How do I calculate indirect costs for my project?

How do I calculate indirect costs for my project?

To calculate indirect costs, first identify all overhead expenses that aren't directly tied to a specific project.

What types of expenses are considered indirect costs?

Indirect costs can include utilities, administrative salaries, and office supplies that support multiple projects.

Is there a formula to allocate these costs to specific projects?

Yes, you can use a cost allocation method, like the percentage of direct costs or square footage used.

Can you give me an example of how to apply this?

Sure! If your total indirect costs are $10,000 and direct costs are $50,000, you would allocate 20% to each project.