I'mBoardDocs
Board OntologyFinance

Programme Services

Total expense of delivering the mission in the period, across every programme — the salaries, benefits, occupancy, supplies and contracted services allocated to programme activity. The first of the three FUNCTIONAL expense classes FASB ASU 2016-14 requires; the natural categories (payroll, occupancy, travel) sit underneath it in the allocation, not beside it in the statement. — Finance KPI anchored to FASB ASU 2016-14, Presentation of Financial Statements of Not-for-Profit Entities.

Rogue ID: finance.np_program_services_expense Type: Currency Domain: Finance

Definition

Total expense of delivering the mission in the period, across every programme — the salaries, benefits, occupancy, supplies and contracted services allocated to programme activity. The first of the three FUNCTIONAL expense classes FASB ASU 2016-14 requires; the natural categories (payroll, occupancy, travel) sit underneath it in the allocation, not beside it in the statement.

Formula

Expenses allocated to programme activity for the period, including the shared costs apportioned to programmes under the organisation’s documented allocation method.

Why it matters

The single largest number on a nonprofit statement, and the one every funder, rating and Form 990 reader goes to first.

How to interpret

Read with finance.np_program_expense_ratio and with the allocation method itself — a high ratio produced by an aggressive allocation is not a strong result.

  • finance.np_total_functional_expenses
  • finance.np_program_expense_ratio
  • finance.np_program_service_fees

Source

FASB ASU 2016-14, Presentation of Financial Statements of Not-for-Profit Entities · section: ASC 958-720 (functional expense classification) — published 2016-08-01.

Why does this cite FASB ASU 2016-14, Presentation of Financial Statements of Not-for-Profit Entities? Read the ontology methodology for the published vs editorial tier system, attribution rules, and dispute process.

Stage relevance

Company stagePriority
Pre-SeedCore
SeedCore
Series ACore
Series BCore
Series C+Core
PublicCore

Suggested for stages: Pre-Seed, Seed, Series A, Series B, Series C+, Public.

Default owning functions

  • Finance
  • Programs

Machine-readable

On this page