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Mar 07

Nonprofit expo returns in person to connect organizations with students

By Sponsor Insight

by Leslie Wells, assistant director of communications, Paul H. O’Neill School of Public and Environmental Affairs at IUPUI

Nonprofits across the nation are rebuilding, working to recover from the job losses that swept through the sector during the COVID-19 pandemic. Dozens of them are now preparing to connect with college students at the 2022 IUPUI Nonprofit Expo in hopes of recruiting new talent for their organizations.

Updated reports released earlier this year found that — as of the end of 2021 — nearly 72 percent of the estimated 1.64 million nonprofit jobs lost during the pandemic had been recovered. But that still leaves hundreds of thousands of positions unfilled across the country.

IUPUI’s Nonprofit Expo will help organizations fill some of those vacancies by serving as a bridge between nonprofit, government, and community organizations and local college students.

“This isn’t a standard career fair,” explains Kerry Lay, a career advisor with the O’Neill School at IUPUI. “It allows nonprofits to connect with large numbers of students in one place and specifically targets those who are interested in working in the nonprofit sector.”

The pandemic canceled the 2020 Expo and forced the 2021 event to be virtual. But students and organizations will meet again in person on March 23 from 1- 4 p.m. in the IUPUI Campus Center. Employers can register for the event until March 21.

The Jewish Community Center is returning to the Nonprofit Expo this year. The JCC provides inclusive experiences that aim to help people grow and build communities through preschool, after-school, fitness, and arts programming.

“The Expo is specific to nonprofit employers and attracts students who want to do meaningful, mission-based work,” says JCC Director of Human Resources Nancy Riddle-Mills. “These are qualities we look for in all our employees, whether they’re full-time, part-time, or seasonal staff.”

The Expo allows organizations to see what’s coming down the talent pipeline and gives smaller nonprofits the chance to build name recognition and recruit new volunteers, interns, and employees. The trade-off for students is invaluable hands-on experience for those who want to work in the nonprofit sector.

Quinlin Malloy, a Sustainable Management and Policy major at O’Neill, attended the 2021 virtual Nonprofit Expo. She met with three organizations and was offered an internship at Camptown, an Indianapolis-based nonprofit focused on connecting kids with nature through educational learning experiences.

“Going to these types of fairs allows you to actually talk with a potential employer in a field you’re interested in before agreeing to an internship or a job,” Malloy says. “That’s a much better approach than trying to search around and hopefully find someone.”

Prior to the Expo, Malloy had never heard of Camptown. But after meeting with the organization, she was selected for an internship in late spring of 2021. And she’s been there ever since. In January, they offered her the opportunity to join their team as a full-fledged staff member.

“Without the Nonprofit Expo, I probably would have ended up in an internship that wasn’t nearly as interesting as what I was doing and it may not have turned into a job,” she says.

Thanks to the Expo, Malloy has a guaranteed job when she graduates in the fall, and Camptown has filled a position that will help them advance their organization’s mission and help education and empower more young people around Indianapolis.

The Nonprofit Expo is a collaboration between the O’Neill School, the IU School of Liberal Arts at IUPUI, IU School of Social Work, the Lilly Family School of Philanthropy, the School of Health and Human Services, the Center for Transfer and Adult Students, IUPUI’s Center for Service and Learning, and the IUPUI Office of Student Employment. Employers can register for the event until March 21.

Feb 21

Employee retention tax credit: Refund potential for organizations big and small

By Sponsor Insight

by Ryan Lauer, author, Barnes Dennig

Passed as part of the CARES Act at the onset of COVID-19 in the spring of 2020, the Employee Retention Tax Credit (ERTC) Program, in very simple terms, is a credit for continuing to pay employees during the pandemic if certain tests are met.

While the name suggests it’s related to tax, it’s an actual cash refund if you qualify. The credit is driven off of headcount and can add up to a significant sum depending on your total headcount and payroll. It can add up quickly, even for small organizations, as the credit could be up to $5,000 per employee in calendar year 2020 and up to $21,000 per employee in calendar year 2021. If your organization experienced either a gross receipts decline or more than a nominal portion of your business was suspended in 2020 or 2021 because of a government order, you may qualify.

The ERTC did not garner the media attention the Payroll Protection Program (PPP) did when the CARES Act first went into effect because, at that time, businesses and organizations were only allowed to pursue one program – and the vast majority chose the PPP route. However, the Consolidated Appropriations Act (CAA) passed in late 2020 reversed course and allowed taxpayers to pursue ERTC even if they took a PPP loan. Overnight, the number of organizations that could qualify exploded and has resulted in significant cash refunds for thousands of organizations.

The ERTC program is in place for wages paid between March 13, 2020, and Sept. 30, 2021. President Biden signed the Infrastructure Innovation and Jobs Act back in November 2021, sunsetting the Employee Retention Tax Credit (ERTC) program one quarter early (with some exceptions for recovery startups). This early “cut-off” eliminated the 4th quarter of 2021 as a qualifying quarter for the credit – but it doesn’t preclude taxpayers from still claiming the credit for prior eligible quarters.

Qualification: Gross receipts method

To qualify under the gross receipts method, your organization must have experienced a 50% decline in gross receipts during a calendar quarter in 2020 as compared to the same calendar quarter in 2019. To quality in 2021, the threshold is lowered to only a 20% decline in gross receipts as compared to the same calendar quarter in 2019. PPP loan proceeds (when received or when forgiven) are not included as a gross receipt for purposes of this test. While the 50% decline to qualify in 2020 is a steep mark to hit, the reduction to 20% in 2021 results in many more organizations qualifying for the credit. Having said that, the gross receipts method is not the only way to qualify for the credit.

Qualification: Government suspension of operations/partial suspension

Didn’t meet the gross receipts decline test or have a full business shutdown as a result of a government order? There’s still a chance organizations that operated as essential businesses could qualify for the Employee Retention Tax Credit. To qualify under a partial government shutdown, a business unit or program that comprised at least 10% of the gross receipts in the same quarter in 2019 and was suspended from operations (as a result of a COVID-19 government shutdown order), would qualify the entire organization.

For example, if Business Unit A (or Program A) was shut down for a period of time at the onset of COVID-19, and the unit generated 15% of 2nd Quarter revenue in 2019, that could potentially qualify the overall business for the ERTC during the 2020 shutdown period.

