NOT-FOR-PROFIT DOES NOT MEAN NOT-FOR-ME

BY: Adam Gavriel

I already know what you’re thinking, not-for-profit? Pass, I want to make money. Toss that preemptive thought away. Not-For-Profit (NFP) organizations are all around us every day. Think the American Red Cross, or the public schools you went to as a child, or the public schools you send your children to today.

Some quick facts about NFPs in the United States

  • 1,574,674 tax-exempt organizations, including:
    • 959,698 public charities
    • 100,337 private foundations
    • 514,639 other types of nonprofit organizations, including chambers of commerce, fraternal organizations and civic leagues.

(Source: NCCS Business Master File08/2011)

  • In 2009, nonprofits accounted for 9% of all wages and salaries paid in the United States.
    (Source: BEA 2010)
  • Nonprofit Share of GDP was 5.4% in 2009. (Source: BEA 2010)

Just because a company is entitled a NFP does not mean that its employees do not get paid. State governments are NFP organizations, but do you think those guys work for free? I don’t think so.

What about public school teachers? Public schools are considered NFP organizations however there are some parts of the country where public school teachers, principals, and super-intendants make over 6 figure salaries, not including their bonuses. For example my hometown school district, Syosset, NY lists some teacher salaries of: $156,241, $151,783, and $148,484. Principal salaries of: $216,426 (2010, high school) and $165,494 (2009, elementary school). And the King (or in this case the queen) of all of Syosset schools, the super-intendant brought in a 2011 salary of $506,382, a near $21,000 raise over her 2010 salary. (See more NY expenses here: http://seethroughny.net/payrolls/)

A quick way to eliminate the stigma of NFP organization’s is through some of the salaries that their employees take in every year.

Just because the words NFP are attached to an organization, doesn’t mean that there’s no money in those jobs.

(See similar facts on small businesses here)

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