Rex says
Money math without the spreadsheet headache. Plug in your numbers and I'll show you exactly where the dollars land.
Try a scenario
Click to load — tweak from there.Inputs
Result
Allocated to program services
$58,500
Allocated to management & general
$22,500
Allocated to fundraising
$9,000
Input percentages summed (should be 100)
100
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How to use this
- 1Enter shared cost to allocate ($).
- 2Enter program share (time, sq ft, or headcount) (%).
- 3Enter admin (m&g) share (%).
- 4Enter fundraising share (%).
- 5Read your allocated to program services on the right — it updates as you type.
- 6Hit Share to keep the scenario or send it to someone.
About this calculator
Form 990 Part IX requires every nonprofit to report expenses across three functional categories: program services, management and general, and fundraising, and shared costs like the executive director's salary, rent, IT, and utilities need a reasonable, documented allocation methodology rather than an arbitrary guess. This calculator takes a shared cost and splits it based on allocation drivers you provide, either time percentages from a time study, square footage for occupancy costs, or headcount, and shows the resulting dollar amount in each of the three functional buckets. Consistent, documented methodology matters because auditors and the IRS expect you to apply the same logic across all shared costs, not switch methods conveniently to make the program ratio look better.
Worked example
Using the values the calculator loads with:
Inputs
- Shared cost to allocate: 90000 $
- Program share (time, sq ft, or headcount): 65 %
- Admin (M&G) share: 25 %
- Fundraising share: 10 %
Results
- Allocated to program services: $58,500
- Allocated to management & general: $22,500
- Allocated to fundraising: $9,000
- Input percentages summed (should be 100): 100
What each field means
Inputs
- Shared cost to allocate ($)
- The shared cost to allocate used in the calculation, measured in $. Starts at 90000 $ so you have a working example on load.
- Program share (time, sq ft, or headcount) (%)
- The program share (time, sq ft, or headcount) used in the calculation, measured in %. Starts at 65 % so you have a working example on load. Accepted range: 0–100 %.
- Admin (M&G) share (%)
- The admin (m&g) share used in the calculation, measured in %. Starts at 25 % so you have a working example on load. Accepted range: 0–100 %.
- Fundraising share (%)
- The fundraising share used in the calculation, measured in %. Starts at 10 % so you have a working example on load. Accepted range: 0–100 %.
Results
- Allocated to program services
- Returned as a money amount in US dollars and shown as the headline result. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Allocated to management & general
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Allocated to fundraising
- Returned as a money amount in US dollars. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
- Input percentages summed (should be 100)
- Returned as a whole number. It recalculates instantly whenever you change an input, so you can compare scenarios without reloading.
FAQ
What allocation method should I use for rent?
Square footage occupied by each function is the standard driver for rent, utilities, and occupancy costs. If your program staff occupy 6,000 of 10,000 total square feet, allocate 60% of rent to program, adjusted for any shared common space split proportionally.
What about the executive director's salary?
Time studies are the standard: track or reasonably estimate the percentage of the ED's time spent on program oversight, general administration/management, and fundraising activity over a representative period, then apply those percentages consistently for the full fiscal year.
Does the IRS require a specific methodology?
No single mandated formula exists, but Form 990 instructions require the allocation to be reasonable and consistently applied, and auditors will ask you to document and defend your methodology, especially if your program ratio looks unusually high or low relative to peer organizations.
Can allocation percentages change year to year?
Yes, if the underlying facts change, like a staff reorganization shifting time spent, but you should be able to explain why the change happened. Swapping methodology purely to improve your ratio without an underlying operational reason is the kind of inconsistency auditors flag.
Accuracy and limitations
- Results are estimates before tax, fees, and inflation unless an input explicitly covers them.
- Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.
- This is educational maths, not financial advice. Check anything contractual with the lender or your accountant.
Related tools
Cite this calculator
Writing about this topic? Grab a citation — every link helps keep these tools free.
RevenueLab. (2026). 990 Functional Expense Split Calculator. Retrieved from https://www.revenuelab.fyi/toolbox/functional-expense-split
<p>Source: <a href="https://www.revenuelab.fyi/toolbox/functional-expense-split" target="_blank" rel="noopener">990 Functional Expense Split Calculator — RevenueLab</a> (2026).</p>
Source: [990 Functional Expense Split Calculator — RevenueLab](https://www.revenuelab.fyi/toolbox/functional-expense-split) (2026).