Furthermore, in this example, it’s not only Business Unit A that has qualifying wages for the credit: all wages of all business units of the company would qualify during this period of time. Thus, as long as a nominal portion (10%) of the business was suspended, it could be enough to qualify the whole business for the credit.

Eligible wages

Wages that are eligible to be utilized for the credit include W-2 gross wages, pre-tax employee paid health insurance premiums and employer-side paid health insurance premiums. One caveat to keep in mind – wages utilized for PPP forgiveness, or any other credit, cannot also be utilized as qualifying wages for the Employee Retention Tax Credit. Having said that, organizations that received PPP proceeds are still seeing sizeable refunds on the ERTC side, so taking a PPP loan isn’t a reason to not consider the ERTC.

Other considerations

The Employee Retention Tax Credit is a taxable credit. The funding is taxable in the year the wages were paid and could require an amended tax return for taxable legal entities. However, non-profits will not have tax burden related to the credit and may not need to amend their 990s for this.

The ERTC is claimed on an amended quarterly payroll tax return (Form 941X). Once the IRS processes Form 941X, a check is issued to the taxpayer for the credit amount, plus interest. The statute of limitations for filing amended payroll tax returns is three years from the due date of the return, meaning to apply for the Employee Retention Tax Credit for the 2nd quarter of 2020, the amended return needs to be submitted by July 2023. Therefore, there’s still time to apply for the credit.

Find out if you qualify

The Employee Retention Tax Credit can be a massive opportunity if your organization qualifies. With the potential credit up to $5,000 per employee in calendar year 2020 and up to $21,000 per employee in calendar year 2021, organizations both big and small could greatly benefit from applying for the credit.

If you have questions about the qualification process, or want to know if your organization can benefit from the Employee Retention Tax Credit, talk to a member of the Barnes Dennig non-profit team today.

Feb 07

Nonprofit’s executive director steps down to implement a shared leadership model

By Feature

Earth Charter’s Jim Poyser, Shannon Anderson and Tatjana Rebelle all are directors

by Shari Finnell, editor/writer, Not-for-profit News

Pictured: Tatjana Rebelle, Shannon Anderson and Jim Poyser

Within the first year or two into his role as the first paid executive director of Earth Charter Indiana (ECI), Jim Poyser, the former managing editor for NUVO, felt a sense of uneasiness as he looked around the room during a board meeting. 

“I remember thinking, ‘We are all white and old.,” recalled Poyser, sharing some of the history that led him to seek a replacement for his role as executive director of the 21-year-old nonprofit organization. 

The homogeneous nature of the ECI’s board in 2013 hadn’t gone unnoticed by ECI board president Rosemary Glass Spalding, a long-time board member for the local nonprofit organization. “When I joined the board a few years before that, it was so glaring and obvious,” Glass Spalding recalled. “And John Gibson, who was the one of the founders of Earth Charter Indiana, had a mantra that we will be an intergenerational organization.” 

Although ECI has since made significant developments in recruiting and maintaining a diverse board, Poyser also wanted to explore options for a new face of the organization.

Earlier this year, after a series of brainstorming and organizational meetings with ECI’s staff and board members, Poyser accomplished his vision by abandoning his executive title and becoming the director of advancement. At the same time, co-workers Shannon Anderson became director of advocacy and Tatjana Rebelle became director of youth programming.

“We know that climate change is going to be most impactful to frontline communities, including low-income communities, communities of color and females,” Poyser said. “I was doing a lot of presentations in schools and community centers. And I started to recognize that an older white male coming into a community to speak to people was never effective.”

The path to a shared leadership model

Early on in his tenure, Poyser started the process of bringing more diverse voices to the forefront by asking others, including females and people of color, to represent ECI at speaking engagements. “I felt it was the right thing to do. I had my time to speak. I had my opportunities. And I’m not seeing things move quickly enough in Indiana regarding climate.”

Years later, as part of the organization’s strategic plan, the team was able to significantly increase its budget. That was when the organization was able to hire Anderson as a full-time assistant director, and more recently, Rebelle to oversee youth programming.

And in 2020, in the wake of increased demonstrations from white supremacists and civil rights activists protesting the murder of George Floyd at the hands of police, Poyser felt the time had come for the change in executive leadership he had been contemplating.

“It seemed like the right direction,” Poyser recalled. “It was an instinct with the way things were unfolding around us.” 

Dismantling a hierarchy

When Poyser first approached ECI co-workers Anderson and Rebelle about his decision to hand over the reins of executive director to another person, they both paused at the prospect of disrupting a strong working relationship. 

Anderson, who excelled in advocacy work, had no desire to take on the top leadership role. Rebelle had the same response. And neither of them was highly interested in the possibility of a new person taking over the leadership position because they all worked so well together.

So, after that initial conversation, Anderson and Rebelle, who had personally experienced the benefits of a shared leadership model while working at The Kheprw Institute, explored the possibilities of a shared leadership or distributive leadership model for ECI. While many researchers and thought leaders have long touted the benefits of this type of leadership, it hasn’t become mainstream. 

“All three of us have these strengths that all balanced themselves out,” Rebelle said. “The areas that I’m really interested in are the ones that Jim and Shannon might not want to do. We asked each other, ‘What do you love about your job?’ and ‘What are some of the things you don’t really love about your job?’”

That questioning led to a more formal work discussion in which all three team members hashed out answers to those questions in a Google document, listing the things they wanted to continue to do and those they would prefer to hand off to someone else, Anderson recalled. “There was a fluidity to it when we started moving things around,” she said. “It was a three-person collaboration.”

Anderson also said the pre-planning was critical for further adoption of the proposal. 

“If Jim hadn’t been part of this three-person collaboration, I think it would have been very hard to sell to our board,” Anderson said. “But because all three of us were totally in sync on this almost from the moment it was brought up, everyone was really comfortable with it. It feels very organic and authentic.”

Gaining board approval

Once they had a detailed plan on how the shared leadership model would work — with workflow charts and pie charts, the team had numerous meetings with the board to move forward with acceptance and implementation.

