Written by Barry Omahen, CPA, Managing Partner, and Stephanie Kretschmer, Marketing Manager, Lindquist LLP

If your organization is considering having an audit for the first time or changing auditors, it is wise to exercise due diligence when obtaining bids for services. With the continued focus on transparency and accountability by government agencies, donors, parent organizations and the general public, the selection of a qualified certified public accountant (CPA) has become increasingly important.

Quality audit and accounting services help nonprofit organizations safeguard their assets; improve internal controls and efficiency; complete timely and accurate returns to comply with federal and state regulatory filing requirements; and stay on top of regulatory requirements, accounting standards and industry best practices.

Before you request bids, your organization needs to answer a few key questions:

  1. Who is going to be responsible for the selection process? Will it be an individual (Executive Director, Director of Finance or Controller) or a group (Board of Directors or Audit Committee) Does your organization have an Audit Committee and, if not, would it make sense to create one?
  2. What services do we need? Define your organization’s needs and create a list of required services. Getting clarity on exactly which services are needed will help ensure that you are comparing apples to apples at decision time.
  3. When do we need these services? Consider your year-end deadlines, filing deadlines and scheduled meetings of the Board of Directors. How quickly after year-end do you close your books? When do you want the financial statements presented? You will need to communicate any timing expectations to prospective bidders.
  4. Upon which criteria are we going to base this decision? Consider: prior experience with not-for-profits; organization, location, size and structure of the firm/individual; understanding of the work to be performed, including ability/plan to complete services according to the organization’s timeframes; experience of references; price; industry knowledge and approach to communications. Some organizations develop a weighting system to help ensure they are objective when making the decision.
  5. What is our process and time frame for making a decision? Determine whether you are going to allow candidates to come onsite to meet with accounting staff or wait until you have received proposals and identified finalists for the decision-makers to interview—or both. Outline when you are going to issue a request for proposal, how long candidates have to ask questions or request an onsite visit, when candidates need to submit a proposal, when you expect to interview finalists, and when you expect to reach a decision.

Gone are the days of calling a couple of CPAs to say, “Give me a bid,” and reaching an agreement with a handshake. Today’s organizations need to be conscientious about their selection of a CPA. Conducting a diligent and thorough selection process not only satisfies key stakeholders, but ultimately helps protect the organization.

Barry Omahen, CPA, is the Managing Partner of Lindquist LLP, a certified public accounting firm specializing in audits of not-for-profit organizations and their related employee benefit plans. Barry’s chief responsibilities include supervising Lindquist LLP’s day-to-day operations and the firm’s quality control review process. Email Barry at bomahen@lindquistcpa.com.

Stephanie Kretschmer, Marketing Manager, helps the professionals in Lindquist LLP’s four West Coast offices attract and retain clients. She oversees firm communications and has responded to hundreds of requests for proposal in her career. Email Stephanie at skretschmer@lindquistcpa.com.

To learn more from Lindquist’s nonprofit-focused CPAs, watch the recorded webinar: “Beyond the Numbers- How to Review your Organization’s Form 990.”

Have you ever considered different ways to engage your employees at your nonprofit? High performing companies like Google, Zappos, LinkedIn and other organizations have found a way to have both high productivity among their employees along with profitability and it’s all due to creating a fun work environment. When looking at these highly successful companies, they have been able to incorporate fun into the foundation of their culture. While having fun at work may not produce results on its own, it will make your nonprofit organization stand out among your competitors and spark the interest of future employees who are looking for new employment.

Prioritizing fun in the workplace can have a direct impact throughout your organization in ways that you may not expect – such as organizational health. Fun at work can be used to encourage participation amongst employees, making them want to engage in wellness programs. Productivity; fun can offer your employees a break or distraction from everyday tasks, creating valuable break time. Engagement; when employees are engaged they tend to be more enthusiastic about their work.

Many workers have a tendency to imagine the ideal work environment and can’t seem to shake the idea that there’s always something out there that is a better fit for them. This can make employees only look at the flaws of their current work environment rather than seeing its potential. Discussing such concerns with your manager and/or leadership will help them better understand the issue at hand and work together to create a fun workplace.

While fun at work can build solidarity, connections and an outlet for workplace stress, the BIG question is… how do you get started? Since this is a cultural change, no one single event or two can single handed lee change a work environment. You can begin by assessing your culture. Ask yourself if you see how the value of fun can fit and then explore how the fun can become a part of your operations. The next big revolution in the working world is focusing in on culture.

After a hard and drawn out battle over Indiana’s Right to Work law, it appears the fight will be continued in the state’s Supreme Court. A Lake Superior Court Judge, John Sedia, ruled Thursday (9/5/2013) that the law violates a provision in the state constitution barring the delivery of services without “just compensation.”

Sedia ruled the law incorrectly forces unions to represent workers who don’t pay union dues.

Read more about the fight, and what experts from all sides of the fight predict will happen, here.

Vacations are designed to be a tranquil escape from everyday stresses encountered at the workplace.  However, many Americans are finding reasons to either avoid or shorten their vacation time usage.

While it is true that American organizations are one of the top most productive business sectors in the world, lack of vacation will inevitably lead to poor physical and mental health, as well as increased turnover rates.  Vacations are imperative to maintaining vitality and work ethic throughout the office—increasing both productivity and happiness with one’s job and others.

With 61% of employed Americans expecting to work during their summer vacation, it’s no wonder many employees lack enthusiasm when planning their vacation time.  Here are some prevalent work-related activities vacationing workers often find inevitable:
 

  • 38% of workers anticipate receiving work-related emails.
  • 30% expect to answer work-related phone calls.
  • 24% presume they will receive work-related texts.
  • 20% believe they will be asked to do work by a boss, client, or colleague.
  • 32% assume they will be making preparations for incoming documents on their computer.

Developing stress prior to, during, and after vacation, due to interrupted work flow and lack of routine, many workers fail to recognize the positive effects vacation has on one’s work.

Use these methods to make vacations relaxing and work-free:
 

  • Vacation from technology, as well as the office.  Because our society is so reliant on our smartphones, and laptops, and tablets, checking a work voicemail or email unfortunately becomes second nature.  Either set a small amount of time aside for answering calls and messages, or shut off your devices altogether.
  • Think of vacation as a duty, rather than an optional perk.  Vacations are important to your health and attitude.  Even if you don’t think you need it, consistent days off helps you rejuvenate yourself—energy needed when going back to work.
  • Take short, but regular days off.  People are often more productive and cheerful in the days leading up to vacation.  If a week or more of vacation time is still too daunting, don’t be afraid to take long weekends off or spread out your vacation days.  More mini vacations give you more things to look forward to.
  • Have confidence in your staff and coworkers when you’re away.  Appoint a second-in-command for the duration of your absence.  Be sure to plan ahead and delegate responsibilities so you don’t feel pressure to check in while you’re on vacation.
  • Encourage your staff to take vacations.  Employees are often too timid to ask for days off in general, fearful of portraying a lazy work ethic.  As a superior, it’s up to you to publicize that vacation days are a vital necessity, not a sign of weakness.

Vacations are crucial to a worker’s sanity and general attitude towards the workplace.  Though it’s tough to step away from the computer and turn off the smartphone, time away from the office will provide you much needed rest, and the break you deserve.   Vacations are what help employees remain satisfied with their jobs, in turn keeping organizations competitive and successful.

