What is "cost sharing" and how does it work?

• Cost sharing is any cost of a project not paid by the sponsor. It can be mandatory (required by the sponsor) or voluntary (offered or performed by the University). When cost sharing is referred to in any way in the project budget or narrative (mandatory or voluntary), a separate general cost sharing account will be established by the Contracts and Grants Department at the time the sponsored account is established. That cost sharing account number should be used when making all University expenditures applicable to the project which will not be paid for by the sponsor.