“There were some concerns and questions when we actually took this to the board to get feedback. And the obvious one is, ‘Well, who’s in charge?”,” she said. “‘Who’s responsible, ultimately, to the board for achieving the strategic goals of the strategic plan?’ And the answer is, ‘They all are.’”’

During those meetings, they addressed how they would be accountable with each other and resolve conflicts.

“We’ve made a commitment to each other to be honest,” Rebelle said. “We also decided to bring in the executive committee if there’s something that the three of us can’t figure out as a unit.”

Based on her history of working at the organization, Anderson said, she anticipates that there won’t be conflict per se. “It’s good to be prepared for disagreements, but I think it will be more along the lines of ‘We have two paths before us. And we’re excited about both, but we can only do one.’”

The team’s plan was convincing. Within a fiscal quarter, the board had adopted the new leadership plan.

A new way forward

Under the shared leadership model, the board will be more integral in the personnel aspects of the organization, Glass Spalding said. 

“In the past, I and the executive committee did Jim’s personnel evaluation and Jim did Shannon and Tatiana’s. They’re now going to do each other’s in addition to their own self-evaluations,” she said. “But the board will have to be more involved.”

Along the way, other concerns were addressed, including the following:

  • What will supporters think? Poyser had been at the helm of ECI for more than eight years and is well known throughout the community and among funders. “The board was really concerned,” Glass Spalding said. “Jim has been the face of Earth Charter Indiana for a number of years. He’s a very dynamic person and there was concern that a perceived demotion or change could be detrimental to the organization. They didn’t want to have any ramifications from that.” Poyser addressed those concerns by pointing out that all three of the staff leaders can be considered the face of the organization. “Shannon Anderson is the leader of Earth Charter Indiana at places like the Statehouse,” he said. “Tatjana is the leader in other sectors. From a biodiversity standpoint, it really makes sense for the strength of the organization to have a team of leaders who are all on the same plane. In a way, this is just formalizing what I felt to be happening already.
  • Would the executive director be OK with losing his title? Poyser said that he wasn’t attached to his ED title and, as a result, didn’t have qualms about losing the “executive” in front of his name. “My transition to director of advancement is a natural fit for a transition from executive director,” he said. “The director of advancement and an executive director are very similar positions in the realm of grants and contracts.”

The team members all acknowledged that they will continue to refine the new leadership model as they navigate changes in the coming months.

Glass Spalding said she doesn’t anticipate any major challenges with the transition.

“In observing them, they’re all very highly driven people. The personnel issues are very nuanced in terms of more of an approach to achieving the goals of the strategic plan,” she said. “The question will be, ‘How do we meaningfully evaluate whether they’re achieving what we hope and expect?’ As the year progresses, we want to make sure we’re still on the same page, and that our expectations and their expectations and work match.”

And the benefits of a shared leadership model far outweigh any difficulties in making a transition, Glass Spalding said.

“I do think, especially with a small organization, this is a really a very exciting possibility for organizations to look at,” she said. “The upside is you have the ability to achieve a lot more with a lot less red tape or bureaucracy. It’s very symbiotic and synergistic, words that are sometimes overused, but they really do fit this situation.”

Anderson said it also is a significant step toward inclusion.

“People may be scared to take on a change like this because they can’t imagine not being in control,” Anderson said. “I don’t think they realize that there’s a better version of everything when we elevate different voices. Jim’s not quitting. He’s not retiring. He’s going to be keeping us healthy going forward, but he’s also letting other voices come forward. A lot of organizations could benefit from deciding to doing something different. It puts you on a path toward a better future where there is more inclusion and there are more people of color at the forefront of movements.”

Jan 10

Empowering nonprofit employees can lead to much needed innovative solutions in 2022

By Feature

CICOA’s CEO Tauhric Brown

by Shari Finnell, editor/writer, Not-for-profit News

When Tauhric Brown took on the role of president and CEO of CICOA Aging & In-Home Solutions in January of 2020, a top goal on his agenda was the empowerment of the organization’s employees to dream and innovate.

Based on his previous experiences in a combination of for-profit and nonprofit roles, Brown said, he knew that would be one of the most strategic approaches to continue successfully fulfilling CICOA’s overall mission — making the dream of aging in place a reality for many older adults.

Brown acknowledged the challenges that faced him. Even in normal times, it can be difficult to inspire employees to envision how to do things differently. In the midst of the COVID-19 pandemic, further challenges developed as the organization followed stay-at-home orders and remote work schedules

“Many of us have tunnel vision. We see our work, day in and day out, and that’s really all we see,” Brown said.

However, opportunities can develop when leaders are able to help employees develop peripheral vision — recognizing the ways in which their individual roles, such as what a person does as a care manager, impacts the entire organization, Brown said..

“You really have to unlock that potential that lies well inside of each and every one of us,” he said.

As a result of that innovative focus on problem-solving, CICOA launched an innovation studio in 2021, an intrapreneurship model to encourage staff and partners to ideate, prototype and launch new solutions to meet the needs of older adults, people with disabilities and their caregivers.

One of the first products of the CICOA Venture Studio was the development of Duett, a for-profit start-up organization with a mission to streamline the process of matching people with service providers through technology solutions.

Innovation as an ongoing model

Now that the COVID-19 pandemic is approaching its two-year mark in Central Indiana, it is even more critical to challenge nonprofit employees to discover new solutions, according to Brown, who anticipates that few nonprofits will be able to continue to be successful without incorporating changes that can equip them for long-term sustainability.

He began the process of introducing innovation early on. “When I first started in my role here in January of 2020, I just started having conversations with people,” Brown recalled. “It wasn’t the CEO talking to the care manager. It was just Tauhric to Sherri — getting to know people on a personal level, and then really challenging them to see their work differently.”

Conversations included looking at goals and determining creative ways to respond, Brown said. “How do we begin to develop some additional programs or social enterprise concepts that might help us for decades to come?,” he said. “In other words, not just for this scenario, but for a more efficient, effectively run nonprofit organization that benefits the consumers you serve for years?”

Problem-solving also could involve determining how to deliver more services with fewer resources.

“For us, that was the primary opportunity we saw — and have been capitalizing on pre-COVID because innovation is part of our culture, part of our DNA,” he said. “That spirit existed here pre-COVID.”

