Part 2: Officer Compensation at a Charitable orgnization
According to Charity Navigator and their analysis of several thousand medium to large scale charitable organizations in the United States the compensation average for an organizations CEO is approximately $130,000 per year. This salary information can be found on the organization’s annual Form 990 which is the section that covers compensation. Additionally all non-profit charitable organizations are required to report compensation for any employee/ officers that make over $100K per year.
It is also important to consider that there can be a multitude of factors that may affect the amounts officers at charitable organizations are paid. Such factors may be the geographic location of the organization’s headquarters, the varying sizes of the organizations, and the responsibilities and extent or type of work performed by the officers. This requires building cross comparison analysis among similar types of charities so take the time to understand the differences within the context of the work they do and how expenses and as a percentage of donation distribution within and outside the organization. How the funds are managed will tell you a lot about the organization relevant to what is an corporate expense and what percentage of donations are actually received by those in need