Learn more about vacation and work time here.

Have you ever critiqued a coworker because of their overbearing tendencies or their abrasive personality? Don’t worry; you’re not alone in your frustrations. However, learning to dissect and identify your own and others’ personality traits can actually increase work ethic and strengthen internal relationships—paving the way for a stronger organization overall.

For nonprofits, employees’ collaborative efforts are often the key element to mission advancement But clashing personalities working toward the same goal can lead to resentment and impatience in the work place.

Learning to recognize and understand others’ personality strengths and weaknesses can help you appreciate the diverse environment you work in Specifically, nonprofits can take advantage of their diversity when it comes to improving their employment procedures and ensuring ongoing structural soundness.

Basic working styles can often be separated into 4 broad categories:

  • Learning—Learners are the researchers Unable to quench their thirst for knowledge, learners are constantly looking for the root of current and potential problems. For instance, with regard to your organization’s employment practices, learners can help analyze the strengths and weaknesses of your workforce, analyze how better documentation and standardized hiring practices can lead to a stronger, more long-term labor force.
  • Loving—These individuals are known for their relationship building abilities. They tend to show empathy and kindness towards others and understand how to approach difficult situations with grace. Spreading optimism throughout the office can help your nonprofit maintain a “glass-half-full” outlook on everyday work problems. Internal positivity and support alleviates stress during unanticipated budget or employee loss—providing you with a sense of security and consistency.
  • Doing—Doers are known to execute and accomplish set goals. They thrive on lists, deadlines, and projects. For example, by utilizing this focus and attention to detail, nonprofits can analyze and restructure their training and continued education opportunities—leading to greater time efficiency and overall HR effectiveness.
  • Leading—Leaders create and persuade by providing your employees with the tools to succeed Able to paint a picture of their visions, using innovation and passion, leaders are able to easily rally support behind their ideas. Great leaders inspire employees to constantly push themselves and take calculated chances to further your nonprofits’ mission. With each leader setting the bar even higher for the next, your nonprofit will be on track for upward mobility and constant procedural refinement.

Whichever working style team members possess doesn’t really matter by itself What most affects a nonprofit’s success is the compilation of strengths your team brings to the table and your team’s ability to successfully work together as a cohesive unit. As long as you understand and utilize everyone’s unique abilities, pertinent to your team’s progress, your nonprofit will continue to flourish.

Discover which working style you have here.

Leadership development has always been a huge priority within the nonprofit realm. Always looking towards growth opportunity and mission advancement, most nonprofits place heavy emphasis on grooming their potential leaders.

Though prioritizing leadership development is a step in the right direction, nonprofits must simultaneously analyze and define both strategy and leadership development procedures in order to transform goals into achieved reality.

Nonprofits often lose momentum and general direction after failing to go over the specifics. More often than not, leadership development procedures fall into generalized categories. Because no one strategy or goal is alike, it’s important to identify the specific skills required for every set objective.

When looking at future development plans, your organization must develop a consensus around what skills your employees, leaders, and future leaders currently possess, and what behaviors will be required for future endeavors. Identifying the gap between present and future skill sets will better allow you to create a plan of action to achieve such skills.

Bridgespan created a process to help organizations both analyze potential changes in business strategy, and create a leadership development plan to address these organizational shifts.

When looking to the future, ask yourself these questions:

  • What major strategic changes(s) is your nonprofit planning on making?
  • What behaviors and skills will be required to execute these strategic changes?
  • What behaviors will be required of both current and future leaders to transition smoothly and successfully implement these changes?
  • Which leadership needs will be required of each future leadership role? Will we be able to develop the needed behaviors and skills through internal grooming of current staff members? If we are unable to do so, what will the course of action be in reaching out to those possessing such behaviors?

Overall, you must think of strategy and leadership development as a package deal. Greatly affecting one another, strategy and leadership development must consistently be analyzed side by side.

By closely monitoring your organization and its future leadership training process, you can decide what’s effective and what still requires improvement. Attention to detail is the key ingredient to identifying potential weaknesses, harnessing current strengths, and bridging the organizational gaps.

Learn more about linking leadership development and strategy here.

Promoting from within can enhance internal productivity and increase external relations—if done right.

Truth be told, the process of hiring from within an organization is fairly common. Having built up trust and demonstrated more competence than the average worker bee, many workers within your organization may appear more than ready for a higher authority position.

But just because your buzziest employees are great at what they do now, it does not mean that they possess the skills and desire to move up within your agency.

While an individual may excel at his or her current tasks, the leap from associate to manager, for example, can damage one’s professional career. For instance, if a promoting manager fails to analyze the key differences in position responsibilities, the promoted worker may be unprepared or unwilling to perform the newly assigned tasks.

Such confusion (and irritability, or push back in some cases) will cause a domino effect within your organization. If other employees either don’t respect their newly appointed superior, or don’t feel that their new superior is prepared for the increase in responsibility, they may develop lazy work habits and become resentful. And when work production decreases, relationships with outside sources—whether with donors or community liaisons—will inevitably suffer.

And without growing external support, your company’s mission will become much harder to advance.

Avoid promotion regrets. Take the time to properly and effectively assess your potential candidates.

Here are some guidelines to follow when considering promoting within:

  • Coach your best workers. Mentor figures can help familiarize promotable employees with vital authoritative skills, so they can be groomed for future leadership roles.
  • Define what characteristics you are looking for. Specify the requirements and expectations necessary for the promotion. You want to eliminate any confusion and vagueness.
  • Constantly check in! After assigning new responsibilities or challenges, be sure to track the worker’s progress and adaptability rate. This will allow you to continue to measure their potential learning capabilities.
  • Give others a chance. While you may originally have someone in mind for the new role, don’t rule out other prospective employees. Certain workers may thrive under the pressure and exceed your expectations.
  • Take baby steps. Give your hardest workers added responsibilities over an extended period of time. The last thing you want is to overwhelm your employee and give them a role they aren’t yet conditioned to handle.

Hiring within is an extensive process, but produces worthwhile results when proper precautions are taken. Be responsible and prepare. Set the example. So your company’s future leaders can one day do the same.

Learn more ways you can turn a good worker into a strong leader here.

Effective communication in the workplace is an integral element to business success. It isn’t just about managing conflict, although an important benefit, good communication creates an environment that allows employees to be productive and highly effective.

The desire for human connections at work isn’t a new concept and long gone are the days when employees came into work and sat in front of a computer for an eight-hour stretch with little to no communication at all. Nowadays, more than ever, we get so caught up in the hustle and bustle of the day-to-day business that we forget to make time to connect with those around us. When employees come together for the pure enjoyment of one another’s company, they experience an increase in morale and commitment to each other as well as the company itself – keeping them engaged and positive.

Many of the conversations we have at work are naturally focused on the business – impending projects, upcoming events or deadlines and of course, those funding concerns as opposed to interpersonal conversations. However, if you want engaged employees who are committed to your nonprofits mission, we must pick our heads up out of our own busyness and acknowledge those around us. The desire to want to be noticed, valued and appreciated are all fundamental human needs, so just by facilitating more and better conversations through simple human interactions such as talking more, asking more and even thanking more, can help to strengthen your teams morale and loyalty.

