Discovering The True Cost Of Programs

For some time now the perception that a non-profit with a high overhead cost was inefficient has provided a disincentive for non-profit organizations to figure out the true cost of their programs. Recently non-profit evaluaters like GuideStar, Charity Navigator and BBB Wise Giving Alliance  have been advocating for eliminating overhead ratio as a measure of effectiveness.  The federal Office of Management and Budget recently implemented rules requiring governments at all levels to provide at least 10% of the grant or contract total for indirect costs. Even absent this shift in attitude, it … Read more