Salary Cap Guidance


While operating under a continuing resolution, all legislative mandates that were in effect in FY 2021 for NIH grant, cooperative agreements, and research and development contract awards remain in effect. This includes restricting direct salary support to the salary limitation set at Executive Level II of the federal pay scale.

The Office of Personnel Management released new salary levels for the Executive Pay Scale that became effective in January 2022. Grant applicants and contract offerors can use the new salary limitation for Executive Level II of $203,700 when preparing grant applications and contract proposals. Recipients may rebudget funds to accommodate the current Executive Level II salary level if adequate funds are available in active awards and the salary cap increase is consistent with the institutional base salary.

Once the Department of Health and Human Services Appropriation for FY 2022 is enacted, NIH will publish the annual Notice of legislative mandates to provide information on any statutory provisions that limit the use of NIH grant funds in FY 2022.

See full Guide Notice for additional details and several examples of salary application requests, salary cap calculations, and adjustments.