Think of your favourite charity. Now imagine that they reported overhead costs (admin, salaries, etc.) of 40% or more. Would you still hold them in such high regard? If not, you may have fallen victim to the overhead myth. For a long time, overheads, or the portion of funds used on operating costs, have taken centre stage in the evaluation of nonprofit efficiency and effectiveness. Recently this notion has been dragged out and put under scrutiny, and it's not faring well.