The Internal Revenue Service states that nonprofit CEOs should receive “reasonable compensation”, while encouraging their board to compare pay practices at other organizations to assess what “reasonable” means.
Independent watchdog Charity Navigator questioned 4,587 organizations across America, basing its findings on salary data disclosed for the 2014 and 2015 financial years. It found that nonprofit CEOs got an average annual pay increase in 2014 of around 3%.
To put its $123,462 figure in perspective, it’s around a third of what colleagues may be getting paid outside the nonprofit sector, provided they’re not at a publicly listed company.
Private company CEOs received a median total compensation package of $354,750, including bonuses and equity grants, according to Chief Executive’s 2016-2017 CEO and Senior Executive Compensation Report for Private Companies.
CEO’s of publicly listed companies are paid much higher, typically earning in the millions or tens of millions of dollars.
“While reports of excessive nonprofit salaries frequently make the front page, our data tells a very different story,” Charity Navigator CEO Michael Thatcher said. “Analysis into the compensation practices at over 4,500 charities reveals that the vast majority of CEOs receive very reasonable salaries.”
Its report also found that CEO compensation differed depending on the charity’s purpose. CEOs heading nonprofit research organizations, for example, were paid 50% more than colleagues steering human services charities.
And location mattered, too. CEOs at nonprofits in the northeast corner of the country—including cities such as Washington, D.C., New York and Boston—earned higher salaries, while those in the southwest earned the lowest.
Chief Executive Group exists to improve the performance of U.S. CEOs, senior executives and public-company directors, helping you grow your companies, build your communities and strengthen society. Learn more at chiefexecutivegroup.com.
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1:00 - 5:00 pm
Over 70% of Executives Surveyed Agree: Many Strategic Planning Efforts Lack Systematic Approach Tips for Enhancing Your Strategic Planning Process
Executives expressed frustration with their current strategic planning process. Issues include:
Steve Rutan and Denise Harrison have put together an afternoon workshop that will provide the tools you need to address these concerns. They have worked with hundreds of executives to develop a systematic approach that will enable your team to make better decisions during strategic planning. Steve and Denise will walk you through exercises for prioritizing your lists and steps that will reset and reinvigorate your process. This will be a hands-on workshop that will enable you to think about your business as you use the tools that are being presented. If you are ready for a Strategic Planning tune-up, select this workshop in your registration form. The additional fee of $695 will be added to your total.
2:00 - 5:00 pm
Female leaders face the same issues all leaders do, but they often face additional challenges too. In this peer session, we will facilitate a discussion of best practices and how to overcome common barriers to help women leaders be more effective within and outside their organizations.
Limited space available.
10:30 - 5:00 pm
General’s Retreat at Hermitage Golf Course
Sponsored by UBS
General’s Retreat, built in 1986 with architect Gary Roger Baird, has been voted the “Best Golf Course in Nashville” and is a “must play” when visiting the Nashville, Tennessee area. With the beautiful setting along the Cumberland River, golfers of all capabilities will thoroughly enjoy the golf, scenery and hospitality.
The golf outing fee includes transportation to and from the hotel, greens/cart fees, use of practice facilities, and boxed lunch. The bus will leave the hotel at 10:30 am for a noon shotgun start and return to the hotel after the cocktail reception following the completion of the round.
