A commonly asked question but to find the answer, one has to visit individual charity websites or refer to the annual review from the charity commission website.
Below is a listing from research conducted in April 2010. Each charity was contacted and their reply is posted below.
In the last financial year 75.3% of our expenditure was spent on activities to end cruelty to children. You can find more detail of this in our financial report (page 5).
Duty Enquiries Officer NSPCC Safeguarding Information & Library Service
BRITISH RED CROSS
In a typical year we would expect to spend between 10 and 15% of our general income on governance, management and central support costs, which will include things like finance, human resources, IT, planning and project management. These figures also include costs associated with running the charity in accordance with statutory regulations. A detailed outline of expenditure can be found within our Annual Report.
Supporter Care Team.
BRITISH HEART FOUNDATION
The British Heart Foundation (BHF) makes sure every penny we receive is spent on things that we believe could make a real difference to you and your family. That means out of every £1: – 56p is invested in pioneering research to help fight heart disease – 27p is invested in prevention and care to benefit patients and their families – 16p is invested in generating income – 1p is invested in keeping the charity working efficiently and effectively.
For every £1 given to Oxfam 80p is spent directly on our emergency, development and campaigning work; 11p is spent on support and governance; and 9p is invested to generate future income. Support and governance includes all the other costs associated with running the charity. For example, the HR and finance teams who recruit staff and ensure funds are in place to respond to emergencies, the cost of monitoring our work to check that the money is used effectively, and other legal requirements such as producing our Annual Report. Supporter Relations Oxfam GB
At least 80p in every pound we receive from sponsorship contributions are spent on supporting and delivering our development work to improve the lives of children and communities in the world’s poorest countries. Programme support costs which are included in the 80p (such as project staff and transport) are essential to the effectiveness of our work. Some of our development projects such as School Linking and Development Education are partly based in the UK. Such projects involve British children as well as youngsters in developing countries, and aim to improve the lives of both. They comprise a maximum of 5% of our expenditure. The remaining 20p is spent on fundraising, salaries and administration in the UK. Such spending is essential to the long-term viability of our work and to raising even more funds, but we try to keep it as low as possible.
Supporter Relations Coordinator
75 pence out of every pound goes directly to helping children.
As per Unicef website.
GREAT ORMOND STREET HOSPITAL CHILDREN’S CHARITY
Over the last five years the average cost of fundraising has been about one sixth (16-17 per cent). That is, every pound we spend has brought in five or more pounds after costs. On average, 83 pence in every pound raised goes to the hospital. This is money we have to spend to bring in money. If we did not spend the 17 pence we would not get the 83 pence.
Our targets are set over 2 years so the latest up to date review is for year end 2008. Our total income is almost £68 Million. The breakdown of this is, Governance £0.1m (1%),UK Support costs £2.9m (4%), UK campaigning and education £5.4m (8%), Raising funds £9.8m (14%),Overseas Activities £49.3m (73%)
In the last financial year 75.6% of our expenditure is classed as direct charitable. This supports our partner projects in India, East Africa and the UK and the work they do with street children and young people. This money is also fundamental in furthering the overall development of these projects, so that they can be as effective as possible in reaching both the individual project objectives and the overarching objectives of railway children, which ultimately have demonstrated the capacity to alter the lives of so many children.
CHILDREN IN NEED
For every penny donated, a penny goes to projects helping disadvantaged children and young people in the UK. We are able to make this promise because the charity uses its investment income and Giftaid to cover all operational costs.
Database Information Assistant BBC Children in Need
just over 82% of our expenditure was on the actual cause in 2008. However, our expenditure does fluctuate with big project payments when we build things crossing the year end. A more stable figure could be derived from the percentage of our income which is spent on non actual cause, which would be 15%, with 85%being eventually spent on cause.
SAVE THE CHILDREN
For every £1 that we received from a supporter we take 85p and put it straight to our work with children. We use the remaining 15p to cover all of our organisation’s overheads and fundraising. For every £1 that we spend on fundraising we generate a further £5 to put towards our work with children. Each year we have managed to reduce our overheads and so put a greater proportion of our supporters’ money towards our charitable work. To do this we have to look at every aspect of the organisation and make sure that it is running as efficiently as possible. Our absolute priority is reaching vulnerable children with much needed support.
Supporter Care Adviser
Supporter Innovation and Development
For the financial year 2008-2009 we spent 80% of the money we raised, excluding retail, on beating cancer. The rest of our income was spent on three areas. Raising funds to ensure money continues to be available to spend on research year after year. Managing supporter events such as Race for Life. This is to ensure they are as successful as possible and to encourage those supporters to get involved with us in other ways. The third area we spent money on is sharing our work and achievements with our supporters and the public. This helps reassure people their support is really making a difference and increases people’s awareness of us and what we do. We constantly work on keeping our costs down and maximising the amount we can put into research. We look for cheaper and more efficient ways to do things across the charity and in the last year have made savings worth several million pounds.
Supporter Contact Executive
For every £1 we spend on fundraising, we raise £4.48. Out of every £1 we spend 82p goes towards our work with children and young people. This rises to 94p if trading and property development costs(both of which are selffinancing) are excluded.
Annual Review 2009.