Plan Ahead for Executive Compensation Consultant Independence

by Malak Kazan, CECP, CCP, CBP, GRP 29. March 2011 13:28

Additional Dodd Frank rules related to executive compensation will likely be approved before the end of 2011. One of the rules is disclosure of compensation consultant independence. The rule will likely require disclosing answers to the following questions:

[More]

New IRS Rules Ahead for Unreasonable Nonprofit Compensation?

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 5. March 2011 09:27

Nonprofits may face some new rules on setting executive compensation and self-dealing if Congress acts on recommendations from Senator Chuck Grassley (R-IA), ranking member of the Senate Finance Committee. Although this report focuses on media-based ministries, it also includes recommendations that would change which organizations are given nonprofit status by IRS, expand penalties on self-dealing, and establish new regulations on setting executive compensation for all nonprofits.

[More]

Executive Compensation: Pay for Performance Incentives Plans

by Malak Kazan, CECP, CCP, CBP, GRP 4. March 2011 14:44

As part of ERI's Executive Compensation Index and tracking the highest paid executives in 45 top publicly traded US firms, cash bonuses have shifted to cash incentives. From 2006 thru 2009, 71% of the companies paid no cash bonuses in at least three of the four years. While these firms did not pay cash bonuses as defined by the SEC, they did, however pay compensation as non-equity incentives. In the same 4-year period, 80% of the companies paid some amount in non-equity compensation which is the compensation component where performance based cash incentive plans are reported.

[More]

Nonprofit Compensation When Times are Tough

by Linda M. Lampkin, Senior Nonprofit Compensation Specialist 4. March 2011 09:29

Setting compensation in nonprofits is tough these days – you need to attract and retain the needed staff, managers, and executives, but work within a tight budget that may even be shrinking. And prepare to explain (and perhaps defend) your salary decisions when questioned by funders, donors, media, members of the public, and perhaps clients and staff members.

[More]