In some ways, the pandemic fueled interest in generating problem-solving and innovative ideas, Brown noted.

Since implementing the innovation studio, Brown said, an increasing number of employees have been actively proposing potential solutions for challenges the organization faced during the pandemic, which forced many organizations to do things differently.

“We’re starting to see more staff bringing additional ideas and concepts forward that may not have been presented without this public health emergency,” he said. “Some of those ideas are now being teased out as potential social enterprise concepts that we can take to market down the road.”

Nov 22

Financially preparing and protecting for today, tomorrow, and the years to come

By Sponsor Insight

by Sandy McCarthy, president, Retirement Services, OneAmerica

As professionals in the financial services industry, we’ve devoted our careers to helping individuals attain financial peace of mind, personal protection, and retirement security.

The pandemic, though, has cast this important work in a new light, invigorating Americans’ interests in all aspects of financial preparedness and personal protection, and highlighting the deep connections between financial, physical, and emotional wellness.

This is a pivotal moment for our industry and the Americans we serve, as we guide those who have just experienced, first-hand, the complex and unexpected path life can take. In this new environment, widening the lens and broadening the view on the traditional idea of financial wellness can help Americans feel prepared and protected for today, tomorrow, and the years to come — whatever those days and years may bring.

Retirement and personal protection strategies go hand-in-hand

As a longtime veteran of the financial services industry, I’ve seen first-hand the energy we’ve collectively spent educating retirement plan participants about market risk, asset allocation, and the importance of beginning deferrals early. Though these are, of course, critical elements, there’s more that’s needed to help individuals establish peace-of-mind about their financial security.

As an industry, we must guide individual workers, and their employers, to look beyond the retirement plan — to realize that true, comprehensive plans for financial wellness also incorporate personal protection and decumulation strategies. This is especially critical and relevant post-COVID, as the pandemic forced the idea of financial protection for loved ones, and our own mortality, to be top of mind in a way we haven’t seen previously.

As uncertainties abound, the products and strategies we provide are a port in the storm — allowing individuals to safeguard retirement savings, set aside money for health or longterm care expenses, or ensure loved ones are protected. And the focus on healthcare expenses, in addition to retirement funds, is one that can’t be overlooked.

According to HealthView Services, a 65-year-old couple in good health will need $387,644 to pay for healthcare costs for the remainder of their lives. And the U.S. Department of Health and Human Services reports that someone turning age 65 today has almost a 70 percent chance of needing some type of long-term care services and support in their remaining years.

Still, according to a survey from the American College of Financial Services, only about one third of retirees currently have any type of long-term care plan.

Widening the lens on financial wellness

In recent years, we have honed in on examining the critical role emotional and physical wellness play in holistic financial wellness. Financial stress can cause emotional or physical health issues, just as emotional or physical health issues can result in financial strain and resulting stress. These factors are important considerations, especially as our industry navigates how best to engage and educate American workers to take action toward overall financial wellness. We have an opportunity to meet each person where they are, and to help American workers take the next step in their personal wellness journeys — acknowledging and aligned with their individual circumstances or life events. According to Employee Benefit Research Institute’s 2020 Retirement Confidence Survey, 7 in 10 workers (69 percent) feel confident in their ability to retire comfortably, though only 27 percent feel very confident. Overall confidence is up slightly from 2018 and 2019, when the survey showed 64 percent and 67 percent. We’re collectively making progress, but there’s still work to be done.

Connecting where it counts

For many Americans, the workplace is the frontline for financial education, and it may even be one of the only places where individuals receive financial guidance. As an industry, it’s up to us to help employers understand the value of providing employees with opportunities to improve holistic financial wellness — both for the well-being of individual employees, and to meet company objectives. Employees who are less stressed about financial, physical, and emotional health are more focused, present, and able to contribute to business success.

This is a significant concept, considering data from the 2021 PwC Employee Financial Wellness Survey showing that nearly two thirds of full-time employees say their financial stress has increased since the start of the pandemic. This has an impact on both productivity and retention, with 45 percent saying finances have been a distraction at work and 72 percent indicating they would be attracted to another company that cares more about their financial well-being than their current company.

The promising news is that employers understand the important role they play; 62 percent of employers feel “extremely” responsible for their employees’ financial wellness, up significantly from 13 percent in 2013, according to Bank of America’s 2020 Workplace Benefits Report. Employers — along with the financial professionals who guide them — will continue to play an increasingly greater role in helping employees strengthen their financial foundations.

Our industry exists for times like these, and our purpose — to protect and secure — has only been emphasized and reaffirmed over the past 18 months.
We’re an industry connected to the people we serve, and it’s an honor to engage with a wide network of professionals committed to bettering the lives of individuals and their families.

Editor’s note: A version of this article was originally published in LIMRA Marketfacts #4, 2021.

Nov 08

Delegation vs. micromanagement: It’s a delicate balance

By Sponsor Insight

by Jan Frazier, Planning Plus, LLC

As much as I hate to admit it, I have often been accused of being a micro-manager, something all consultants preach is a big no-no. But as with anything, there certainly is a time and place for this style.

Delegation is revered as a managerial approach to empowering employees, improving efficiency in day-to-day operations, and is considered a “best practice.” The Rules of Delegation dictate that this approach only works if the “delegatee” has the knowledge, skills and experience to get the job done. And we do want to assume our employees have those requisites or they wouldn’t be there (right?). But an employee’s view of the outcome — what the end result should look like, both in style and substance — may be very different than that of the delegator. It’s not a question of skills; it’s a question of definition. And if a common definition of what a completed project looks like is not created, it will be hard to fix on the back end.

Managing for a successful outcome

What are your expectations for the work — as to both what and how? If you have a checklist in mind of how the work will be completed, it’s imperative you share that checklist. Otherwise, both parties could be in for a huge disappointment. Providing this picture of expectations is often called out as micro-managing but that is not always the case. Company culture can have a key aspect.

It may be OK in your organization that as long as the project gets done, we’re happy. But it may be that your culture dictates that projects are completed ahead of the final due date so that there is ample time to review, make edits, and ensure that all I’s are dotted and T’s are crossed prior to final completion.

