The Nonprofit FAQ: Compensation
Select an FAQ (17):
| Are board officers the same as corporate officers Not necessarily. And in fact is some cases it is important to keep the distinction clear. |
| Can a nonprofit make loans to officers or directors? Some state laws forbid it. Avoiding 'intermediate sanctions' will require some care in any case. |
| Can employees of a nonprofit also volunteer their time? This is a very tricky problem, subject to complex rules under the Fair Labor Standards Act and many state laws. Great caution is advised. |
| Can Fundraisers be Paid a Percent of the Amount Raised? This is a highly controversial issue on which the professional associations are unanimously agreed that such arrangements are unethical. Many views are expressed in this item. |
| Can the founder of an organization also be an employee? Hard as it is, everyone must work to keep the relationship between the founder and the organization on a clear, business-like footing. |
| How do we evaluate the Executive Director? Suggestions from the Minnesota Council of Nonprofits and an author. |
| How to comply with the 'Intermediate Sanctions' regulations Federal law and IRS regulations impose severe penalties on individuals who profit unduly from nonprofit organizations. This item explains what to do to avoid questions. |
| How to read a nonprofit's financial statement. Some advice from the founder of the Internet Nonprofit Center. |
| Is it common practice for board members to be compensated? In a word, no. |
| Practical Issues about Percentage Fees (5/31/96) Reasons why agencies should not be tempted to enter into such arrangements. |
| Resources for employee policies, records and handbooks Personnel policies guide toward legal, ethical and other desired behaviors in the workplace. |
| Should the executive director be a consultant? There are organizational and regulatory reasons to be cautious about such arrangements. |
| The Association of Fundraising Professionals Code of Ethics Excerpts pertaining to fees for consulting from the Association of Fundraising Professionals' Code of Ethical Principles and Standards of Professional Practice |
| What are some ways to strengthen the leadership role of the board? Boards must both govern and support. Advice and suggestions on how to balance these responsibilities from the Support Center of San Francisco. |
| What kinds of retirement plans can NPOs have? In 1995, there were two kinds. |
| What to do when a volunteer ED wants to be paid? Create a step-by-step plan that values the current volunteer while making clear that volunteer service does not create a presumption of later employment. |
| Where can I find nonprofit salary information? This item includes several links to online resources about nonprofit compensation. |