Employees look forward to coming to work when they feel like they have something in common with their fellow co-workers or even better – have a valued friend at work. And while there are typically five generations in the workplace today – cross-generational connections can sometimes take time and effort. Ensuring there is time for relationship bonding through open communication can help your organization in unexpected ways. It also doesn’t hurt when they know they can talk to their boss about problems and feel heard.

Communication is about more than just talking, it’s about connecting with people -one of the most powerful benefits in the workplace. Effective workplace communication helps employees form highly efficient teams so start building strong relationships by reaching out and taking the time to connect in meaningful ways.

The National Governors Association (NGA) has turned their attention to helping people with disabilities find jobs this year. Focused on building partnerships with companies that help those with disabilities find long-term, satisfying employment by accommodating those once considered unemployable, the NGA will make ongoing recommendations for further improvement in their annual August report.

How has your organization adapted to better accommodate hiring workers with disabilities?

The Association aims to create a plan that provides workers with disabilities a paycheck while strengthening the deeper sense of purpose and belonging many people find in their jobs.

Nationally more than 30 percent of the adult population receiving income-based government assistance has a disability. But, only 1 in 3 adults with disabilities, ages 18 to 64, were employed in 2011—the most recent year statistics are available for—compared with 3 out of 4 adults without a disability.

However, according to the NGA, the U.S. spends about $300 billion annually to support unemployed workers with disabilities, while 67 percent of working-age people with disabilities would rather have a job they feel productive at.

Does your nonprofit support workers with disabilities? How have you encouraged other organization to accommodate workers with disabilities? Has it caused any changes within your organizational structure?

If so, you may be interested in connecting with our partners the National Association of Private Special Education Centers (NAPSEC) which provides private specialized education programs and serves as a community resource or the Association of Developmental Disabilities Providers (ADDP) which works to enhance the political, financial and professional/educational health of their members which care for people with disabilities.

Read coverage on how Walgreens and other employers are working on better accommodating workers with disabilities as a “good business decision” in this Stateline article.

With Facebook implementing a new algorithm to bring it back to its original purpose—an interactive platform that allows you to share memorable life moments—nonprofits are now put in a position that requires them to work that much harder to be noticed amongst all the noise. Nonprofits have utilized Facebook as an outlet to tell and share stories to better reach their audience, however this new algorithm poses a challenge to be able to reach those individuals that would interact or benefit from their content. On the bright side, implementing appropriate strategies can help maintain and improve your content’s performance.

To get the most out of the current changes with Facebook’s algorithm and to better your chances of being seen by your audience, here are five steps that can help put your nonprofit in a good position to be visible to your social community:

1) Identify Important Content: In order to find success on any channel, you have to develop content that will do well within the parameters of that particular channel. This is where the latest algorithm can make this difficult; however prioritizing what you’re posting will make all the difference. Posting content that will connect with your audience on a more emotional level will help grow relationships with your followers.

2) Analytics are Your Friend: Don’t be afraid of Facebook’s update until you see how it effects the performance of your content. However, if you see your results slowly dropping, start comparing the results of other posts and ask yourself “why one post worked better than the other?” Be willing to question your work and make adjustments accordingly.

3) Design Shareable Content: This is no secret to anyone that the top-rated posts are those that are designed to be shared. Whether the post is a simple image or a clever video, shareable content continues to be proven the most effective type of content to share with your audience.

4) Ask Questions: To really know and understand your audience, ask them questions. Simply posting a question and encouraging them to answer below will increase the number of interactions that benefit your organization and in-turn relay positive feedback to Facebook’s algorithm.

5) Don’t Be Afraid to Try Something New: Every nonprofit has a different approach when it comes to figuring out how often they should post and what the response rate will be. The update to Facebook’s algorithm has the potential to be very impactful and is likely to have an effect on your current digital strategy. If you notice a change in your performance, try something new—you never know if that one change will make all the difference.

December marked the 87th consecutive month of job growth, adding an additional 148,000 positions during the month – bringing the total number of jobs filled in 2017 to 2.06 million. The unemployment rate remained unchanged at 4.1 percent for the third consecutive month but fell over the year by 0.74 percent, a 17-year low.

The number of persons employed part time for economic reasons was essentially unchanged at 4.9 million in December but was down by 639,000 over the year. These individuals, who would have preferred full-time employment, were working part time because their hours had been cut back or because they were unable to find a full-time job. The number of long-term unemployed remained essentially the same at 1.5 million in December but declined by 354,000 over the year.

Among the marginally attached, there were 47,000 discouraged workers in December, little changed from a year earlier. Discouraged workers are those not seeking employment opportunities because they believe there are no jobs available. The remaining 1.1 million persons marginally attached to the labor force in December had not searched for work for reasons such as school attendance or family responsibilities.

Payroll employment growth totaled 2.1 million in 2017, compared with a gain of 2.2 million in 2016. Job gains occurred in healthcare (31,000), construction (+30,000) and manufacturing (25,000), collectively creating over half a million jobs in 2017. Employment changed little for most other major industries, including food services, professional and business services, retail trade, mining, wholesale trade, transportation and warehousing, and financial activities.

The labor force participation rate, at 62.7 percent, was unchanged over the month and year. And while the employment-population ratio was also unchanged at 60.1 percent in December, it was up by 0.3 percentage point over the entire year.

Wages rose in December by 9 cents, increasing over the year by 65 cents, or 2.5 percent.

This all alludes to an economy that is healthy and likely to continue growing but we won’t know for sure for a while.

Endorsing the UST program since 2002, the Maine Association of Nonprofits was founded in 1994 as a member organization dedicated to enriching the quality of the nonprofit community in the state of Maine. By advocating for and on behalf of the nonprofit sector in the state, providing guidance on best practices and offering management training, research and assessment tools as well as cost-saving programs, MANP allows nonprofits to run much more effectively and efficiently.

The organization also connects leaders in the community in an effort to build relationships that enable these organizations to grow together and form a united front on critical issues that may arise.  They work to build the capacity of the sector to develop their existing and emerging leaders.

Just a few of the services and tools you can expect to find through the Maine Association of Nonprofits include:

  • Professional Development Programs & Educational Resources
  • Nonprofit Job Board, Networks & Coalitions
  • Voter Engagement & Advocacy Support
  • The Answer Center & Assessment Tools
  • Assistance with Starting or Dissolving a Nonprofit
  • Intensive Programs & Executive Transition and Succession Planning

MANP recently launched a member survey and when they asked members “If you were describing to someone why your organization is a member of MANP, what would you say?” Responses included comments like “MANP has proven to be the best advocate and resource for nonprofits in general in the state of Maine.” and “MANP provides essential resources for nonprofits to be more successful, administratively, publicly, internally and externally.”

Maine Association of Nonprofits continually works to improve the communities throughout Maine by providing the framework and resources needed to help organizations be successful. For more information on the Maine Association of Nonprofits visit www.nonprofitmaine.org.

Since the recession began, companies laid off millions of employees believing that their bottom line wouldn’t survive if they kept any more than the most skeletal staff onboard. And, as people lost their jobs, nonprofits lost large chunks of their funding.

Things seem to be changing though. Recently economic-focused news outlets, like Bloomberg Businessweek, have been reporting an upswing in hiring trends, lower jobless claims and that companies are re-hiring for many of the positions they previously cut.