In this Covid culture when a significant amount of time is spent off-site and not in the same room, e.g. Zoom, group emails, multiple texts, etc., at the end of the discussion have you specifically agreed who is going to do what and by when? And when will everyone follow up? When these pieces are missed, someone needs to step in and ask those questions. This may be considered micromanaging to some but thank goodness someone is stepping up to fill in these blanks.

A culture of performance-based management can go a long way to avoid these types of delegation vs. micromanagement conflicts.

Ensuring that all employees clearly understand what must be done, the expectations of performance (both what and how), and how their work will be evaluated is the first step in a performance-based management culture.

Too often, we are all moving so fast that we make a number of assumptions about how much employees understand what we want and our level of expectations. But that is a dangerous assumption to make.

In those cases, you may find yourself inevitably becoming the dreaded micromanager.

Oct 11

2021 Charitable Advisors salary survey reveals 57 percent of Central Indiana nonprofits expect to offer pay raises; 34 percent do not

By Feature

The 2021 Charitable Advisors Central Indiana Nonprofit Salary Report is now available to the public online

by Shari Finnell, editor/writer, Not-for-profit News

Although annual pay raises are often considered essential in keeping valued employees, about a third of Central Indiana nonprofits reported that they would not be offering pay raises in 2021 — in the midst of one of the most competitive job markets in recent history.

Those statistics were among the findings of the Charitable Advisors 2021 Central Indiana Nonprofit Salary Report, issued after a tumultuous period marked by the COVID-19 outbreak, government stay-at-home orders, social protests and an economic crisis.

With 286 Central Indiana organizations represented in the anonymous survey — a record response, HR executives, CEOs and other leaders provided insight into the salary levels of 26 positions of nonprofit institutions varying widely in size and in annual budgets — from less than $250,000 to more than $10 million.

When asked whether they expected to increase wages for employees at their organizations, 285 of the respondents revealed a mix of answers in the 2021 survey. They are as follows:

  • 2 percent expected a decrease in wages
  • 32 percent expected no increase in wages
  • 8 percent expected a wage increase of 1-1.9 percent
  • 18 percent expected a wage increase of 2-2.9 percent
  • 25 percent expected a wage increase of 3-3.9 percent
  • 2 percent expected a wage increase of 4-4.9 percent
  • 4 percent expected a wage increase of 5 percent or more
  • 9 percent had not yet decided or did not know if they would offer a wage increase

Based on the previous Charitable Advisors Central Indiana Nonprofit Salary Report, released in 2019 before the pandemic, the number of nonprofits planning to offer some type of wage increase had declined — from 63 percent t0 57 percent. However, a larger number of nonprofits in the 2019 survey had not yet decided on pay increases — 24 percent compared to 9 percent in the 2021 survey.

Salary ranges across job levels

As part of the 2021 survey, respondents gave detailed wage information for 26 position categories, from executive level positions to administrative and facility/maintenance support positions, for organizations of varying sizes, budget levels and nonprofit categories (arts, culture and humanities; community development; health; foundation, etc.)

For a full list of salary comparisons, read the 2021 report here.

The following is a sampling of some of the salary comparisons for organizations with operating budgets of $250,000 to $999,000 (the largest group represented at 35 percent):

Executive Director/President/CEO
Average – $79,348
Minimum – $30,000
Maximum – $224,430

Vice President of Programs
Average – $60,475
Minimum – $30,000
Maximum – $140,000

Vice President of Programs
Average – $60,475
Minimum – $30,000
Maximum – $140,000

Case Manager
Average – $42,641
Minimum – $31,200
Maximum – $65,000

Volunteer Coordinator
Average – $38,737
Minimum – $32,136
Maximum – $52,744

Office Manager
Average – $43,970
Minimum – $33,000
Maximum – $74,000

Facility/Maintenance Manager
Average – $51,521
Minimum – $32,600
Maximum – $75,0005

HR executive perspectives on moving forward in 2021

According to several HR executives for the organizations that participated in the annual salary survey, 2020 triggered a significant shift in the evolution of hiring, retention and employee engagement practices in the nonprofit industry.

During conversations with prospective employees, Ponda Sullivan, director of human resources for Tangram, dedicates time to understanding the reasons behind why they left their previous jobs. She also thoroughly reviews exit interviews from current employees.

“When I’m interviewing individuals, I try to capture some of the things that led them to look for another job,” said Sullivan, who previously worked at a for-profit healthcare organization for 18 years. “Some of the concerns expressed were related to child care, career development, flexible schedules and not feeling appreciated.”

Sullivan said nonprofit organizations that can’t compete must focus on those types of areas — the intrinsic appeal of working in the nonprofit industry — to be competitive. 

“People are looking for a company that does the right thing,” Sullivan said. “They want to be treated a certain way and they’re OK with a pay reduction as long as the company provides those other work-life balance benefits. You definitely have to be creative and innovative, and ask, ‘What are those intrinsic awards we can offer?’.”

Discovering new opportunities in the midst of challenges

While the pandemic prompted a series of unexpected “pivots” in the way the Children’s Museum of Indianapolis has traditionally operated, the outcome was a team that emerged better because of the experience, according to Debbie Aull, director of human resources for the organization.

“It definitely changed the world of human resources — in a good way,” Aull said. “We had to rethink everything. We’re much more focused, more transparent, and more purposeful about inclusion with all of our policies and practices.”

In addition to assessing its diversity equity and inclusion (DEI) practices by hiring a consultant, appointing a DEI task force and undergoing an audit to increase transparency, the Children’s Museum expanded into uncharted territory by bringing many programs online.

“One thing that was a challenge — and an opportunity — was moving the majority of our recruiting, hiring, onboarding, training and educational programs to virtual platforms,” Aull said. “At one time, we would have said, ‘There’s no way we can do that,’ but we did. And it’s great for the museum and the community.”

Aull also said that the museum is mindful of the need to adapt to remain relevant — and HR is core to that strategy.

“HR has proven to be the key to the success of the organization. Our people really are the most precious resource,” she said. “We have to provide them with a safe environment which is going to mean different things to different people. We all need to be open-minded in our thinking.”

For example, while HR professionals at organizations of all sizes will likely consider flexible, hybrid and remote options moving forward, it’s important to be mindful of employees who aren’t able to take advantage of those benefits, Aull said. 

