# How the ideal charity would spend its money, according to the public

- Link: https://fundraising.co.uk/2016/06/24/ideal-charity-spend-money-according-public/
- Published: 2016-06-24T09:50:44+01:00
- Author: Melanie May

**The ideal charity would spend 14% of its income on fundraising and 58% on beneficiaries,
according to a [nfpSynergy](http://nfpsynergy.net/) report into public views on 
charities.**

 

nfpSynergy questioned a representative sample of 1,000 adults aged 16+ in the UK
for [_How would the ideal charity spend its income?_](http://nfpsynergy.net/free-report/how-should-ideal-charity-spend-its-income),
and found that the public is happy for charities to spend 14% of their income on
each of fundraising, campaigns, and running costs.

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The report also questioned the public’s deciding factors when it comes to giving,
and found that fundraising costs come last on the list, despite last summer’s media
attention on charities’ fundraising activities. The biggest deciding factor on whether
to support a charity or not was the number of beneficiaries, at 34%, followed by
CEO pay at 31%, charity income at 20% and finally fundraising costs at 16%.

 

The survey also questioned which activities and staff members the public considers
to count as part of a charity’s administration costs, which as fundraising costs
and which as money spent on the cause. It found that many members of the public 
seem to misunderstand what comes under these classifications, with 24% regarding
a magazine giving people information about a medical condition they suffer from 
as fundraising, and 20% considering a person campaigning to change the law also 
as fundraising.  69% also see a charity CEO as an administrative cost.

 

The report states that: “Although the sector is generally open with its accounts,
the public still craves more transparency or a more ‘managed transparency’”, and
recommends a greater level of clarity and openness around financial matters by presenting
supporters with key facts from a charity’s accounts rather than directing them to
an annual report, or to the Charity Commission website for information.

 

It also recommends that charities ensure they talk about their decisions on where
and how they spend their money with donors to ensure that it is they who are setting
the agenda, and also ensure that communications are very clear about how each element
of work contributes to the aims and objectives of the charity.

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 * **[New Lloyds Bank Foundation £1 million funding programme to tackle domestic and sexual abuse](https://fundraising.co.uk/2016/08/02/new-lloyds-bank-foundation-1m-funding-programme-tackle-domestic-sexual-abuse/)**(
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