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Old 07-12-2011, 03:01 PM   #58
Rathji
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Quote:
Originally Posted by Drury18 View Post
I completely understand where you are coming from and I do know that somethings cannot be easily measured or reported. Although when categorizing salaries, it can easily be cut and dry reported as a salary. Money going into research can be categorized as a general research expense.

However, I'm speaking more about when the money is put into a more general expense or overestimated (purposely) in some other area's so they don't show a surplus of money not being spent on the project and therefore be able to ask the donor for more. It's part of what lots of charities like to call stewardship. You create budgets with edited information showing the larger donor's how they are using all of the money or even running short so that they maintain or up their donation. Unfortunately, its not very uncommon for these projects to have information a little "fudged" in them so that they are showing the money is being used just to get more. The extra money is sometimes put into a general fund or worse, the person running the project is using it for parties to promote the iniative or to take employees out for extravagant lunches or spa days. It's basically a personal spending account for "Team Morale".
So charities and non-profit orgs shouldn't be concerned about team morale, taking people out to lunch or having a Christmas party or Staff Development days? That is only something that for-profit companies should worry about?

Unless you are claiming that they are bringing in $100 a person lunches to feed their staff, then that is a different story.
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