Common use of Indirect Cost Clause in Contracts

Indirect Cost. Also known as “overhead,” any cost of doing business other than direct costs. These costs include utilities, rent, administrative staff, officers’ salaries, accounting department costs, and personnel department costs, which are requisite for general operation of the organization but are not directly allocable to a particular service or product.

Indirect Cost. Also known as “overhead,” any cost of doing business other than direct costs. These costs include utilities, rent, administrative staff, officers’ officer's salaries, accounting department costs, costs and personnel department costs, which are requisite for general operation of the organization organization, but are not directly allocable to a particular service or product.