As a nonprofit organization, you’re driven by your mission to make a meaningful impact on the world.
But your mission is fueled by outside funding—and that means you keep getting dragged away to wrangle time allocation across projects and submit funding reports. That’s a painful task that could take up to a quarter of your week on administrative work instead of your core mission.
Grant Allocation Can Put You at Risk
Most funding sources, including the government, require non-profits to accurately allocate salaried employees’ earnings in proportion to the grants or projects they work on within each pay period. The idea is to show funding sources exactly how much of their generosity is being used each pay period. It increases accountability, but it also creates a lot more work, and more risks.
For example, let’s say an employee gets paid $2000 every biweekly pay period and works 60 hours on Grant A and 30 hours on Grant B. Even though they worked 90 hours in a two-week pay period, they don’t get overtime since they’re salaried. So you would need to allocate the earnings proportionately across the two grants so that 66.7% of the salary would go to Grant A and 33.3% to Grant B. On top of that, any non-project time and PTO needs to be factored in correctly, as well.
Many nonprofit organizations calculate grant allocations in spreadsheet macros. But spreadsheets are notoriously difficult to manage accurately—you can often get rounding errors or a cell could be using an incorrect formula and you’d never know it. If you allocate manually, you introduce the potential for human error with every tap on the calculator, and it’s even more time-consuming than using spreadsheets.
After all that work, there’s no guarantee you’ve submitted an accurate report. Inaccurate reporting could draw the attention of auditors or risk your future funding.
But what if grant allocation could be managed for you with just the click of a button?
Automated Salary Allocation Gets You Back on Mission Fast
Clients are sometimes skeptical that automated salary allocation can really be done—they’ve been burned by other payroll vendors who said they could do it, and they’re not interested in getting burned again. Usually, the problem is that those payroll systems can’t allocate exactly to the penny or handle complications like paid time off. Or, they can provided “fixed” or permanent allocation functionality, but your employees vary the amount of time and grants they work on each pay period.
For automated grant allocation to work, you need a system that addresses every aspect that spreadsheet calculations are supposed to cover. IDI’s Time Bank application can easily manage these kinds of requirements.
Time Bank can free up 8 to 12 hours of your week by ditching grant allocation spreadsheets and providing accurate funding information in just seconds. With Time Bank, you can spend your time working on your core business instead of onerous busy work.
With Time Bank, you’ll get back to your core business fast.
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