Creating hope that the recession may be breathing its last breaths, these reports are also changing the ways employees interact at nonprofits.

Now, even though more people are volunteering with charitable and nonprofit agencies through social media and word-of-mouth, the lack of funding for employee paychecks is causing high turnovers as these employees are offered better paying jobs elsewhere.

For instance, The Chronicle of Philanthropy has found that there is an exceptionally high turnover rate for fundraisers that is costing charities lots- and lots- of money. Finding that most fundraisers are only staying at their jobs for an average of 16 months and are being recruited after only a few months, the direct and indirect costs of finding a replacement are estimated to be $127,650 per fundraiser.

Because demand for fundraisers, and many other nonprofit employees, vastly outstrips the supply of good candidates, the president of Cygnus Applied Research, Penelope Burk, says that she has found that “only 1 out of 3 fundraisers experience[s] even a day without a job.”

In conducting research for a study that is expected to be released this fall, Burk suggests that keeping fundraisers happy can save organizations thousands of dollars. She also suggests that agencies work at promoting their internal talent and offering training opportunities that can make inside people better qualified for assuming new positions.

Just one example of where high turnover is hurting nonprofits, the move to re-train the unemployed for new positions is also affecting nonprofits as many job seekers are requesting courses and training in fields like computers and nursing where they can expect a stable salary.

Operating on already tight budgets, the high rate of turnover at many nonprofits is making it even harder to survive, but by looking for ways to increase employee happiness- whether that means offering more time out of the office or the ability to work from home- more agencies can compete for the best possible candidates.

To find out if job seekers can be re-trained to work for your organization, contact your local unemployment agency or career center.

June 23, 2013
Lisa (in red) poses with Laura, Megan, Angela, Robin, and Kim (from left) with their UST mugs.

Lisa- Customer Service & Enrollment

When Lisa started working with the Unemployment Services Trust (UST) in May of 2012, she was revving to go. “I was excited about the opportunity to finally—after many years of working—be doing something that actually makes a difference,” she explains.

As a Customer Service & Enrollment Specialist, Lisa spends the majority of her time talking to nonprofit organizations all around the U.S. to explain how the Trust can help lower the cost of unemployment, and to get them the information they need to make an informed decision. She prides herself in being a gateway for each new organization; helping each agency weigh their decision about whether to stay with the State UI system, opt out and reimburse on their own, or join the Trust.

“I have volunteered at retirement homes, as well as in the critical care unit working for new babies, and I feel very strongly about both the elderly and infants/children. They are the most vulnerable and innocent populations and I love helping them,” she says.

“But in my time off, I’m such a homebody,” she laughs. “I read, watch movies, do cross-word puzzles and spend time with my family and friends…and dance in the living room. In fact, if I could dance for a living, I would. I love to dance on my own to music, just expressing whatever I feel. But my absolute favorite place to be is curled up on my couch on a rainy day with a great book, my kitties around me, and someone I love next to me.”

As much as Lisa’s cats and her couch may call her name though, she’s still been bitten by the travel bug: “For years the Beatles were an enormous part of my life, and I adore them, so I would be thrilled to have the opportunity to go to Liverpool, England, and see where they began.”

Have questions for Lisa? Want to talk about why the Trust makes sense for so many different orgs, or tell her about your own Beatlemania? Tweet her @USTTrust!

We’ve all heard it time and time again: “9 out of 10 nonprofits lack a formal retention strategy.”* Nonprofits need to revise their view on employee retention. Training a new employee is expensive. Keep your employees happy to keep costs down.

But the constant stream of demands is easy to tune out. There are thousands more pressing concerns that need to be addressed first, right?

The cost of losing a talented employee who is familiar with your organization, cause, and market far outweighs the time it takes to develop and implement an effective formal employee retention plan. Worse, the loss continues to grow as you factor in the time it takes to find and train a replacement, and the time it takes them to build relationships equivalent to those lost when your former employee left.

So what’s a busy nonprofit to do?

Start small. Next time you’re looking to fill an empty position, take a close look at your recruitment strategy. Are you doing everything you can to attract recruits that will be a good fit in your organization not only when they start, but a few years down the line? The more engaged an employee is with your organization, the longer they are likely to stay (and grow) with your organization. But if you aren’t doing the small things up front, like being honest and open about your organization’s culture, chances are your organization will be waging an uphill battle to keep them onboard.

Give them a ring. Not a literal ring. But imagine employee engagement as a dating relationship; to keep your employees onboard and on track, it’s important that you both are continuously assessing the relationship, strengthening your commitment, and ensuring satisfaction. If you think employee engagement might be missing a beat, find new ways to make work more enjoyable, both emotionally and professionally for your employees. And then thank them for their hard work.

People aren’t computers, and they aren’t easily replaceable, but we all fall behind sometimes. So, how does your organization foster employee engagement?

*2013 Nonprofit HR Employment Trends Survey, Nonprofit HR, (2013), retrieved from http://bit.ly/1apm9Ph.

Do your employees wake up every Monday morning dreading the day? Or do they come to work full of energy and ideas that they’re ready to implement? If it’s the latter, your employees may well love what they do, which gives your organization a leg up over unhappy competitors. Read on for a list of 7 things that show your employees love their jobs.

  1. Employees actively help one another out. When your employees regularly work together it suggests a couple of things that create a successful workplace. One, it suggests that they feel collaborative efforts are worth their time and energy, and two it suggests that they feel confident in the skills and opinions of their peers.
  2. Employees regularly suggest—and implement—new ways to help your organization and your mission succeed. When your employees come in first thing Monday morning with fresh ideas they’re ready to put into action it shows that they’re not only thinking about work outside of their M-F workday, it shows that they’re committed to improving the foundation that your organization has already laid.
  3. Employees like one another. Have you ever heard of the airplane test? Basically it says that when meeting—or interviewing—someone new you should ask yourself how you would feel being stuck on an airplane with them. If you’re happy to be sitting next to your companion the flight will go well. If you aren’t, it probably won’t.
  4. Employees feel confident in approaching upper management with concerns and new ideas. Having a strong connection with upper management suggests that your employees not only feel valued within your organization, but also that they know that your organization will take their ideas into consideration when planning next steps—a big plus!
  5. Employees happily share credit with one another. Former President Harry Truman famously said that “It is amazing what you can accomplish if you do not care who gets the credit.”
  6. Employees regularly exceed expectations. If your employees are going to work because they have to, your organization may be stifled by their lack of enthusiasm and contribution, but if your employees are coming to work because they love what they do, chances are they will regularly exceed expectations because enthusiasm and hard work are a very reactionary combination.
  7. Employees know what they do matters and that it makes a difference within the organization. For most employees a secure knowledge of who they are within the organization, how their work matters, and how it makes a difference to those outside of the organization equals happier work life self-esteem.

How do you measure employee happiness? Would you add anything to our list? Tell us about it on Facebook, Twitter, or LinkedIn!

Retaining employees at your nonprofit saves time and money– but are you doing it right?

Promoting your mission is the prime objective of a nonprofit organization. But because we’re often so preoccupied with business strategies and marketing elements, employers tend to neglect one key internal variable—the importance of employee retention.

