If you’re like most nonprofits, you spend an extra 8 to 12 hours each pay period calculating grant allocation for your funding reports. It’s intense work that requires sifting through complex (and error-prone) spreadsheets, pulling out the right data, and making sense of it for the report.
It also means you’ve spent as much as 30% of your week using your funding to justify how you’ve used your funding. Over the course of a year, that could be as much as 300 hours!
But what if you could manage grant allocation with the click of a button?
IDI’s Time Bank integration software can help automate grant allocation for nonprofits. With a single click at the end of the pay period, Time Bank can perform precise calculations based on where your employees worked each pay period. It can also allocate vacation time, sick time or other PTO to an administrative account or spread it among grants.
Does Automated Grant Allocation Really Work?
Nonprofits are sometimes skeptical that automated allocation of employee’s salaried and hourly earnings can really be done—they’ve been burned by payroll vendors who made a promise they never delivered on. The problem is that most payroll systems can’t allocate exactly to the penny or handle complex calculations related to non-grant activities like paid time off. Sometimes they can provide “fixed” or permanent allocation, but your employees don’t spend the same amount of time on grants from pay period to pay period.
For automated grant allocation to work, you need a system that addresses every aspect that spreadsheet calculations are supposed to cover. Time Bank can easily manage these kinds of requirements.
How Does Time Bank Work?
Each pay period, Time Bank dynamically calculates your prorated project earnings against your salary. Just enter your actual time to grants in a time-and-attendance system and Time Bank processes the prorated hours or earnings, then transfers the results to payroll.
Based on the number of hours charged to different labor codes in the pay cycle, Time Bank calculates the hourly rate using your pay period salary amount. This percentage allocation maintains your labor distribution without affecting your actual earnings when you work more (or fewer) hours than a standard workweek.
Time Bank also includes an audit report that provides employee earnings for verification and approval before processing payroll.
So stop spending hundreds of hours of funding on justifying how you spend your funding. Get back to your mission, and leave the hard calculations to Time Bank!