“We have to consider it but we also must be open to ensuring there is equity and collaboration for hybrid and remote options,” she said. “We should be mindful of how it would impact employees who don’t have that option. We definitely don’t want an ‘us vs. them’ situation, especially for the staff members who are going in and working, facing visitors harping about having to wear masks, or complaining when they close the restrooms to clean and sanitize them. They’re on the receiving end of all that while I’m sitting in my second bedroom on a computer.”

To ensure that the front line employees felt supported through a challenging period, employees from other departments helped with some of the in-person responsibilities of operating the museum, such as cleaning laundry used in the facility, Aull said.

Rethinking HR strategies

Shelby Slowik, director of human resources at Conner Prairie, said that the living museum has had the advantage of operating many of its programs outdoors, which resulted in fewer disruptions in the team’s ability to continue welcoming visitors. The museum shut down for only two months in 2020 as a result of the pandemic, Slowik noted.

Also, as a larger organization, Conner Prairie is able to compete with many for-profit organizations on the wages it offers salaried employees, Slowik said. “It’s a rarity that we can’t compete at the professional and leadership levels,” she said. 

However, like many other businesses and nonprofits, hiring part-time and entry-level employees — primarily seasonal workers at Conner Prairie, has been challenging, Slowik said. 

“We rely a lot on seasonal employees and that’s where we see a bit more of the pay competition,” she said. 

After more than a year of adhering to new COVID-19 guidelines, streamlining programs, rolling out new policies, and ensuring that employees feel supported through the challenges, many HR departments have been pushed to evolve — perhaps much quicker than they would have without the pandemic, Slowik said. 

“I don’t think I have ever experienced anything like this in my 30 years in HR,” she said. “When you look at it from an HR perspective … the new policies and procedures we had to implement, the expenditures to support filtration, handwashing stations, hand sanitizers, dealing with fear factor of staff, the mental stress, lockdown, safety issues, immunizations, exposure … all that falls under the HR umbrella.”

In the past, Slowik noted, HR departments were comparable to policy enforcers. “Especially for those who have been in HR for some time, we tend to have a black and white viewpoint on how things should be handled when it comes to following policies and procedures, and guidelines on what you need to do to be successful,” she said.

That mindset has evolved significantly, she said.

“Maybe in the last 5 to 10 years, we’re no longer the person there to derail creative ideas. We have switched to being more like a business partner that’s willing to embrace creative ideas, whether it’s telecommuting and attractive benefits that may not have been previously considered. We’re much more approachable in collaborating.”

Just 10 years ago, Slowik said, she would never have considered telecommuting as an option for employees. The pandemic effectively changed her perception.

In the near future, Slowik predicted, HR managers will continue to struggle to find clarity on how much they should pay entry-level employees. “We’re all experiencing staffing challenges. Many hourly positions, which pay anywhere from $12 to $16 an hour, have remained vacant.

“This has caused us to review our entry rates of pay,” she said. “What do we need to do to be competitive if everyone else is raising their rates?”

Conner Prairie has hired a firm to evaluate their wage structure to ensure they’re competitive. “The pandemic pushed me to look at that a year earlier than I probably would have.”

Sep 27

Does DEI matter?: More than 70% of Central Indiana nonprofit employees say, ‘Yes’

By Feature

NFPN survey reveals support for continuing DEI initiatives

by Shari Finnell, Not-for-profit News editor/writer

(First in a series of articles about Charitable Advisors’ NFPN “How Are You Doing?” survey)

Many nonprofit organizations are still grappling with how to address diversity equity and inclusion (DEI) policies — more than a year after protests erupted nationwide after the death of George Floyd at the hands of a police officer.

And that work still matters, according to nearly 70 percent of about 450 nonprofit employees who responded to a recent Not-for-profit News survey about how they’re coping in the aftermath of one of the most tumultuous periods in the nation’s history.

When asked if their organization’s stance on DEI personally impacts them as an employee, 30 percent responded it impacts them “a great deal,” 42 percent said it impacted them “somewhat,” and 28 percent responded, “not at all.”

However, based on the survey responses, employees also said that their employers likely think that they are doing better than they actually are — or at least in comparison to how the employees perceived they were progressing with DEI issues.

When asked, “What do you think your leadership would say about your organization’s progress on DEI?,” nearly 35 percent of employees responded that their leaders probably would feel that the work isn’t new — “we have always valued inclusion and equity.” About 34 percent said that their employees would believe that they “are having some hard conversations and making important changes,” while nearly 24 percent said their leadership probably would feel that “we are talking about it but not doing anything, not doing much,” and 7.75 percent would say, “we aren’t talking about it.”

In contrast, employees’ perceptions about that question, “What do you think about your organization’s progress on DEI?” was as follows:

  • This work isn’t new to us — we have always valued inclusion and equity — 23.06 percent
  • We are having some hard conversations and making important changes — 29.37 percent
  • We are talking about it but not doing anything, not doing much — 36.17 percent
  • We aren’t talking about it — 11.41 percent

Survey respondents weigh in on DEI successes and challenges 

Some respondents said that their organizations have been committed to undertaking DEI work not just since the social justice protests — but for some time.

One survey respondent said, “The organization has been working for a while now on DEI. I feel like we are on the right track, but we still have more to improve on. We need more diverse leadership and board representation.”

Others shared a wide range of thoughts about DEI, revealing various challenges such as coming to a common understanding of what it means. Some believed that the solution requires an extensive undertaking, while some believed it is much less complicated to undertake. Here are some responses:

  • “We need to stop arguing about the reality of racism and accept that systemic racism is real and that we must address it to succeed in our mission.”
  • “We need to judge people based on their character and not their color, ethnicity, or sexual orientation. It’s really simple.”
  • “We need to be more modern … stop letting the older Baby Boomers make decisions that affect a wide swath of people. This group (in our organization, at least) doesn’t want to make changes or doesn’t understand why they’re important.”
  • “We need to weave it into our daily practice, educating ourselves in it, holding each other accountable.”
  • “Add diversity to the team, address a misogynistic work environment, stop training our organizations on topics we refuse to even talk about. Dismantle the good ‘ol boy stronghold.”
  • “We need more internal communication, so everyone understands it.”