Losing an employee results in decreased productivity, lost revenue, and excess time spent rehiring and retraining replacements. Since for-profit organizations often offer higher salaries, nonprofits must work twice as hard to actively and consistently engage their employees.

Rather than solely relying on typical motivational tools, such as office parties or bonuses, one must address the multitude of variables that could impact an employee’s job experience.

Here are 5 simple steps that can help increase retention rates.

  1. Be clear during the recruitment process. Before job candidates even get the job, specify what the expected responsibilities are and describe what the overall work atmosphere entails. If someone knows exactly what they’re signing up for, the odds of them staying are significantly greater.
  2. Create a 90 day plan. Have a decisive evaluation plan, broken down into ongoing time frames. Be sure to check in with new employees on a fairly regular basis in order to gage their strengths, weaknesses, and personalities.
  3. Set realistic expectations. While you’re aiming for a smaller turnover rate, don’t shoot for 0%. Retain your strongest employees, but don’t be afraid to say goodbye to the weakest performers. Remember, the goal is toretain the strongest team possible in order to effectively promote your mission.
  4. Engage and interact with your employees. Develop a good relationship with your employees. Give your workers consistent feedback and don’t forget to commend them on their great job performances. When employees feel engaged, they are likely to be more driven and committed to their organizations.
  5. Play it safe—prepare for the worst. Since some employee departures are inevitable, recognize potential skill loss. Be sure to train invaluable skills to multiple employees so your organization doesn’t suffer if someone chooses to leave. Make sure your staff is well-rounded and prepared for any unpredictable turnover.

Having good retention requires a multifaceted plan. Retaining employees is a 365-day practice. Through consistency and overall engagement, nonprofit employers can maintain a positive, reliable work environment for everyone.

This snowball effect of employee efficiency and happiness is imperative for a nonprofit’s mission advancement and maintaining high retention rates.

Learn more about retention challenges and solutions here.

Even before you finish posting your most recent job opening, resumes start pouring in. Eager candidates are ready to do whatever it is your organization needs done.

Unfortunately eagerness alone doesn’t fit the bill—candidates need the right combination of skills and experience too.

Keeping a few things in mind when screening that burgeoning stack can keep it from becoming a people-eating monolithic pile of epic proportions. These four tips will help.

  1. Know exactly what criteria you’re reading through resumes for. Even if you have more than one opening at your agency, it’s important that you become familiar with the position description and what your hiring managers are looking for in each position.
  2. Create a consistent evaluation process, and always stick to it. Whether you decide to create an Excel spreadsheet that lists every resume alphabetically, or organize resumes into folders of “yes,” “no,” and “maybe,” based on how they meet criteria, it’s important that you follow the same process every time. And although it may sound trivial, keeping your resume screening process consistent can help you breeze through the process, gracefully decline those who applied and aren’t qualified, and get to the next step.
  3. Do a quick sort. Your first run through a resume pile shouldn’t have you hiring private investigators or even Googling a candidate’s name. As you read through resumes the first time, keep in mind what’s most important to the hiring manager and in the posted job description. If a candidate makes it past this stage then conduct a more in-depth review of their resume, check out their online presence, and schedule a phone screening.
  4. Don’t forget that somewhere in one of these piles is your next great employee. As time-consuming as resume screening can be, somewhere in one of those piles is your organization’s next hire. All of your hard work will pay off when they bring in new donors, strengthen community relations, or streamline your most antiquated process.

How do you make sure that reading resumes doesn’t put a damper on your day? Tell us on Facebook!

There are some hot trends in recruiting this year that HR professionals should be aware of as they will impact how you hire in the years to come. LinkedIn recently released its Global Recruiting Trends Report 2018 which details survey results of more than 9,000 recruiters and hiring managers from 39 countries – identifying diversity, new interview techniques, data analytics and artificial intelligence as being the most impactful trends.

Companies across the country have found incredible ways to bring diversity into the workplace by using such things as inclusive language to target diverse groups, showcasing diversity in recruitment marketing and utilizing staff member’s stories and experiences in the recruiting and hiring process.

Employers need to take a hard look the organizational culture and if necessary, work on building an inclusive one. Ensuring that employees feel accepted, included and engaged because even the most diverse companies lose employees due to the lack of diversity, inclusion and belonging. LinkedIn found that more than half of the companies surveyed already embrace recruiting for diversity – tackling head-on. They also found that the top reasons for focusing on diversity were to improve company culture and performance and to better represent customers.

Gender continues to be the main topic in diversity but age and disabled workers or veterans, are also high on the list of diverse candidate opportunities. “When different perspectives are recognized and supported, advocated, and most importantly, expected, I think it creates a more inclusive environment,” said Steve Pemberton, Former Chief Diversity Officer at Walgreens. “When you are recognized for bringing a different perspective, it leads to higher degrees of engagement.”

While the traditional interview is still wildly popular and the industry standard, it fails to provide a true assessment of the job candidate – under cutting the impact of more useful information and all too often resulting in a decision based only on a person’s looks and personality.

Forward-looking companies are exploring other means of qualifying candidates that include soft skills assessments (measuring traits like teamwork), job auditions (offering an opportunity to perform real on the job tasks), meeting in casual settings (providing an entirely different view of the candidate), virtual reality assessments (immersing candidates in simulated 3-D environments to test skills) and video interviews (allowing the ability to view a larger pool of candidates in less time). And other companies are taking an entirely different approach and hiring based on potential, not experience.

Collecting data is becoming more and more prevalent in today’s ever changing workplace. It can help organizations increase retention, evaluate skills gaps, build better offers and so much more. It provides the opportunity to better understand the reasons behind the questions we couldn’t before evaluate – filling in many recruiting gaps. Putting quality data to work for you can give your organization an edge above the rest.

Artificial Intelligence is a machine that is able to perform tasks that normally require human intelligence. They can understand verbal commands, distinguish pictures, drive cars and play video games better than we do. These software programs can move job candidates through the hiring process in far less time than it would take us to and removes human bias in the process. It not only saves time and money but also delivers the best candidate matches. Actual people are still needed to persuade and negotiate but the more you use technology, the more time you have to focus on building relationships.

Allow the data and AI to work for you while you spend more time investing in the personal functions of your job. If you don’t embrace change now, it’ll run you down and leave you behind in the years to come.

One of the many benefits that come with having a designated person or team to handle all Human Resources related issues, is that it allows the organization to operate at its full potential—especially nonprofits. Due to the inherent nature and structure of nonprofits, they can run into challenges when it comes to certain HR tasks and if not handled correctly, the fulfillment of their mission might be hindered.

Nonprofit organizations primary focus is on the communities they serve and the causes they support. When you have an HR professional on your team, it eliminates the burden of you having to worry about whether or not your nonprofit is covered regarding the logistics of legal issues, management of compliance, etc., allowing you to focus on what matters most—your mission.

Along with managing the day-to-day legal and compliance issues that may arise, HR provides many additional benefits as well. Here are four ways HR can enhance talent management, employee retention and a work-life balance.

