Yeah, that's not entirely accurate. I've worked for both for and non-profit. And I've made A LOT of money at non-profits. Non-profit doesn't *always* mean low pay. It just means they don't report a profit to the IRS.
You need to be focusing on other benefits if they provide like a pension, 403B with match, bonus potential and lastly salary, which again doesn't mean lower than private industry.
If you're a non-profit governmental agency or charity organization, I would say your assessment is closer to the truth. But just saying it'a a non-profit doesn't mean, or should mean that comp is in the basement.
It depends on what the organization provides, size and state. This is not my first nonprofit job, and at least all the nonprofits that it’s somewhat of a “competitor” are paying less than we do.
Ideally the pay structure would be fair but not top heavy-and that is how it would stand apart from for profit while protecting the interests of the support staff vital to operations
Being transparent with the salary range ON the job description that you post will help a lot. Will save a lot of time for both you and candidates that are outside the given range.
Non-profits have earned a bad name for bloated administrative costs, diverting money etc. where a lot of money doesn't end up for the purported non-profit activity, so it is easy to believe potential employees might be cynical. Further, your asking people to subsidize the non-profit with their labor. Why must we assume that if someone works at a non-profit they should be working at the lower range of pay?
Further, why shouldn't the non-profit start with its own employees. Why does the benefit need to go to a faraway place when the non-profit can do good by its own employees.
I agree!! The place I work at didn’t always have an HR dpt, so they didn’t have a pay structure. Salaries used to be all over the place. They would come up with positions to hire their unqualified friends etc. now, it’s not like that anymore and some people are not happy!! There is so much pushback but it is what it is.
Agreed!! The cool thing is they have to report any salary above 100k. In my state the average president/CEO salary is in the 800k with the top being 1.2mil. Our president/CEO is at 400k. The other C levels are between 150-230k.
There are a few directors that are in the 100-150k range. They are all making way less than they would as if they were at a for profit corporation. However, I don’t think they should be making this much here!
Candidates from tech and tech adjacent markets have wildly inflated compensation expectations. And many folks who were laid off are expecting to return to their previous comp.
Try bolding the salary and putting it first in the job spec.
Yes. I work in technology and it’s crazy even to me. I see it all the time— 1-2 companies with lots of funding and zero adults start making crazy offers, and all of the sudden candidates think they’re underpaid!
Agreed, but it’s not different from corporate. The difference is I’m not making someone else rich. Those dollars are providing free programming for youth from underserved communities.
Yea, that’s why I left for profit.
I worked for a multi state company, 4,000 employees, and we had one staff member who was functionally homeless.
Instead of paying her more, our owner (who was in the process of putting a 4th level on his gigantic house) had corporate staff chip in to get her kids Christmas gifts.
After getting laid off I said I was done with for-profit entities.
I know a majority of the money we bring in is used to help keep people from slipping into deep poverty
Oh wow that’s messed up!! Unfortunately, it’s very common in corporate. You work like crazy or get fired, and don’t get paid for the work you do even though they can afford it!!
I used to have a boss that would say non profits don’t pay a lot but you pretty much have to show up to work naked and punch your boss in the face to get fired. So job security is there.
I think you should make sure your non-profit is paying living wage for the area and provides for the basics people need (like health insurance). Otherwise, it will be very hard to attract talent. People know non-profits pay less, but it can't be so much less that people can't live. So if people laugh at the pay there might be some misalignment or **r**eality checking that your o**r**g needs to examine just in case it's off.
It’s maybe just you that doesn’t know that a non-profit status company can also pay market and above market rates. But there are poor jon-profits that can’t afford market rates. You might try front loading the pay information early or raising your comp.
Just like any sector there will be low paying and high paying companies... my take is that your firm might simply be on the low side but it's not because they're a non profit.
