Fundamentals for Nonprofits

Strategic Cost Allocation

Understanding What it Takes to Advance Community Health

NFF has worked with community-based organizations (CBOs) across the country to understand and accelerate partnerships with healthcare payors and providers to improve community health. Our decades of work with CBOs has demonstrated to us that fair and ample funding is critical to growing and sustaining these types of partnerships. But to know what is “fair and ample” requires a firm understanding of costs. It can be difficult to calculate what it truly takes to deliver effective services. This resource introduces core concepts and guiding questions to help nonprofit leaders understand costs and explore the connection between costs and mission goals.