  1. Finding the Right Employee: Hiring the right employee enhances your work culture, encourages high employee morale, positive thinking, future planning, and accomplishing professional goals. It also ensures that you are making the most of the time and energy being invested in a new employee and making sure, they are a good fit for the work culture.
  2. Onboarding is a Must: Starting a new job is exciting, however, the unknown can be quite nerve racking. An onboarding process offers a more hands on approach then just handing a new employee an employee handbook and sending them on their way. This should be a time when an employee can ask one off questions and an HR professional can offer more information.
  3. Creating a Career Plan: Offering your employees an opportunity to plan a strategy for how they want to move forward in their professional life is a great way to learn more about your staff. It’s a way to show your employees that you care and you want to see them succeed. The more you invest in your employees, the more likely they will do good work for your organization.
  4. Employee Performance Reviews: While performance review methods and approaches can vary from organization to organization, universal principles about how to talk with an employee about his or her performance exist. It is important that the employee knows exactly what’s to be expected of his or her performance. These periodic discussions about performance need to focus on the significant portions of the employee’s job.
Hiring the perfect candidate sometimes seems like it has 1,001 steps. Between sorting through all of the resumes, doing phone interviews, conducting in-person interviews, and letting those passed over down in a way that makes them more likely to apply again later, it’s easy to forget that hidden in there is one of the most important steps to making sure you do get the right person for the job.

In this day and age, the reference check has become much more than a mere formality. Shedding light on what a candidate is really like, calling references and verifying former positions and educational history helps enlighten the hiring team as to what the best, and sometimes worst, parts of working with a particular candidate are.

Underestimating the amount of information you can glean from conducting reference checks is done all too often though. Because it takes significant time and energy to call every reference, it might be easier for some agencies to look at having a third party professional recruiter talk to the references.

If this isn’t a strong option, the key to conducting the most successful reference checks lies in asking, and listening, to carefully developed questions that speak to what you most want, and need, to learn about a candidate. Making the process feel like a conversation- one where you’re up front and open about what the opportunity is and what information you’re looking to learn about the candidate- can lead to valuable revelations that help cement your decision and show you where you can best support and develop a new hire.

When developing your reference check questions, you should look for both hard data, such as questions about the candidates skill set, and qualitative data which will help you better understand the candidate’s communication and management style as well as their strengths and areas for improvement.

Some sample questions might include:

  1. Please tell me a little bit about yourself and your relationship with XX.
  2. What are the personal qualities that most stand out to you about XX?
  3. How has XX impacted your organization/department/campaigns?
  4. Can you tell me about XX’s leadership skills?
  5. How does XX deal with conflict? Does XX tend to be successful in dealing with conflict?
  6. If you did an appraisal of XX, where would you highlight areas for professional development?
  7. Have any particular experiences with XX stood out to you?

Speaking with a broad list of references- personal, professional, and developmental- will help you put together the best possible picture of what a candidate would look like in your organization. Since few candidates will put down anyone that would give a less-than-stellar review of them and their abilities, drill down deep into how the reference talks about the candidate and their level of enthusiasm about your candidate for the most telling information.

Thankfully, after all of the reference checks are done, if the candidate still matches your expectations, you can finally make your offer.

Read more about checking candidates’ references.

Do they all have updated interview training?

As we learned yesterday, interviews are one of the most effective ways to determine if a potential candidate will fit well within your organization.

In fact, according to research published by DDI International, new hires who reported their hiring manager and staff interviews to be effective were 85% confident in their decision to accept the job, 42% more likely to be planning on staying with the organization, and 39% more likely to be highly engaged!

Luckily, interviewing is a trainable skill.

By providing proper education and coaching at your agency, hiring managers are able to better, more accurately present the job, your company, and how an applicant would interact with their team. And an accurate representation of the position and your organization can lower first year attrition rates, improve employee morale, and boost outlook.

To review your interview training requirements, consider the following:

  • Does your organization provide a question template before the interview to help the interviewer get answers to specific, relevant questions?
  • Does your organization provide a template for after the interview that helps interviewers assess the candidate with as little bias as possible?
  • Do your hiring managers and interviewing staff know which questions could be deemed illegal by federal nondiscrimination standards?
  • How often are interviewing staff at your organization required to refresh their interview skills?
  • Do hiring managers within each department have a consistent means of scoring and evaluating applicants?
  • Are hiring managers at your organization skilled at coaxing useful answers from applicants, or do they often accept vague, generic answers?
  • Does the hiring process at your organization turn applicants off? Is it too long, complicated or demanding?
  • How well do interviewers at your organization listen to responses?

For organizations that need to update their interview training, a quick internet search can reveal hundreds of specialized services catering to many different job requirements, complimentary tricks and tips, and many other resources.

Tell us: How often does your organization evaluate your interview and hiring procedures?

Question: May we add an arbitration clause prohibiting class action lawsuits to our employment contracts?

Answer: Yes. Until recently, courts were split on the issue and the National Labor Relations Board (NLRB) ruled that “it is a violation of federal labor law to require employees to sign arbitration agreements that prevent them from joining together to pursue employment-related legal claims in any forum, whether in arbitration or in court.”

However, in its May 2018 decision, the U.S. Supreme Court (SCOTUS) ended the split, overruled the NLRB, and held that arbitration agreements providing for individualized proceedings (thus banning class actions) are enforceable under the Federal Arbitration Act (FAA), and neither the FAA’s saving clause nor the National Labor Relations Act (NLRA) suggest otherwise.

As a result of SCOTUS’s decision, an employer may add an arbitration clause waiving class and collective actions to its employment contracts without fear of violating federal law due to the mere presence of the clause. However, it is essential that any employment contract — with or without an arbitration clause — comply with all applicable laws. Therefore, as always, we recommend seeking counsel to properly draft your arbitration agreement and for further guidance.

Q&A provided by ThinkHR, powering the UST HR Workplace for nonprofit HR teams. Have HR questions? Sign your nonprofit up for a free 30-day trial here.

Federally mandated changes to the state-run unemployment system will be rolling into effect over the next 6 months as the October 2013 deadline looms, forcing employers to comply with stricter administration standards or face high penalties. UST helps member nonprofits comply to avoid costly errors.

– Interview Available-

Santa Barbara, CA (April 18, 2013) – In an effort to reduce potential penalties for its nonprofit employer members, the Unemployment Services Trust (UST) has launched several new efforts and technological tools to help address what is being called the federal “UI Integrity mandate.”

Passed as a part of the Trade Adjustment Assistance Extension Act of 2011, the Unemployment Insurance (UI) Integrity mandate requires all employers to provide a complete and timely response to the state’s first request for information about an unemployment claim. Designed to address one of the biggest weaknesses of Unemployment Insurance (UI) funds nationwide—the persistence of unemployment benefits paid in error, which are have cost $10.3 billion in the last year—the UI Integrity Act requires full compliance from all states no later than October 21, 2013. As of today, 5 states (NE, OK, MS, IL, and WV) have enacted legislation with 6 additional states (CA, UT, NM, SD, MN, and NC) passing legislation to be enacted in the coming months. 12 states (WA, OR, ID, MT, WY, CO, AZ, ND, IA, LA, KY, and VA) have pending legislation. The remaining states have yet to take any action to meet the federal deadline.

To ensure that the reform yields the necessary savings, there will be penalties on employers for non-compliance. Any employer that fails to provide a complete and timely response to a claim loses any hope of relief from charges attributable to that claim—even if the employer ultimately wins the claim.

Further, if the state identifies a pattern of failure to provide complete and timely responses, negligent organizations and their claims administrator are at risk of permanently losing valuable protest rights and/or facing monetary penalties.

