Variation in Nonprofit CEO Salaries Matters

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 6. January 2016 12:44
Headlines may cover the instances of high pay for nonprofit executives, but a closer look at all the data reported on CEO pay indicates that compensation averages are actually pretty low. Using ERI’s Nonprofit Comparables Assessor, the table below shows the average annual pay for CEOs of all US Human Services organizations (plus averages for the 25th and 75th percentiles). These calculations are based on pay reported by charities on Forms 990, the annual report required by the IRS. [More]

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Performance Bonuses for Charity Executives?

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 22. December 2015 10:02
For many years now, charities have been encouraged to act more like for-profit companies, with a focus on measuring their outcomes and the impact of their programs. The logical next step is to reward those that succeed with performance bonuses. At the same time, the IRS and other charity regulators have some pretty clear guidelines on what type of compensation is permitted for charity executives. [More]

The Gap Between Executive and Average Worker Pay in Nonprofits

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 8. December 2015 13:16
In the business world, there is a lot of discussion about the often huge gap between the pay of top executives and the average employee within an organization. While some interpret the data as executives reaping a windfall while worker pay stagnates, there is also research that focuses on the fact that the best-paying companies are pulling away from the worst-paying companies – that is, while increased executive pay contributes to the wage gap, so does the success of the companies in their overall industries. [More]

How Important Are Last Year’s Salary Increases?

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 27. October 2015 13:31
So right along with the coming holidays, thoughts of bonuses and salary increases begin to surface this time of the year. Contributing to this discussion is the publication of various annual reports on last year’s average compensation increases and plans for 2016. USA Today reports on one study that found that employee bonus pools are below target and will be funded less than last year, while another concluded bonus pools are on target. [More]

IRS Focus for FY 2016 – It’s All About the Data

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 2. October 2015 10:02
Just in time for the new fiscal year for the federal government, the division of the IRS responsible for charities (Tax Exempt/Government Entities or TE/GE) has issued a list of its priorities for 2016. [More]

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