FY27 Provisional Employee Benefit (EB) and Vacation Accrual (VA) Rates

MIT has received approval from the Institute’s cognizant federal agency to charge the following provisional employee benefit (EB) rates and provisional vacation accrual (VA) rates for fiscal year 2027, beginning July 1, 2026.
 
Please note, provisional rates are temporary and may be adjusted in the future when MIT and ONR complete negotiations of fixed rates for FY27. Awards charged the provisional rate at the time of award may need to be adjusted based on the fixed rates.

Fiscal Year 2027 Provisional EB/VA Rates

Employee Benefits

On-campus

27.2%

Off-campus

25.6%

Reduced (<50%)

8.4%

Vacation Accrual

On-campus

9.9%

Off-campus

12.9%

These rates will be available for use in KC and SAP beginning today. 
 
Proposals created today in KC will reflect the new rates. Proposals that have routed prior to the change through KC will not be returned back solely to update the rates at this time. If returned for revisions, the rates should then be synced to current rates and your budget justification updated. Sample budget justifications reflect the new rates.
 
Please note, should an award come in for a proposal that was submitted with the old rates, the rate in effect at the time the award is received will be applied.

Contact your RAS contract administrator (CA) or ra-help@mit.edu if you have any questions.