To address these new liabilities, the Unemployment Services Trust (UST), which helps more than 2,000 nonprofit employers nationwide to reduce the cost of unemployment claims, is conducting regional seminars and state-specific webinars for its members. Through its partnership with Equifax Workforce Solutions (WS), UST’s educational opportunities will allow its nonprofit members to examine how changes to the national UI integrity laws will affect them and to gather helpful tips to improve overall win ratios when protesting improper claims. On average, this type of diligence reduces an employer’s claims costs by 15% each year.

In addition to the seminars and webinars, UST’s nonprofit members now have access to a unique unemployment claim dashboard called CaseBuilder, which was launched by WS earlier this year. “This online dashboard will allow organizations to gather and submit documents and details in a fast, secure environment for all stages of the unemployment process,” reports Workforce Solutions. Current members who utilize CaseBuilder have significantly increased their ability to comply with state requests in a timely manner—which will be extremely pertinent as states begin to integrate UI Integrity legislation into their practices.

Finally, members of UST are already reaping the benefits of “SIDES,” the State Information Data Exchange System that 24 states have implemented, with more scheduled throughout 2013. SIDES is a secure, paperless system which allows UST members and their claims administrator WS to better provide necessary details and documentation at the time of an initial claim filing. Here is how it is helping UST member organizations:

  • It’s electronic, so it’s more secure than paper documents.
  • Electronic delivery of claims from the state will increase the amount of time employers have to respond to requests for separation information.
  • SIDES was specifically designed to require details as a part of the response. Providing the details up front will save time by reducing additional requests for information.

“All employers will be on the hook to respond to every unemployment claim, every time,” says Donna Groh, Executive Director of UST. “We’re trying to establish best practices that ensure our member nonprofits are ahead of the curve—so they can avoid penalties down the road.”

About UST: Founded by nonprofits, for nonprofits, UST is the largest unemployment trust in the nation, providing 501(c)(3) organizations with a safe, cost-effective alternative to paying state unemployment taxes. Equifax Workforce Solutions (WS) is UST’s partner to provide members with claim administration, audits of state charges, and hearing representation if a member’s claims protest goes to court. They also provide educational seminars and training materials to UST member agencies throughout the year. Visit www.ChooseUST.org to learn more.

Chairman Reichert of the House Committee on Ways and Means held a Hearing yesterday on the Implementation of 2012 Unemployment Insurance Reforms that will focus on the implementation of reforms to unemployment benefits enacted in P.L. 112-96, The Middle Class Tax Relief and Job Creation Act.

According to Doug Holmes, President of UWC – Strategic Services on Unemployment & Workers’ Compensation:

“On February 22, 2012, the President signed P.L. 112-96, The Middle Class Tax Relief and Job Creation Act. This legislation extended and reformed the Federal Emergency Unemployment Compensation (EUC) program for the remainder of 2012, which was subsequently extended through December 2013. This legislation also included landmark reforms to the permanent unemployment program, such as creating new job search requirements for Federal benefits, permitting States to have new flexibility to seek “waivers” to promote pro-work reforms, allowing States to screen and test certain UI applicants for illegal drugs, requiring “reemployment eligibility assessments” (REAs) for the long-term unemployed, and requiring States to recover more prior overpayments of UI benefits. The initial implementation of these 2012 reforms was previously explored during a Human Resources Subcommittee hearing in April 2012.”

“In announcing the hearing, Chairman Reichert said, ‘Fourteen months ago, Republicans and Democrats in the House and the Senate agreed on commonsense reforms to the unemployment insurance system designed to help more Americans return to work sooner. The President signed those policies into law, but the Administration has since been selective in implementing some policies and has created barriers to successfully helping states take action on other policies. This hearing will help us evaluate how the Administration has implemented the 2012 reforms and determine what we can do to help more Americans collect paychecks instead of unemployment checks.’

UWC provided testimony and advocated in favor of the integrity provisions in the legislation in 2012, many of which were adopted. UWC testimony from the April 25, 2012 hearing in review of implementation can be viewed here.

We all feel the rush of time around now, the holidays racing towards us followed by the ringing in of another new year. Before you know it, you’re wondering where the time went… for most 501(c)(3) organizations, November is the deadline month to exercise their state unemployment tax exemption for 2018. That means you need to act now.

Unlike for-profit organizations, 501(c)(3) nonprofits have the unique opportunity – as allowed by Federal law – to opt-out of the state unemployment tax system and instead only reimburse the state, dollar-for-dollar, if and when they have an actual unemployment claim. It can be a savings opportunity for many nonprofits who have lower claims than what they pay in state unemployment taxes—which are often driven up by for-profit organizations and other companies that go out of business, as well as state fund deficits and improper payments made in error.

The Unemployment Services Trust helps nonprofits to better manage their cash flow through proper claims administration and safety reserve building. With access to e-Filing capabilities, state-specific claims advice and a plethora of on-demand HR services, UST participants are able to streamline operations and reduce back-office paperwork burdens.

Last year alone, UST helped program participants save $27.8 million in unemployment claims costs. That’s millions of dollars more for the nonprofit sector and the communities they serve.

More than 2,200 of your nonprofit peers are already exercising their unique tax alternative with UST. Rather than overpay into the State unemployment fund – effectively subsidizing for-profit companies – wouldn’t it be more true to your mission to allocate that wasted overhead to your programs and services?

Submit your FREE Cost Analysis Formno later than November 15th in order to meet the state deadline for 2018 enrollment – which for most states is December 1st. Unfortunately, if a nonprofit misses the state deadline, they have to wait until the following year to exercise their tax exemption and join the UST program.

Nonprofits who rely on state and other government funding should prepare for a bumpy road ahead in the next couple years says a new report produced by independent philanthropy consulting firm “Changing Our World, Inc.” Although the economy is seeing a shift toward the positive, state tax revenue – and therefore funding for many nonprofits – is nowhere near stable. And while the number of nonprofits has been steadily rising over the past 15 years, charitable giving has dipped significantly and would need an unprecedented rally to make up for the government funding shortfall.

Since World War II, the average recession in America had lasted 10 months. Until Now.”

Unemployment alone has created a crisis in many states. In fact, 44 “crisis states” have significantly reduced spending and are expected to cut spending even more (by $38.5 million) in social services, education and Medicaid says the report. Despite $1.5 trillion of American household wealth lost in just the first three months of the recession, philanthropy on the other hand, has been making modest gains and is expected to slowly trend upward. But the dollars are spread thinner as the number of nonprofits increases and the demand for services explodes. As the Chronicle of Philanthropy put it: “To help nonprofits cover cuts in those services, households in the hardest-hit states would have to step up their giving by 30 percent in 2011 and 60 percent in 2012—an increase the report says would be ‘historically unprecedented.’”

So what’s a nonprofit to do?

The report concludes that a multi-faceted strategy is needed for every nonprofit. Waiting on philanthropy or government funding to recover won’t work. “Philanthropy will be an important, indeed critical piece of that strategy, in part because philanthropy is often flexible and can fill in gaps not financeable through other means. However, the sheer weight of the burden will require that multiple revenue pathways be opened as well as that every managerial option for efficiency be considered.”

