The Supplies & Materials budget category applies to consumable supplies, regardless of cost, and equipment with a unit value of under $5,000 or a useful life of under two years. Supplies should be listed by general type such as chemicals or glassware.

General office supplies, such as paper, staples, pencils and pens and non-capital equipment such as laptop computers, are generally not allowable on federal grants unless they can be directly allocated to specific project and are fully explained in the budget justification. This budget category can be supported by general descriptions of the type of supplies included and a best estimate of their cost.