At our workshop I pointed to new IRS reporting requirements and California Nonprofit Accountability Law requiring boards of directors of nonprofit organizations to set executive compensation and monitor that expense. In the context of smaller nonprofits we often don't worry about overpaying. But is can be and is a problem. The recent corporate scandals involving the financial sector demonstrates that and the Wall Street Journal says nonprofits need to watch out too!
". . . the IRS has signaled more aggressive oversight of charities as various compensation scandals crop up among nonprofits." Wall Street Journal, Pay at Nonprofits Gets a second look
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