then correctly calculate the personnel costs (based on the parameters described above)

Horizontal 215-days ceiling

For HE Personnel unit costs, the horizontal ceiling (see Article 6.2.A.1) applies not only in case of work on multiple actions, but also where the person worked in only one EU grant during a given calendar year.

A.6 and A.7 SMP ESS Personnel costs

[OPTION 2 for European Statistics: A.6 ESS personnel costs based on time spent are eligible, if and as declared eligible in the call conditions, if they fulfil the general eligibility conditions and are calculated as unit cost in accordance with the method set out in Annex 2b and the following: {daily rate multiplied by number of actual days worked on the action (rounded up or down to the nearest half-day)}. The number of actual days declared for a person must be identifiable and verifiable (see Article 20). The daily rate is the rate of the pay grade set out in Annex 2b (or — for personnel without an applicable pay grade — the rate of the grade with the closest basic salary). A.7 ESS personnel costs based on deliverables (e.g. number of conducted interviews, number of translated pages) are eligible, if and as declared eligible in the call conditions, if they fulfil the general eligibility conditions and are calculated on the basis of the costs actually incurred (i.e. limited to the amount per deliverable, including social security contributions, taxes or other costs included in the remuneration, if they arise from national law or the contract) and the following: {amount per deliverable multiplied by number of deliverables produced for the action}.]

Eligibility conditions

Calculation

For these actions, the beneficiaries/affiliated entities may charge their personnel costs under ‘ESS personnel costs based on time’.

This budget category replaces categories A.1-A.5 and covers the cost of all personnel that works on SMP ESS actions based on time (i.e. not deliverables).

1.2 The costs must be declared as unit costs, using the individual unit cost salary grid (daily rates) agreed with the granting authority (see SMP ESS authorising decision and Annex 2a and 2b).

The precise unit cost (daily rates, i.e. EUR/day) is not prefixed by the authorising decision. It must be calculated for each grant and then entered into the unit cost table in Annex 2b of the Grant Agreement.

Decision of 6 April 2021 authorising the use of unit costs for eligible personnel costs for actions implemented by Eurostat.

For more information concerning the salary grid validation, see SMP ESS Unit cost grid validation procedure.

1.3 The costs must comply with the eligibility conditions set out in Article 6.2.A.6, in particular:

− fulfil the general conditions for unit costs to be eligible (i.e. units used during the action duration, necessary, linked to the action, correct calculation, etc; see Article 6.1(b)) and

− be declared for a person working on the action, based on time.

1.4 The costs must be calculated, for each person, in accordance with the methodology set out in the authorising decision and Annex 2a.

The formula for calculating the ESS personnel costs based on time is:

{amount per unit [daily rate depending on salary grid fixed in Annex 2b]}

multiplied by

{number of days worked on the action}

The daily rate is fixed by the granting authority, based on the salary grids of the beneficiary/affiliated entity in Annex 2b (see above).

A.6 Customs/Fiscalis personnel costs

A.6 Customs/Fiscalis personnel costs are eligible, if (and in as far as) declared eligible in the call conditions and if they fulfil the general eligibility conditions and are calculated as unit cost in accordance with the method set out in Annex 2a and the following: {daily rate multiplied by number of actual days worked on the action (rounded up or down to the nearest half-day)}. The number of actual days declared for a person must be identifiable and verifiable (see Article 20). The daily rate is the rate of the pay grade set out in Annex 2a (or — for personnel without an applicable pay grade — the rate of the grade with the closest basic salary).

1. Customs/Fiscalis personnel costs (A.X): Types of costs — Form — Eligibility conditions — Calculation 1.1 What? This cost category will be inserted for all CUST/FISC actions.

For these actions, the beneficiaries/affiliated entities may charge their personnel costs under ‘Customs/Fiscalis personnel costs’.

This budget category replaces categories A.1-A.5 and covers the cost of all personnel that works on CUST/FISC actions.

1.2 The costs must be declared as unit costs, using the individual unit cost salary grid (daily rates) agreed with the granting authority (see CUST/FISC authorising decision and Annex 2a and 2b).

The precise unit cost (daily rates, i.e. EUR/day) is not prefixed by the authorising decision. It must be calculated for each grant and then entered into the unit cost table in Annex 2b of the Grant Agreement.

For more information concerning the salary grid validation, see CUST/FISC Unit cost grid validation procedure.

1.3 The costs must comply with the eligibility conditions set out in Article 6.2.A.6, in particular:

− fulfil the general conditions for unit costs to be eligible (i.e. units used during the action duration, necessary, linked to the action, correct calculation, etc; see Article 6.1(b)) and

− be declared for a person working on the action.

Decision of 28 April 2021 authorising the use of unit costs for direct personnel costs for cooperation, collaboration and training actions under the Customs and Fiscalis programmes.

1.4 The costs must be calculated, for each person, in accordance with the methodology set out in the authorising decision and Annex 2a.

The formula for calculating the Customs/Fiscalis personnel costs is:

{amount per unit [daily rate depending on salary grid fixed in Annex 2b]}

multiplied by

{number of days worked on the action}

The daily rate is fixed by the granting authority, based on the salary grids of the beneficiary/affiliated entity in Annex 2b (see above).