Joint activity definition
/What is a Joint Activity?
A joint activity is any action associated with a fundraising activity that also can be associated with other functional activities. For example, the management, program, or membership development functions of a nonprofit entity might also engage in joint fundraising activities, such as a direct mail campaign, telemarketing campaign, or a newsletter.
Accounting for a Joint Activity
A joint activity may incur a variety of costs that are not specifically identifiable with a single activity, which are referred to as joint costs. Joint costs are to be allocated between the fundraising activity and programs or the management and administration area, as may be appropriate. Such an allocation is only possible when the activity accomplishes either program or management and general functions; if not, the costs must be assigned entirely to the fundraising activity.