article thumbnail

7 Ways Your Nonprofit Can Build a Strong Financial Foundation in 2024

Blackbaud

Calculate Your Indirect Cost Rate Complete and correct cost allocation is key to the financial stability of your organization. If you aren’t including indirect costs—such as salaries or rent—into your funding requests or program planning, you are setting yourself up for stress later in the year.

article thumbnail

Breaking Down the Budget

Grant Geek

Staying within the guidelines of the grant can sometimes include the maximum or minimum funding requests, cost per participant, and maximum caps on administration costs and indirect. Fringe includes the insurance and benefits for the staff. Indirect costs may be either fixed or variable.

Budget 52
Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Your Unrestricted Funds Need Stewardship, Too

Blackbaud

Many don’t cover operating costs or have a small allotment for indirect costs such as salaries, insurance, and utilities. So, the organizations behind the grants use the reporting requirements to make sure the funds go towards addressing those impact areas.

Funding 96
article thumbnail

The Nonprofit Administration Dilemma: How Much Should You Spend on Fundraising?

Get Fully Funded

These are also known as indirect costs, expenses that cannot be tied directly to programs. Studies show nonprofits often have different ways of categorizing expenses, with many claiming too much for indirect or overhead costs, while others attribute expenses to programs that should be considered management and general expenses.

article thumbnail

Finding Funding for Research

Peak Proposals

It means realizing that if you are doing data collection in the field, you may need to budget for the purchase of some kind of transportation for field staff, including associated costs like fuel and insurance. NICRA covers indirect costs (facilities and administrative costs) and fringe benefit expenses.

Funding 52