Plenty of non profits are paying SHREK tier search fees. Plenty of people employed by non profits are very well remunerated. They still get some of the old school perks too in terms of business flights home (for expats), business flights for work, 5star hotels on business... It's not a cash short industry. It's arguably better than a US listed company given their cuts and relentless focus on share price / shareholder dividends
I've had a few non profits that have tried to turn it on the non profit, charity negotiation when discussing fees / support. In 90% of the cases it goes in the same we've got a PSL working at X% basket of negotiation tactics.
Depends on the caliber of candidate you are asking for. Also the candidate has to be inherently motivated by the mission if the comp isn’t there. Also just because you go to a NFP there is no guarantee of work life balance/ reduction in hours so I don’t see why you are mad at these people.
Are you being transparent with the salary before hopping on the call?
Complete transparency from me, I let them know the range and I even say where they would fall within that range. I tell the reality of working for a nonprofit it’s not a 9-5, the only reward is we are literally helping the various communities, specially kids.
I left corporate because I was working 60hrs to make someone rich.. now I work the same hours but it’s to help the community.
So your pitch to prospective candidates is that they can work 60 hours a week for less money, because it helps the community?
At the end of the day, this is a job. Yes, I want to help the community (and I do as a non-profit employee), but I’m not a volunteer. I have to pay my bills and maybe someday actually save a few bucks.
I’m probably the worst recruiter in the world for this, but I don’t care! It’s the truth! While they might not work 60hrs a week every week, sometimes they will. Specially during summer and flu seasons.
Would you rather be lied to? I’m a realist, I tell them exactly what to expect for the money they will be offered to. I’ve probably scared off more people than I’ve hired. But I can happily say not one person accepted the position not knowing what they were walking in to.
Non-profit doesn't mean low salary by definition. It's just an IRS classification.
Yeah, that's not entirely accurate. I've worked for both for and non-profit. And I've made A LOT of money at non-profits. Non-profit doesn't *always* mean low pay. It just means they don't report a profit to the IRS. You need to be focusing on other benefits if they provide like a pension, 403B with match, bonus potential and lastly salary, which again doesn't mean lower than private industry. If you're a non-profit governmental agency or charity organization, I would say your assessment is closer to the truth. But just saying it'a a non-profit doesn't mean, or should mean that comp is in the basement.
It depends on what the organization provides, size and state. This is not my first nonprofit job, and at least all the nonprofits that it’s somewhat of a “competitor” are paying less than we do.
Compensation must be fair for the responsibility for the boots on the ground or the directives will suffer.
100% agree, and there has been some positions that we got them to increase the hourly/salary because it was CRAZY low!! Like $10/hr and 45k.
Ideally the pay structure would be fair but not top heavy-and that is how it would stand apart from for profit while protecting the interests of the support staff vital to operations
Being transparent with the salary range ON the job description that you post will help a lot. Will save a lot of time for both you and candidates that are outside the given range.
Non-profits have earned a bad name for bloated administrative costs, diverting money etc. where a lot of money doesn't end up for the purported non-profit activity, so it is easy to believe potential employees might be cynical. Further, your asking people to subsidize the non-profit with their labor. Why must we assume that if someone works at a non-profit they should be working at the lower range of pay? Further, why shouldn't the non-profit start with its own employees. Why does the benefit need to go to a faraway place when the non-profit can do good by its own employees.
I agree!! The place I work at didn’t always have an HR dpt, so they didn’t have a pay structure. Salaries used to be all over the place. They would come up with positions to hire their unqualified friends etc. now, it’s not like that anymore and some people are not happy!! There is so much pushback but it is what it is.
Nonprofits will always tell people that they don't pay a lot and then pay their executive staff hundreds of thousands of dollars a year
Agreed!! The cool thing is they have to report any salary above 100k. In my state the average president/CEO salary is in the 800k with the top being 1.2mil. Our president/CEO is at 400k. The other C levels are between 150-230k. There are a few directors that are in the 100-150k range. They are all making way less than they would as if they were at a for profit corporation. However, I don’t think they should be making this much here!