For nonprofits looking for a guide to this multi-pronged approach, we gleaned these tips from the report:

Efficiency – Reach out to unemployed workers to become volunteers, possibly with a stipend. You’ll not only give them a step in the right direction but you’ll receive valuable man-hours.

Collaboration – Reducing overhead costs is possible through a number of collaborative efforts like merging of back offices, joint purchase of property, combination of nonprofits with similar programs into a single service network, etc.

Messaging – When asking for donations, emphasize progress instead of crisis. Talk about all the good the organization is doing in the face of the economic crisis, not how it’s struggling.

Financial Expertise – Learn more about managing cash flow and accounts receivable so you can weather late payments and financial dips. Become your own expert on economic trends. Also think about adding people to the board with financial expertise or government experience.

Don’t Rely on One Source – No more than 60% of any program’s budget should come from government money.

Maintain a Reserve – This fund should be triggered only by the Board or the Finance Committee, and saved for lean times.

Robin (right) and Lisa feel peaceful as they take the tram.

Robin- UST AP Specialist/Claims Analyst

In 1976, Robin’s parents did the unthinkable. They drove across the U.S.—from Southern California to Montreal, Canada—with 3 small children in tow.

For days they stopped at historic landmarks across the East Coast letting their children experience the excitement and historic fervor of some of the most famous historic landmarks in the U.S., including the Liberty Bell, the Statue of Liberty and many others in Washington D.C., before attending the Summer Olympics in Montreal.

Still her favorite childhood memory, it’s possible that this early exposure to the many different cultures of the U.S. helped ground her in her hometown of Carpinteria—where the UST administrative office is located—and led her to UST where she enjoys working with state agencies on behalf of our members.

“I knew UST would be a perfect fit for me,” Robin says, “the challenges of working with state agencies on behalf of nonprofits and providing the best customer service that I can is something that I love doing every day.” And, she sheepishly admits, “I loved the idea of working in my own community. I’ve lived here all of my life, but I’ve never actually worked in town.”

But with only 3 stoplights, and a downtown area that is only about four blocks square, it’s not surprising that Robin had never before worked in town—even if her Grandmother’s portrait does hang in the town’s historic museum.

Have questions for Robin? Want to swap Olympic memories with her? Tweet us @USTTrust!

When looking to apply for future grants, GrantAdvisor can serve as a beneficial nonprofit resource for your organization. GrantAdvisor is an online service that allows for open communication between nonprofits and grantmakers by collecting authentic, real-time reviews and comments on the experiences grantseekers’ have when working with funders. Created to encourage a more productive philanthropy amongst grantseekers and foundations.

This service is designed to grant applicants, grantees, and others to share their first-hand experiences working with funders and for funders to respond on the record. With all feedback collected and shared anonymously, GrandAdvisor hopes this will encourage grantees to be transparent.  Once 5 reviews have been collected for a particular funder, the data will be shared publicly. This provides an opportunity for the foundation to respond to comments and to see how they are perceived in their field—not only as grantmakers but also as leaders and influencers. With this service, GrandAdvisor hopes to improve the relationships between grantmakers and grantees while strengthening the fields the funders work in.

GrantAdvisor is an initiative brought together by its’ project partners, Jan Masaoka, CEO of California Association of Nonprofits, Perla Ni, CEO of GreatNonprofits and John Pratt, Executive Director of Minnesota Council of Nonprofits. “One of the most important differences between nonprofit organizations, businesses and governments is the way they receive their funds,” said John Pratt. “The goal of GrantAdvisor.org is to elevate the reliability and depth of this external grant information through crowd sourcing, pattern recognition and public peer exchange to make the whole process clearer and more transparent.”

With their launch in June 2017, GrantAdvisor is currently available in California and Minnesota—new locations and partnerships are scheduled to be announced this year. We look forward to seeing wonderful things happen for this up and coming organization! To learn more about GrantAdvisor visit https://grantadvisor.org/

Know your priorities before you begin negotiating.

The end of our mnemonic prioritizing what you want most in your benefits and salary package at a new nonprofit is often the hardest. It requires that you legitimately sit down and determine which benefits are the most important to you and where you have the most wiggle room.

For instance, the title of your position more important than the amount of money you make a year? Is an extra $3,000 or $5,000 of salary a make or break issue for a position that you would love to have?

Prioritize

If you get too hung up on a single point in the negotiation process, it can slow everything down and create issues that may haunt you later down the line.

And remember, if you do anything out of line in the negotiation, or if anything in your package is seen as excessive, controversial, or deemed “special interest” there may be problems down the line when it comes to managing your team and working with other stakeholders throughout the organization. So, if you don’t think something in your package is worth fighting for long after negotiations are over, consider leaving it out.

What other tips do you have for negotiating a nonprofit compensation package? Are there things that you can’t live without? Tell us about them on Facebook, Twitter, or LinkedIn!

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Privacy Policy and Terms of Use

UST maintains a secure site. This means that information we obtain from you in the process of enrolling is protected and cannot be viewed by others. Information about your agency is provided to our various service providers once you enroll in UST for the purpose of providing you with the best possible service. Your information will never be sold or rented to other entities that are not affiliated with UST. Agencies that are actively enrolled in UST are listed for review by other agencies, UST’s sponsors and potential participants, but no information specific to your agency can be reviewed by anyone not affiliated with UST and not otherwise engaged in providing services to you except as required by law or valid legal process.

Your use of this site and the provision of basic information constitute your consent for UST to use the information supplied.

UST may collect generic information about overall website traffic, and use other analytical information and tools to help us improve our website and provide the best possible information and service. As you browse UST’s website, cookies may also be placed on your computer so that we can better understand what information our visitors are most interested in, and to help direct you to other relevant information. These cookies do not collect personal information such as your name, email, postal address or phone number. To opt out of some of these cookies, click here. If you are a Twitter user, and prefer not to have Twitter ad content tailored to you, learn more here.

Further, our website may contain links to other sites. Anytime you connect to another website, their respective privacy policy will apply and UST is not responsible for the privacy practices of others.

This Privacy Policy and the Terms of Use for our site is subject to change.

Privacy Policy

Privacy Policy and Terms of Use

UST maintains a secure site. This means that information we obtain from you in the process of enrolling is protected and cannot be viewed by others. Information about your agency is provided to our various service providers once you enroll in UST for the purpose of providing you with the best possible service. Your information will never be sold or rented to other entities that are not affiliated with UST. Agencies that are actively enrolled in UST are listed for review by other agencies, UST’s sponsors and potential participants, but no information specific to your agency can be reviewed by anyone not affiliated with UST and not otherwise engaged in providing services to you except as required by law or valid legal process.

Your use of this site and the provision of basic information constitute your consent for UST to use the information supplied.

UST may collect generic information about overall website traffic, and use other analytical information and tools to help us improve our website and provide the best possible information and service. As you browse UST’s website, cookies may also be placed on your computer so that we can better understand what information our visitors are most interested in, and to help direct you to other relevant information. These cookies do not collect personal information such as your name, email, postal address or phone number. To opt out of some of these cookies, click here. If you are a Twitter user, and prefer not to have Twitter ad content tailored to you, learn more here.

Further, our website may contain links to other sites. Anytime you connect to another website, their respective privacy policy will apply and UST is not responsible for the privacy practices of others.

This Privacy Policy and the Terms of Use for our site is subject to change.