The following is a preliminary list of resources that might help you refine your SROI valuation process.
The Social Value Self Assessment Tool is designed to help users judge how well they are measuring and reporting on their social value, in line with the Principles of Social Value.
Industry wide calculators
Social Impact Calculator: estimates the economic social value of community development projects.
Grounded Solutions Inclusionary Housing Calculator: enables exploration of the connection between mixed-income housing development and local incentives in the housing sector.
UK Social Value Bank calculator: used by housing associations, councils, government departments, for-profit organizations and the National Lottery to measure uplift in wellbeing.
U.S.A. Financial Proxies
Indicator: Jobs Created at Directly Supported/Financed Enterprises: Total (IRIS PI3687)
Financial Proxy: Wisconsin Yearly Minimum Wage: $15,080 (minimum wage.org)
Rationale: We can assume that the jobs created by the new businesses will at least pay the minimum wage to their employees. By multiplying $15,080 by the total number of jobs created, we will get the approximate economic value of those jobs. For a more specific financial proxy based on occupation, see the Bureau of Labor Statistics.
Indicator: New Businesses Created: Total (IRIS PI4583)
Financial Proxy: The median income for individuals who were self-employed at their own incorporated businesses in Wisconsin was $43,432 in 2014 (U.S. Small Business Administration).
Rationale: We can assume that the new businesses created will at least have the same income as the businesses created in 2014 (which is the latest reference available to us). By multiplying $43,432 by the total number of businesses created, we will get the approximate total economic value of the new businesses.
Indicator: Full-time Employees: Minorities/Previously Excluded (IRIS OI8147)
Financial Proxy: The average wages by race and ethnicity in Wisconsin in 2016 were $65,493 for Alaska Native, $54,823 for Asian, and $46,641 for White (Data USA: Wisconsin). The numbers and ethnicities vary for each state of Wisconsin; for a more accurate value, visit the source and search by state.
Rationale: We can multiply the total jobs given to a minority group by the average wage to get the approximate total economic value of the jobs.
Indicator: Full-time Employees: Female (IRIS OI6213)
Financial Proxy: The average female salary for a full-time common job in Wisconsin is $46,170 (Data USA: Wisconsin)
Rationale: We can multiply the total jobs given to women by the average female salary to get the approximate total economic value of the jobs.
Indicator: Total Jobs Created by Women-Owned Businesses
Financial Proxy: Women-owned businesses employ over 8.4 million workers and generate $264 billion in payroll (U.S. Department of Labor Blog)
Rationale: If we divide the $264 billion payed in payroll by the 8.4 million of workers, it means that each worker is generating an average income of $31,429. Now, by multiplying this value by total number of jobs created by women-owned businesses, we get the approximate economic value of the jobs created by women-owned businesses.
Indicator: Microfinance: Interest saved from not using loan shark (Robin Hood)
Financial Proxy: Percent of interest saved * average loan amount
Rationale: Calculate the percent of interest saved by subtracting the percent interest your grantees typically charge on loans to women/minority/low income borrowers from the interest charged by loan sharks, which is approximately 100 percent.
By multiplying the percent of interest saved by the average loan amount, we get the average amount saved in interests per borrower. Then, we multiply the average interests saved per borrower by the total number of borrowers.
Indicator: Number of Housing Units Improved (PI058)
Financial Proxy: A change in living area square footage increases the appreciation by approximately 23 percent. Adding beds or baths increases the growth rate by approximately 15 percent. The average gain associated with an increase in effective year built is approximately 6 percent, although this may understate the full value of a property renovation. A change in lot size increases appreciation by approximately 5 percent (Property Renovations and Their Impact on House Price Index)
Rationale: Multiplying the average value of the units improved by the appreciation percent according to the type of improvements, we get the average value of appreciation per house. Then, we multiply the result by the total number of housing units improved to get the total value of the appreciation.
Indicator: Reduction in risk of dropping out of school
Financial Proxy: Every individual dropout cost Wisconsin more than $1,377 in 2011 (Maclver Institute)
Rationale: Home owners have less risk of having their children drop out of school. By multiplying the number of students in the community of home owners by the approximate cost of every individual dropout, we get the economic value of children not dropping out of school.
Indicator: Reduction in risk of homelessness
Financial Proxy: HUD secretary says a homeless person costs taxpayers $40,000 a year (PolitiFact)
Rationale: Home owners have less risk of suffering homelessness. By multiplying the number of housing loans by the cost of a homeless person, we get the economic impact of not having those persons going into homelessness.
Indicator: Reduction in risk of mental health treatment-Adults
Financial Proxy: The adult psychiatric services rate in Wisconsin is $1,039 (Department of Health Services, Division of Care and Treatment Services)
Rationale: Home owners have less risk of suffering stress and anxiety. By multiplying the number of home owners by the cost of psychiatric services, we get the total cost saved by the home owners for not having to receive mental treatment.
Indicator: Reduction in risk of emergency medical care
Financial Proxy: The average charge for an emergency room trip is $1,233 for the following conditions: sprains & strains, open wounds, normal pregnancy or delivery, headache, back problems, upper respiratory infection, kidney stone, urinary tract infection, intestinal infection (The Washington Post)
Rationale: Car owners are more likely to get regular/preventive medical care due to mobility. By multiplying the average charge for an emergency room by the number of car owners, we get the total cost saved by the car owners for not having to take emergency trips.
Indicator: Reduction in risk of stress treatment
Financial Proxy: The cost of cognitive-behavioral therapy effective for treating anxiety disorders is $100 or more per hour (Anxiety and Depression Association of America)
Rationale: Car owners are less likely to stress and anxiety attributable to long commutes. By multiplying the number of car owners by the cost of cognitive-behavioral therapy we get the total cost saved by the car owners for not having to be treated for stress and anxiety.