Non-Profit

Allocating Salaries to Program Services

Dividing staff costs between direct mission work and administrative overhead.

Account NameTypeDebit ($)Credit ($)
Program Services: EducationExpense (+)8,000.00-
Management & General ExpenseExpense (+)2,000.00-
Wages PayableLiability (+)-10,000.00

💡 Accountant's Note

Donors look at the 'Program Expense Ratio.' This entry ensures costs are accurately attributed to the mission vs. management.

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