Nonprofit Salaries Can Hurt Nonprofit Fundraising
by Tom Wilson Major Gifts Guru
USA Today just released a story titled “Non-profit execs make millions: big organizations have highly paid leaders.”
These types of articles really hurt fundraising. This story was based on a recent survey by The Chronicle of Philanthropy which posted its 17th annual salary rankings.
The articles lists 20 nonprofit leaders and their pay. Of course its hard to see that the head of Children’s
But, many of the others listed in the survey are highly paid investment managers for nonprofit endowment funds who are compensated comparable to Wall Street investors, big-time football and basketball coaches, and medical staff whose pay is based upon their medical work as much as their administrative duties.
Not mentioned in the USA Today article but a headline in The Chronicle article was the comment that nearly 30% of nonprofit CEOs took a pay cut. Of course, that’s not juicy news.
Sensitize your board and CEO that if they want to create a culture of philanthropy, and if they want to appeal to major gift donors, they need to be careful about executive pay. With more and more transparency comes to nonprofit organizations through the updated 990 process, Guidestar.org, and Charity Navigator nonprofit executive pay will become more visible.
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