Australia’s charity sector is one to be proud of.

We are thousands of organisations, collectively working to make the world a better place.

But for too long, when measuring impact, for-purpose organisations have been expected to present a pie chart that looks something like this:

In an effort to be transparent, the sector has continued to build on the narrative that money invested in programs is good but as little as possible should be spent on overhead costs. This has not been helped by a media happy to perpetuate this myth.

Our sector is the only sector which publicly competes to show who invests in their organisation the least.

And it’s a challenge for funders too. If the sector is financially stretched, struggling to invest in talent, technology, and sustainability, then the impact we all care about is at risk.

The 'Pay What It Takes' (PWIT) initiative is a call to action for funders and for-purpose organisations to recognise and address the full cost of delivering impactful work.

PWIT believes that there are multiple ways to achieving change in this space, whether it’s talking transparently about indirect costs, reframing overheads, or advocating for full cost or untied funding. 

On this site you’ll find a suite of resources designed to help fundraisers and funders reframe the narrative and challenge practices around overhead costs.

Let’s work together to break this cycle. Sign the pledge and join us as we reframe overhead costs and build a stronger, more impactful for-purpose sector.

Co-chairs

Lisa AllAn
The Smith Family

DENISE CHENG

FREQUENTLY ASKED QUESTIONS

  • The Pay What It Takes (PWIT) initiative is a movement of individuals and organisations working collaboratively to address the critical challenges faced by Australian for-purpose organisations, focusing on the crucial but often underfunded area of overhead costs. We conduct research, raise awareness of the issue, and provide resources for those in the for-purpose sector seeking funding as well as those distributing funds, who are looking to tackle this systemic challenge and create change.

  • In 2024, the PWIT Coalition and PWIT Charity Coalition joined forces to address the critical issue of underfunded overhead costs in the for-purpose sector. Their collaboration aims to transform funding practices, ensuring sustainable and impactful operations for charities by advocating for more comprehensive and realistic funding models that cover all necessary expenses.

  • We define overhead costs, or indirect costs, as costs incurred by an organisation that cannot be directly and easily attributed to a specific project. Indirect costs include administration, fundraising, IT, finance, human resources, learning and development, measurement and evaluation.

    It should be noted that the research indicated neither “overhead costs” nor “indirect cost” are terms often used by the wider public.

  • If you opt-in, your name will be added to indicate that you show support for this movement. The more we can join together and publicly say so, the better. In the future, you will be contacted with updates, the latest research, events and actions you can take to help reframe overhead costs and build a stronger, more impactful for-purpose sector.