Nonprofit CEO Compensation in Massachusetts – Too High or Not?

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 30. December 2013 12:51
Massachusetts Attorney General Martha Coakley released a December report on nonprofit executive compensation highlighting some high salaries, particularly in the health and education fields. The report states, “While CEOs at for-profit companies have commanded the highest compensation packages, CEO compensation at public charities has also increased. In fact, high executive compensation at public charities frequently leads to greater levels of concern, because of the view that large compensation packages take money away from charitable missions. They can also negatively affect the perception of the charities with employees, donors and other constituencies, as well as with the general public. At the same time, the largest public charities are complex organizations in their own right, and demand a level of executive ability that is at least commensurate with that complexity.“
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How Much Should a Nonprofit Pay Its Chief Financial Officer?

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 30. October 2013 16:10
Of course, the answer is “it depends.” In determining market compensation, ERI Economic Research Institute has found through its years of research that the influencing factors are what you do and where you do it. “Where” refers to the kind and size of organization as well as its geographic location. A quick review of the Form 990 data submitted annually by all US nonprofits shows the significant variation in compensation for nonprofit organizations providing human services, based on their size, as measured by annual revenue. [More]

What Determines Nonprofit Hospital CEO Pay?

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 22. October 2013 13:20
Setting pay is the responsibility of the hospital board, and those board members must collect and use data from comparable organizations and choose the relevant criteria, most commonly size and location. Using ERI’ s compensation data from the Forms 990 contained in the Nonprofit Comparables Assessor, the table below illustrates the wide variation in pay among larger and smaller hospitals in different locations. [More]

Charity Navigator CEO Compensation Survey Finds 2.5% Increase in 2011

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 9. October 2013 16:11
Charity Navigator’s 8th Annual Compensation Survey of nearly 4,000 medium to large-sized charities concluded that the median CEO salary was close to $126,000 and the median increase from 2010 to 2011 was 2.5%. [More]

Chronicle of Philanthropy Reports CEOs of Large Nonprofits Received 3% Increases in 2012

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 30. September 2013 08:45
According to The Chronicle of Philanthropy’s annual compensation survey, the 2012 median salary increase for CEOs at the biggest US charities and foundations was 3.1%, compared to 3.8% in 2011. What has changed is the increasing number of performance-based bonuses and incentives, now reported by one-third of the 313 organizations included in the analysis. The data set included 118 organizations that reported 2012 data and 195 that reported 2011 data. There is typically about a two-year lag in availability of data from the Form 990 because of the timing of filing deadlines and extensions, as well as the necessity of form processing. [More]