direct costs


Also found in: Dictionary, Thesaurus, Medical, Legal, Encyclopedia.

direct costs

Construction costs that are readily identifiable,such as labor,materials,and construction management fees. Contrast with indirect or soft costs which cover an allocation for overhead plus all expenses spent away from the construction site, such as legal, accounting, permitting, and construction period interest.Sometimes called hard costs.
References in periodicals archive ?
Note, however, the use of the term direct costs above.
Meanwhile, direct costs would be fully reimbursed (100-20 model, changed to 100-25 by the Research Council).
Or we could adjust our overall pricing so our gross sales are higher, and maybe reduce our direct costs.
Costs related to Extra Work for worker's compensation insurance and performance and payment bonds were moved out of overhead and made a reimbursable direct cost.
The identification and accumulation of direct costs by contract is a vital part of the accounting system.
The direct costs include, among other things, logistics costs, call centre costs and replacement battery costs.
Average per-person direct costs were generated for overall expenditures and for each of the following four cost categories: 1) ambulatory care, 2) emergency department and inpatient services, 3) prescriptions, and 4) other costs (i.
In addition, the Service noted that the SSCM is a method for allocating indirect costs that qualify as MSC and does not apply to costs that are direct costs.
Specifically, if you are submitting an application with direct costs in each year of $250,000 or less, use the modular budget format described in the PHS 398 application instructions.
According to the Statement of Federal Accounting Standards Number 4, Managerial Cost Accounting Concepts and Standards for the Federal Government, direct costs are costs that can be specifically identified with an output.
The government's position is that a contractor's IR & D costs can no longer be charged as an overhead or indirect cost item, and must be charged as a direct cost, once the contractor obtains a contract that either explicitly or implicitly requires that IR & D effort.
The new rules will inevitably mean some direct costs for paper producers.