Friday, January 7, 2011

Charity CEO Compensation Study results-Google

Charity CEO Compensation study Results-Google
Back in 2005

As of 2005, these were the most up-to-date and trustworthy figures I could find for the executives originally listed:

•Marsha J. Evans, President and CEO of the American Red Cross, was paid $468,599 in salary and benefits in fiscal 2003. (Source: BBB Wise Giving Alliance)

•Brian Gallagher, President and CEO of United Way, was paid $432,709 in salary and benefits in fiscal 2003. (Source: Charity Navigator)


•W. Todd Bassett, National Commander of the Salvation Army, was paid (along with his wife, who also works for the organization) an estimated $94,091 in salary and benefits in 2003 (including house and car). (Source: Fayetteville Observer)

Fast-forward to 2010

•As of 2010, Marsha J. Evans, was no longer employed by the American Red Cross. According to United Press International, Gail McGovern took over as CEO of the American Red Cross in 2008 at an annual salary of $500,000 plus a signing bonus of $65,000.

•Brian Gallagher is still President and CEO of United Way, and currently earns $1,037,140 a year, according to a December 2010 report from the American Institute of Philanthropy.


•W. Todd Bassett is no longer National Commander of the Salvation Army. The current National Commander, Israel L. Gaither, is paid somewhere between $79,389 and $243,248 annually for his services. (Since the Salvation Army, as a religious organization, doesn't report its expenses to the IRS, the only available figures for executive salaries are estimates, which vary greatly from source to source.)


•UNICEF's Executive Director, Anthony Lake, earns $201,351 a year, according to a 2010 communique from the organization — dramatically less than the $1,200,000 per year claimed in the message above.


•Dave Toycen, the President of World Vision Canada, earns $184,000 per year plus a "moderate vehicle allowance," according to that organization's annual report to the Canada Revenue Agency. Again, that is significantly less than what is claimed above.

Is It Fair to Compare?

Is one charity automatically more respectable than another just because its leader is paid a lower salary? Not necessarily, says Charity Navigator, a website that evaluates and compares the financial health of charitable organizations.

"While there are certainly some charities that overpay their leaders," the site's FAQ page explains, "Charity Navigator's data shows that those organizations are the minority. Among the charities we've evaluated, the average CEO salary is $150,000. ... These leaders could inevitably make much more running similarly sized for-profit firms. Furthermore, when making your decision [about where to donate] it is important to consider that it takes a certain level of professionalism to effectively run a charity and charities must offer a competitive salary if they want to attract and retain that level of leadership."


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Sources and further reading:

Red Cross Names New Chief, Gail McGovern
UPI, 9 April 2008

Salvation Army: Executive Compensation Data
Chronicle of Philanthropy, 2010

Salvation Army
Forbes.com, 24 November 2009

America's Biggest Charities
Forbes, 17 November 2010

Top 25 Compensation Packages from AIP's Charity Rating Guide
American Institute of Philanthropy, December 2010

UNICEF Response to Misleading CEO Salary Email
UNICEF Canada, 2010

World Vision Canada: Our Approach to Executive Compensation
World Vision Canada, 2010

Charity Navigator - Fundraising Organizations
Evaluates financial health of charitable organizations

Top Rated Charities
American Institute of Philanthropy

America's Most (and Least) Efficient Charities
Forbes.com, 24 November 2004

Charities' Leaders Take Home Big Checks
Fayetteville Observer, 4 April 2004

Major Charity Heads Reap Rising Pay
CBS Market Watch, 5 December 2003

Charity CEO Compensation Study
Charity Navigator, 8 August 2005


Last updated: 12/11/10

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