Overview of Nonprofits
The organization founded in 1844 had become an impactful NPO by the 20th century. It is now considered among the richest and most profitable non-profit organizations worldwide. Its mission is to build a community of justice, love, peace, and reconciliation. Generally, non-profits are funded through grants, donations, sponsorships, and philanthropic giving. The amount of money needed depends on the size and scope of the project. Larger projects need more funding. It is reasonable for non-profit employees to draw a salary for their work. IRS 557 details different non-profit categories like public charities, foundations, advocacy groups, and trade organizations. Any profits generated are not distributed to owners. Unique nonprofits include Shirts For A Cure and Give Back Yoga Foundation. The 10 most profitable non-profits spend money efficiently.
Richest Nonprofits
Who is the richest nonprofit?
The Bill & Melinda Gates Foundation is the richest non-profit worldwide. It was founded in 2000 to fight poverty, disease, and inequality. The president and CEO is David Mosena. He has the highest compensation among nonprofit CEOs at $954,827. The second richest is the Novo Nordisk Foundation which supports medical research.
Nonprofit Income and Compensation
Warren Buffett’s annual gift topped $4.1 billion this year. America’s 25 biggest givers have donated $169 billion over their lifetimes. They are still richer than ever. Leading is Buffett. Another is the Billy Graham Evangelistic Association which supports a media empire and youth programs.
The richest healthcare facility is Children’s Hospital of Boston. It earns $1.3 billion annually. Although it spends just a tiny fraction on free care, it is tax-exempt. Elite hospitals are very profitable nonprofits.
Nonprofit Salaries
Which nonprofits pay the most?
The Bill & Melinda Gates Foundation is the richest non-profit worldwide. Feeding America operates food banks catering over 37 million people. The Boys & Girls Clubs provide after-school programs for children and teenagers. Smaller organizations may offer more flexible work arrangements or opportunities for professional development. The highest-paid nonprofit leaders earn at least $900k per year. The highest-paid charity CEOs tend to be a mix of arts organizations, museums, and research institutes. Just because a CEO is paid well doesn’t mean they aren’t worth it. Nonprofits exist to benefit societal needs. Paid staff keeps the organization operational. It’s not easy to determine pay levels that attract qualified candidates without overpaying. Nonprofits often provide excellent benefits. Great nonprofits make every effort to be competitive with benefits. The best Non Profit jobs can pay up to $253,000 per year. Nonprofits need people in marketing and communications. Advocacy groups work for social change. Public charities receive funds from donors. Top executives at nonprofits can earn exceptionally high salaries. Some nonprofits spend more money on overhead than other efforts. Focusing only on overhead without considering meaningful results can do more damage than good. Two nonprofit positions and average salaries are: program manager -$52,000 and executive director – $71,000. Lower-level positions likely average $30,000 to $40,000 per year. Nonprofits also give benefits like insurance plans and retirement plans. Average salary of key employees at biggest nonprofits is $331,358. Median pay is $178,118. Average compensation for highest-ranking officer is $338,321. Median pay is $239,212. There are 46 employees with over $1 million in compensation. Most are physicians. One is the Xavier Basketball Coach. Hospitals follow different standards than other nonprofits. The main objective of a nonprofit is to put additional funds back into the organization instead of profits. You need to pay yourself at some point. Paying yourself can feel intimidating. Fundraising becomes more high-stakes. Obviously many nonprofits have figured it out. When is it time to pay yourself? How much should your salary be? Going from volunteer to paid employee. Increasing livable wages has a return on investment. That itself is the benefit. Gravity Payments pays $70,000 minimum salary.