Overheads and Support Services Clause Samples
The "Overheads and Support Services" clause defines how indirect costs and administrative support expenses are handled within a contract. It typically outlines which overhead costs—such as utilities, office space, or management salaries—can be charged to the project, and may specify a percentage or method for calculating these charges. This clause ensures that both parties understand how general business expenses related to the project are allocated, preventing disputes over what constitutes reimbursable overhead and clarifying the financial responsibilities of each party.
Overheads and Support Services. The costs of overheads and support services are charged to those that benefit from the supply or service in accordance with the costing principles of the CIPFA Service Reporting Code of Practice 2019/20 (SeRCOP). The total absorption costing principle is used - the full cost of overheads and support services are shared between users in proportion to the benefits received, with the exception of Corporate Costs. These are costs relating to the council’s status as a multifunctional, democratic organisation, the cost of discretionary benefits awarded to employees retiring early and impairment losses chargeable on Assets Held for Sale.
Overheads and Support Services. The costs of overheads and support services are charged to those that benefit from the supply or service in accordance with the costing principles of the CIPFA Service Reporting Code of Practice 2012/13 (SeRCOP). The total absorption costing principle is used - the full cost of overheads and support services are shared between users in proportion to the benefits received, with the exception of: • Corporate and Democratic Core - costs relating to the Council’s status as a multifunctional, democratic organisation. • Non Distributed Costs - the cost of discretionary benefits awarded to employees retiring early and impairment losses chargeable on Assets Held for Sale. These two cost categories are defined in SeRCOP and accounted for as separate headings in the Comprehensive Income and Expenditure Statement, as part of Net Expenditure on Continuing Services.
Overheads and Support Services. The costs of overheads and support services are charged to those that benefit from the supply or service in accordance with the costing principles of the CIPFA Service Reporting Code of Practice 2016/17 (SeRCOP). The total absorption costing principle is used - the full cost of overheads and support services are shared between users in proportion to the benefits received, with the exception of: • Corporate Costs- costs relating to the Council’s status as a multifunctional, democratic organisation and the cost of discretionary benefits awarded to employees retiring early and impairment losses chargeable on Assets Held for Sale. This is a new heading from 2016/17 onwards in the Comprehensive Income and Expenditure Statement, within the net cost of services, to reflect the revised presentation of financial statements as required by the Code of Practice 2016/17. This replaces the previous headings of Corporate and Democratic Core and Non Distributed Costs.