Fiscal Management

Use of Program Income Alternatives

This publication provides a chart listing four uses of Program Income Alternatives with detail explanations and use. Grantees or delegate agencies will find this chart useful when deciding or making decisions on the use of program income.

The following is an excerpt from the HHS Grants Policy Statement.

Alternative Use of Program Income


Added to funds committed to the project or program and used to further eligible project or program objectives


Deducted from total allowable costs of the project or program to determine the net allowable costs on which the Federal share of costs will be based


Uses all program income up to (and including) $25,000 as specified under the additive alternative and any amount of program income exceeding $25,000 under the deductive alternative


Used to satisfy all or part of the non-Federal share of a project or program