executive

Research Friday: "Executive Compensation"

postedby
Stephanie La Loggia, M.A.

Manager of Knowledge Resources
ASU Lodestar Center

Welcome to Research Friday! As part of a continuing weekly series, each Friday we invite a nonprofit expert from our academic faculty to highlight a research report or study and discuss how it can inform and improve day-to-day nonprofit practice. We welcome your comments and feedback.

Oh, the high-wire balancing act of nonprofit CEO compensation. Pay your CEO too little, and you won’t attract a skilled leader. Pay too much, and you’ll raise the eyebrows (or ire) of donors, clients, volunteers, and anyone else who looks up your 990 in one keystroke. And should a nonprofit really go over the top with CEO pay, the IRS will come knocking at the door.

What’s an impact-driven nonprofit organization to do? Two things come to mind. First, consult the research and data available on nonprofit CEO compensation. Comparable compensation data helps recruitment and hiring, and protects against excessive compensation claims. For nonprofits in Maricopa and Pima counties, the latest issue of Nonprofit Research Abridged details CEO compensation across budget size and type.