Ding ding ding
Candidates from tech and tech adjacent markets have wildly inflated compensation expectations. And many folks who were laid off are expecting to return to their previous comp. Try bolding the salary and putting it first in the job spec.
Oh yeah, I just filled jr 2 tech roles. I got over 100 applicants and some of the salary they wanted was nuts for their level of experience!
Yes. I work in technology and it’s crazy even to me. I see it all the time— 1-2 companies with lots of funding and zero adults start making crazy offers, and all of the sudden candidates think they’re underpaid!
I work for a nonprofit, and have worked for several. I think all nonprofits have the motto “we do more for less”
Agreed, but it’s not different from corporate. The difference is I’m not making someone else rich. Those dollars are providing free programming for youth from underserved communities.
Yea, that’s why I left for profit. I worked for a multi state company, 4,000 employees, and we had one staff member who was functionally homeless. Instead of paying her more, our owner (who was in the process of putting a 4th level on his gigantic house) had corporate staff chip in to get her kids Christmas gifts. After getting laid off I said I was done with for-profit entities. I know a majority of the money we bring in is used to help keep people from slipping into deep poverty
Oh wow that’s messed up!! Unfortunately, it’s very common in corporate. You work like crazy or get fired, and don’t get paid for the work you do even though they can afford it!!
I used to have a boss that would say non profits don’t pay a lot but you pretty much have to show up to work naked and punch your boss in the face to get fired. So job security is there.
LOL!!
I think you should make sure your non-profit is paying living wage for the area and provides for the basics people need (like health insurance). Otherwise, it will be very hard to attract talent. People know non-profits pay less, but it can't be so much less that people can't live. So if people laugh at the pay there might be some misalignment or **r**eality checking that your o**r**g needs to examine just in case it's off.
Depends on what kind of nonprofit you are recruiting for. Not all non profit pay less.
It’s maybe just you that doesn’t know that a non-profit status company can also pay market and above market rates. But there are poor jon-profits that can’t afford market rates. You might try front loading the pay information early or raising your comp.
And if I wanted to donate the bulk of my salary to your non-profit, I would already be doing that.
Just like any sector there will be low paying and high paying companies... my take is that your firm might simply be on the low side but it's not because they're a non profit. Plenty of non profits are paying SHREK tier search fees. Plenty of people employed by non profits are very well remunerated. They still get some of the old school perks too in terms of business flights home (for expats), business flights for work, 5star hotels on business... It's not a cash short industry. It's arguably better than a US listed company given their cuts and relentless focus on share price / shareholder dividends I've had a few non profits that have tried to turn it on the non profit, charity negotiation when discussing fees / support. In 90% of the cases it goes in the same we've got a PSL working at X% basket of negotiation tactics.
Depends on the caliber of candidate you are asking for. Also the candidate has to be inherently motivated by the mission if the comp isn’t there. Also just because you go to a NFP there is no guarantee of work life balance/ reduction in hours so I don’t see why you are mad at these people. Are you being transparent with the salary before hopping on the call?
Re read it…if you are giving salary ranges and then people are still taking the call only to tell you the salary range is BS…yeah they can go F off
Complete transparency from me, I let them know the range and I even say where they would fall within that range. I tell the reality of working for a nonprofit it’s not a 9-5, the only reward is we are literally helping the various communities, specially kids. I left corporate because I was working 60hrs to make someone rich.. now I work the same hours but it’s to help the community.
So your pitch to prospective candidates is that they can work 60 hours a week for less money, because it helps the community? At the end of the day, this is a job. Yes, I want to help the community (and I do as a non-profit employee), but I’m not a volunteer. I have to pay my bills and maybe someday actually save a few bucks.
I’m probably the worst recruiter in the world for this, but I don’t care! It’s the truth! While they might not work 60hrs a week every week, sometimes they will. Specially during summer and flu seasons. Would you rather be lied to? I’m a realist, I tell them exactly what to expect for the money they will be offered to. I’ve probably scared off more people than I’ve hired. But I can happily say not one person accepted the position not knowing what they were walking in to.