hot topics – comp & benefits for not-for-profit entities
TRANSCRIPT
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Hot Topics Hot Topics
Compensation and Benefits for
Not-for-Profit Entities
Budget and compensation
overview
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Hot topics in compensation and benefits
Replay the Hot Topics in Compensation and Benefits for Not-for-Profit Entities webcast for a focus on latest developments and pressing concerns.
Read The Grant Thornton 2014 Nonprofit Compensation Survey, for up-to-date, critical compensation and benefits data, and trends and insights to assist in your planning.
Find webcast and survey info at www.grantthornton.com/comp-benefitssvy2014
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Salary budget increases
50+
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Salary increase criteria
Most organizations use merit/performance in determining salary increases22% of organizations provide cost-of-living increases
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Incentive practices
Basis for determining awards:• Predetermined
goals/objectives• Discretionary• Combination of
above• Other
Discretionary bonuses have been the most common type of variable pay, but formal plans are being more common
Nonprofits increasingly offer some type of variable pay:• Annual
incentives• Discretionary
bonuses• Special or spot
awards
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Variable pay
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Variable pay
Top executive 9%
Senior executives 4%
Other executives 3%
Managers 3%
All other employees 3%
Average bonus/incentive (% of salary)
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Variable pay
Nearly 80% of survey participants offer medical benefits to employees
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Variable pay
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Medical program Employer cost share
Dental programEmployer cost share
Vision program Employer cost share
Variable pay
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Life and disability plansBasic life and LTD plans are the most prevalent plans offered by survey participants
Organizations typically cover 85% to 95% of the cost of these plans
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Retirement plans401(k) and 403(b) plans are the most prevalent plan among survey participants
Employer contributions to the retirement plan as a percentage of salary range from 4% to 8%
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Board compensation
Although the vast majority of not-for-profits typically do not pay their board members, 4% of survey participants do
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Ken CameronDirectorCompensation and Benefits Consulting practiceNational Not-for-Profit & Higher Education CBC Co-Practice [email protected]+1 404 704 0136
Eddie AdkinsPartnerWashington National Tax [email protected]+1 202 521 1565
Mike MonahanAssistant Managing Principal, New York/New England TerritoryPrincipal-in-Charge, CBC and PWS Tax Practices Co-practice Leader, Not-for-Profit and Higher Education [email protected]+1 212 542 9860
Contact Information Learn more from our
NFP leaders
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Interested in learning more?
Play back the Hot Topics in Compensation and Benefits for Not-for-Profit Entities webcast
Read The Grant Thornton 2014 Nonprofit Compensation Survey executive summary www.grantthornton.com/comp-benefitssvy2014
Visit www.grantthornton.com/nfp for further information and thought leadership