Interpal running costs – Q&A

1. What is considered an admin/running cost and why are they needed?

This is defined as anything that helps Interpal to run as a charity or deliver its life-saving and improving work, from office rent to logistical costs in the field. The work of any charity is impossible without running and admin costs as we would otherwise not be able to raise funds, deliver aid or operate legally and in compliance with UK laws (being audited independently for example).

 

2. How does Interpal cover its admin/running costs?

• • As a UK-registered charity, Interpal receives Gift Aid from the UK government, which contributes toward these costs
  • Interpal also has an admin fund that its donors often donate toward to help cover these costs and support the general day-to-day running of the charity
  • Non-specified funds may also be used for running costs if need be, but when a donor specifies which project or area they want their funds to go, Interpal will not use these funds for admin/running costs

 

3. How much does Interpal take from my donation to contribute toward admin/running costs?

Zakat donations are 100% applicable, as are all specified donations. A small amount may be taken from other general donations to deliver projects, for example logistics to deliver aid, however these costs are also considered charitable from an Islamic standpoint as they facilitate the ability to distribute aid (see question 5). Despite this, our admin costs are among the lowest in the sector.

 

4. Why does Interpal pay its staff?

Providing the highest level of quality in our work is paramount to us, and unfortunately, the need is so great in Palestine that we require full-time, highly skilled staff operating in the UK and overseas to ensure that our work is delivered to the highest standard. In keeping with our theme of holistic, multifaceted support for Palestinians, we have created opportunities for employment within Gaza, Lebanon and Jordan for the many Palestinians who work for, and with, Interpal.  Therefore, a large proportion of our staff costs can be considered charitable and all staff costs are Islamically sound.

 

5. What does Islam say about admin/running costs and paying staff with charitable funds/Zakat?

Allah (swt) explains in Surah At-Tauba (9:60) that Zakat money is eligible to be spent on several types of individuals, including (among others) the poor, destitute, the indebted and “those in charge thereof”, i.e. the officials entrusted with the collection and administration of Zakat funds.

 

6. I saw that Interpal spends a lot on admin/running costs and paying its staff. Why is that?

Without context, it may appear to some that our spending against our income is disproportionate. As per the above, our charitable income on our accounts also includes donations directly toward our admin/running costs (so even though these funds are donated for admin, it is part of our ‘charitable income’), and similarly, much of our admin/running costs are charitable as they involve directly delivering the aid which is islamically sound. For this reason, the figures without their full context are misleading. For clarification, we are happy to have members of the public ask about these costs in the interest of full transparency, which we champion. As mentioned, some costs are also necessary to comply with UK law, such as covering legal fees and for auditing.

 

7. How can I help ensure that the full amount of my donation reaches where I want it to?

You would simply need to specify where you would like your donation to go and we would not deduct from it. In the case that a donor spends a large or full amount on a project, there will inevitably be admin/running costs for delivery, which we can inform you of and you can cover or contribute to this amount separately. Donating unwanted funds from interest, for example, to our admin fund also helps keep these costs down.