While many respondents said that their organizations are committed to DEI, some pointed out that it can be challenging to seriously invest in it to create substantial change. Others felt that their organizations weren’t fully committed to the work.

“It’s tough when we are remote,” one survey respondent said. “Not to do DEI, but to do SERIOUS anti-racism work. DEI is a facade in most cases. Equity is the only part I think impacts systemic change. D and I are just an illusion. We need transformation.”

Another survey respondent said, “We have really avoided this conversation as a team and board despite my repeated attempts at raising concerns. We should at a minimum be looking at our internal policies and having some hard conversations about how we operate.”

One nonprofit employee said that conversations about DEI are difficult because they have become politicized. “There is a reluctance to take a public stance on DEIA (diversity, equity inclusion and accessibility) issues — especially addressing them head-on,” the employee said. “However, general public statements do not protect those of us who have had to accommodate the feelings of others for decades. Being a leader today on issues around DEIA is just seen as too political. This is so very antiquated in perspective. My human rights to be myself don’t have anything to do with politics. But at the same time, my employer is diversifying hiring. So, I’m no longer the only native Spanish-speaker in the building apart from the cleaning staff. There’s that, at least.”

Personal perspectives also came up as challenges that may be difficult to overcome, according to numerous nonprofit employees:

  • “I struggle deeply with issues of DEI. I believe it’s incredibly important, and support DEI efforts wherever I encounter them, but as a white male do not know how to contribute effectively and with respect to colleagues of color, nor do I understand my own position or allowable expression as it relates to accepting or advancing my own career. As a first-generation, college-goer from a blue collar background, I can see how DEI efforts can gain wide acceptance among the white-collar workforce while causing confusion and backlash among so many who take great pride in what they’ve accomplished (and are understandably confused about issues of privilege). The lack of personal connection due to COVID has exasperated this confusion on my part, as my interactions with colleagues feel less genuine and more awkward, while DEI issues have become increasingly important and widely discussed.”
  • “I am the only person of color in my organization. It puts a great deal of pressure on me to perform at a near inhuman level.”
  • “I wish we were doing more. I’m in the majority and I don’t think people in the majority can do much to make positive change.”

Implementing DEI in the workplace — perspectives from two nonprofit organizations

For nonprofits undertaking DEI initiatives in recent years, the process is continually evolving as teams better understand what it takes to achieve successful outcomes, according to two survey respondents who agreed to be interviewed.

Sally Bindley, MSW, founder and CEO of School on Wheels, said the 20-year-old organization in Indianapolis started focusing on DEI initiatives in 2016. At that time, the team developed a diversity task force to broaden and diversify School on Wheels’ volunteer tutor base. “We wanted it to be more representative of the students we served,” Bindley recalled. School on Wheels received a grant from Lilly Endowment, Inc., to support the work.

It didn’t take long for the School on Wheels team to realize that diversity, equity and inclusion needed to be integrated into all aspects of the organization’s operations — not just as a side project, Bindley said.

“Diversity is not a task. If you approach DEI as a standalone initiative, you check the box. This way it’s more of a thought process,” she said. “We made it a standing committee of the board of directors — a diversity committee led by a member of the board. Just as we have regular reports from other committees, finance, executive, development, we have regular reports on diversity.”

As a result, employees and board members have become increasingly more aware and intentional on how to include diversity in all areas — from identifying where diverse volunteers are living and working to ensuring diversity in marketing, messaging and operations, Bindley said.

When asked about advice she would give to other nonprofits on embarking on DEI work, Bindley said that it is important to acknowledge that it is an ongoing process.

“Being intentional for us is being aware. Review your language,” she said. “Whether it’s job posts, or messages circulating on your website, make sure you’re mindful of what you’re putting out there. Do you have a commitment to DEI? A statement against racism and hate? We also realized our volunteer recruitment flyers needed to be in English and Spanish. If you don’t have a DEI program, that’s OK. Start with training: What is diversity? What is inclusion? What are microaggressions? Then analyze how you’re doing with all of that. Once we had the in-depth fast training, it brought so much awareness to our language and conversation.

“We’ve made strides, but there’s always more work to do,” she added. “It’s constantly evolving.”

Bindley also said she is a strong believer in hiring a consultant to help assess where the organization stands with incorporating DEI, as well as ensuring that she, as a leader, is fully engaged in the process. Although School on Wheels designated a person to undergo DEI training, Bindley said that she makes sure to personally engage in DEI initiatives.

“I want to have the most opportunities to grow and to impact change as a leader,” she said. “I have zero time, but I can’t say, ‘You’re in charge of this and let me know how it’s going,’” she said. “If you’re a leader of a nonprofit, this messaging starts at the top. If you don’t make it a priority, it’s obvious. I can’t say I’ve always done it right, but you have to be vulnerable as a leader and say this is what I know, what I don’t know, and this is what I need to learn.”

Guenevere Kalal, MSM, director of foster care services for Damar, said that DEI has been at the top of the nonprofit organization’s list of priorities for some time. The team members want to ensure that they are culturally aware of the clients they serve. 

“Our foster families are very diverse,” Kalal said. “Over the past couple years, we have seen more children from Hispanic, Burmese and other cultures coming into light for support in the child welfare system.” As a result, they have initiated discussions on how to gain a better understanding of the various cultures and ensuring that they are always culturally and racially sensitive, she said.

Open, candid conversations and acknowledging personal biases must be a priority, Kalal said.

“My approach to many things, not only with my staff, is to be as professionally transparent as possible. It can’t be the elephant in the room. We need to learn how to be comfortable with uncomfortable conversations,” she said.

That process also includes checking in with families for feedback on their interactions with staff, including asking if they have felt any disparities from staff members.

The team also committed to undergoing training, including a two-day workshop, Interrupting Racism for Children, offered by Child Advocates. “The Department of Child Services also did an excellent job of doing their research on what potential trainings are out there to help our providers navigate conversations about racism, including series on Netflix and PBS,” Kalal said.

“We need to understand where we came from as a country. I don’t want to dwell on the past, but it has a huge influence on where we are,” she added. “I need to understand that so I know how I can focus on becoming part of a positive change.”

Sep 27

Digital conveniences in a remote work environment

By Sponsor Insight

by Dave Voris, vice president, regional treasury management officer, Horizon Bank

The pandemic continues to provide organizations and their employees the opportunity to rethink whether they should return to a five-day work week in the office versus spending more time in a virtual environment.

