Fiscal Sponsor Organizations

Hi Jacob! I’ll start with the obligatory “they are not admin fees, but rather admin cost share (or similar)” 😉

We use Mazlo to automate the admin cost share process, moving funds from the program account to our primary account. Prior to Mazlo, we automated Journal Entries in QuickBooks to do the same.

For the debit to the program, we have an account code called “Fiscal Sponsorship Shared Admin Cost”.

For the credit to our core operating revenue account, we have the following account codes/structure:

NOPI CORE REVENUE
Interest Earned
Onboarding
Fiscal Sponsor Shared Cost Revenue

These accounts do appear on the PNL as revenue, so it is important to deduct them from total revenue to avoid double-counting income.

Unless you only do Model F (maybe Model C?) and charge actual fees. If any revenue is not the result of an internal transfer, it can be treated as actual revenue.

I hope this is helpful!