Time and Effort Certification Template
TLDR
Personnel costs are typically the largest expenditure on a federal grant, and they are also the most commonly questioned in audits. The audit risk is not that employees worked on the wrong things - it's that the documentation to support what they worked on doesn't exist, or doesn't exist in the right form. This template gives you the certification language, allocation methodology, and documentation structure that satisfies 2 CFR 200.430.
What 2 CFR 200.430 Requires
Under 2 CFR 200.430, compensation for personal services charged to federal awards must be based on records that:
- Reflect the actual activity of the employee
- Account for the total activity for which the employee is compensated by the organization
- Are supported by a system of internal controls
- Are incorporated into the official records of the organization
- Are reasonably reflect the employee’s activity
- Are certified by the employee or supervisory official with first-hand knowledge of the work
The standard is not a timesheet. It is a certification that the proportion of effort charged to the federal award reasonably reflects the proportion of total compensated effort the employee devoted to that award’s activities.
Key distinction: Effort reporting documents the percentage of time an employee devoted to an award relative to their total compensated effort - not the hours worked. An employee working 50 hours per week whose 20 hours on the grant project represents 40% of total effort should certify 40% effort to the grant, regardless of the total hours logged.
Part 1: Certification Language
Use this language on all effort certification forms. Adapt as needed for your organization’s letterhead and signature blocks.
CERTIFICATION OF EFFORT - [Organization Name]
Award Information
- Federal Award Identification Number (FAIN): ___
- Federal Agency: ___
- Program Name: ___
- Award Period of Performance: ___ to ___
- Certification Period (specify month or quarter): ___
Employee Information
- Employee Name: ___
- Employee Title: ___
- Department / Program: ___
- Supervisor: ___
Effort Allocation
I certify that the percentage of effort listed below represents a reasonable estimate of the actual effort I devoted to each activity during the certification period. The allocation reflects my total compensated effort across all activities for which I received compensation from [Organization Name].
| Activity / Funding Source | % of Total Compensated Effort |
|---|---|
| [Federal Award - Program Name] | ____% |
| [Second funding source, if applicable] | ____% |
| [General organizational activities] | ____% |
| Total | 100% |
I certify that to the best of my knowledge the information above is accurate and complete.
Employee Signature: ___ Date: ___
Supervisor Certification (required if employee cannot self-certify):
I have first-hand knowledge of this employee’s work activities during the certification period and certify that the effort allocation above reasonably reflects actual effort.
Supervisor Signature: ___ Date: ___
Time and Effort Certification Template
A 2 CFR 200.430-compliant effort reporting template for nonprofits with federal grants - covering personnel cost documentation, certification requirements, multi-source allocation, and a pre-audit documentation checklist. Delivered by email.
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