In LinkedIn’s year-end roundup of workplace trends to watch in 2021, Harvard Business School’s Ashley Whillans predicted that companies will need to accommodate employees who have adjusted to a new routine: ” Employees will demand greater flexibility and organizations will require it. Companies may let employees work from home two or more days per week, with some opting for three days in office, two days remote, and then two days off — a 3-2-2 workweek.”

To support this new hybrid work schedule, the latest in basic banking systems will allow employees to manage finances without being tied to the office. First, digital conveniences such as online banking have provided remote capabilities for years. Treasurers can safely log into their accounts via smartphone or laptops to review balances, to view history of posted transactions, to transfer funds between accounts, to submit any stop payments, or to approve any fraud suspects that surfaced as a result of Positive Pay service.

Also, since many not-for-profits continue receive checks from donors, employees can easily deposit them into a bank account using mobile check deposit through an app. This process is very efficient for organizations that receive a relatively low volume of checks.

For not-for-profit organizations that use “Donate Here” buttons on their websites, donors can safely make one-time or repeat donations via credit card without the not-for-profit organization needing to be in direct contact with the donor. In addition, other not-for-profit organizations accept credit cards at events, despite the continued presence of the pandemic. Such mobile credit card acceptance can be easily facilitated with an app downloaded on the smart phone and supported by a handheld “card swipe” device that is about the size of your palm. All of these techniques are readily available, and very affordable, using standard banking technology.

Disbursements must be mentioned within this context of remotely working. In other words, can you pay bills without being in the office to write checks? Many organizations are adopting business bill payment systems that can be accessed via the bank’s smart phone or via the client’s laptop. These systems allow the treasurer to define payees, schedule payments, select between sending a paper check or an Automated Clearing House (ACH) transaction, and approve such payments even with dual control between two separate people.

In addition, these processes — which typically are 50 cents to 75 cents per payment — are typically less expensive than what several industry articles have suggested over the years as a total cost for sending a paper check — approximately $1.50. That paper check cost includes an assumption about the costs of envelope, paper check, postage, bank charges, and reconciliation time.

These are numerous examples that demonstrate various digital techniques about how receipts, disbursements, and information reporting can be managed within a virtual environment without the need for the treasurer to be in attendance at the office.

So, the answer is yes, not-for-profit organizations are efficiently able to conduct banking as more organizations in a remote work environment with these digital banking conveniences.

Sep 27

Innovative ways to tackle today’s top work challenges

By Sponsor Insight

by Ian McManis, marketing manager, Barnes Dennig

With today’s not-for-profit professionals juggling more priorities than ever, time is at a premium. That’s why Barnes Dennig has hosted a series of concise workshops designed to answer key questions to challenges not-for-profits are facing across a broad range of topics. The following include recaps of the sessions as well as links to access the full recordings:

Cybersecurity: How NFPs protect themselves and their donors

Everyone is at risk to falling prey to ransomware, whether it’s their home office computer or a major oil pipeline company. But the more prepared you are for an attack, the more likely you are to avoid it. In this session, Robert Ramsay, Barnes Dennig director and cybersecurity specialist, shares how to best protect yourself and your organization. Highlights include:

  • Ways to protect against ransomware attacks
  • PCI DSS standards: How to make sure your organization is compliant when soliciting donations online
  • How to keep donor secure and private
  • What you need to know about the California Consumer Privacy Act (CCPA) and how to be compliant

Download the presentation and watch the full recording here.

The new lease standard: Why NFPs need to start planning now

Maybe you’re ready to implement the new lease accounting standard today. Maybe it’s still at the bottom of your never-ending to-do list. No matter where you fall on the spectrum, Brad Sack, Barnes Dennig senior manager and NFP assurance specialist, covers the basics, using real-life examples and experiences from his clients to provide insights. Here is an overview of the session:

  • What do the updates to the lease accounting standard mean for my organization? When do they go into effect?
  • What changes should I need to make today to make sure I’m in compliance?
  • How can I build and manage a process to keep my team and me on track?

Download the presentation and watch the full recording here.

NFP Tax & Accounting Lightning Rounds – 990s, ERC, QBO for NFPs

Join NFP Tax team leader Paula Hume, CPA; COVID-19 team leader Cheryl Ganim, CPA; and QuickBooks specialist Kathleen Haney, MBA as they break down some of the most common accounting and tax issues NFPs face. The 15-minute segments include:

  • It’s just a 990: How hard could it be? Turns out there’s a bit of strategy involved.
  • Wait, did you say we could be eligible for the Employee Retention Credit in 2021 even if we weren’t for 2020? Take the ERC Quick Test and come prepared to discuss how to determine eligibility and calculate the amount.
  • A lot of NFPs use QuickBooks Online (QBO): How can I use it to help my organization grow smart?

Download the presentation and watch the full recording here.

Virtual Auditing 101: How NFPs avoid common issues

Every organization needs audits run for them, but not all have had a virtual audit. Our world is moving more towards virtual every day. While virtual work has a wide list of benefits, there are some downsides as well. Join Senior Manager Kara Wysinski, CPA, and Senior Associate Tricia Hart, CPA in going over the pros and cons of virtual auditing. Here are a few of the highlights:

  • Changes to audit approach
  • New audit risks
  • Changes in internal controls
  • Best practices for a remote audit

Download the presentation and watch the full recording here.

Additional resources and upcoming events

Our nonprofit team works hard to bring the best and most relevant resources to our communities. Barnes Dennig is hosting Measurement Resources Company and SureImpact, Inc. founder and CEO Sheri Chaney Jones as she leads two full workshops in one virtual event:

  • Data-driven strategic planning for fundraising success
  • How to turn data into dollars: Demonstrate your social impact

Learn more and register here.

Every other year, we collect responses from regional non-profits on compensation, benefits, retirement plans, governance and other metrics and release the findings in a free virtual event.

Each attendee will receive a copy of the 2021 Not-for-Profit Compensation & Benefits Benchmarking Study, which will help them compare their organization to others in the region. A well-thought-out compensation and benefits package helps not-for-profits better fulfill their mission.

Learn more and register here.