Different things inspire different people to work for nonprofit organizations—it can be a personal tie to the cause, the desire to make a difference, the work environment, or maybe, it’s the idea of working with really like-minded people. Whatever the reason is, it typically isn’t for stellar compensation.

While some nonprofits have the funds to offer exceptional compensation, many just don’t—there are a lot of reasons why nonprofit organizations struggle with offering competitive compensation packages but the most common are minimal funding and other spending priorities. We know there are many non-monetary rewards of working for a nonprofit, but creating the best compensation package possible can make the difference between attracting and retaining qualified candidates or suffering from high turnover. It’s important to recognize that nonprofit employers compete with for-profit employers all the time when it comes to finding talented job candidates. Equally important to recognize is that compensation isn’t just about salary.

Like all other employers, tax-exempt charitable nonprofits are required to follow federal and state wage and hour laws that include minimum wage requirements. To maintain their tax-exempt status, nonprofit organizations need to ensure that compensation is reasonable and not in excess. Performing your own data research to find out what the “going rate” is for a given position can be extremely helpful in ensuring that you’re aligned with other nonprofits in the same geographic area with a similar budget and mission.

Here are some things to consider when creating a desirable compensation package:

1 . Incentive Bonuses – Ensure expectations are clear surrounding any bonus through corporate communications that explain how bonuses are recognized as a discretionary gift to a regular salary–dependent upon budget limitations, and provided in recognition of an employee’s extra-efforts or exceptional performance.   

2. Work from Home Opportunities – Provide employees the option to telecommute in an effort to save time and money on commuting back and forth from work. Make sure that you have a clear policy surrounding a telecommuting program to avoid any possible issues in the future.

3. Recognition Awards – Recognize employee’s successes on a quarterly basis by rewarding them with an additional perk such as a gift card to a local hot spot or perhaps a paid day off. This type of recognition carries extra meaning in building trust and loyalty.

4. Additional Time off – Offering additional time off options such as a floating holiday or a paid birthday can go a long way in making employees feel valued and cared for.

5. Perks and Memberships – More and more companies are providing their associates free memberships to discounted programs and offering special offers.

6. Increase Training Spending – Consider paying for certification programs,  learning materials and conferences. Create more budget space for investing in employees.

Being creative with your compensation package at a budget restricted nonprofit can be less expensive and often better received than a raise, so put on your thinking caps and leave no stone unturned. R emember, money alone will not keep employees engaged so make sure you show them some appreciation.

Nonprofits play a vital role in society by indirectly boosting the economy. Just like their for-profit counterparts, they have payroll, pay mortgages and utilities and have overhead costs. Unlike for-profits, they rely primarily on grants, donors and the community for financial support – making it all the more important that they understand the financial risks they face.

Earlier this year, the findings from a study put out by SeaChange Capital  Partners, Oliver Wyman and GuideStar, “The Financial Health of the United States Nonprofit Sector:  Facts and Observations,” were released and the results signaled an urgency for improved risk management to reduce the likelihood of financial distress within the sector.  

Some key takeaways from this report include:

• Overview of the size and scale of the US nonprofit sector
• Key financial metrics segmented by size, sub-sector and geography
• Learn how you can strengthen your nonprofits financial position
• Ideas for reducing financial distress within your organization
• Key financial health indicators

If you missed it, download your copy today and learn how you can either put a holistic risk management framework in place or enhance your current risk management practices!

Question: Can we maintain a zero-tolerance marijuana use policy in our workplace if medical marijuana use is legal in the state?

Answer: Yes, you can. Employers have an absolute right to maintain a drug-free workplace and do not have to allow or tolerate drug use or intoxication in the workplace. Although some states permit the use of marijuana for both medicinal and recreational purposes, most state laws provide exemptions for employers to prohibit the use of marijuana in the workplace. If you maintain a drug-free workplace, then your employees may be subject to discipline and/or termination when working under the influence of marijuana (i.e., on-the-job intoxication). In states where marijuana use has been legalized for medical or recreational purposes, employers may elect to establish intoxication standards for marijuana metabolites, rather than imposing discipline for any presence of the drug. However, this standard must be applied consistently and regularly to all employees.

As of February 2016, marijuana continues to be an illegal drug under federal law (which trumps state laws), and employers are not required to permit on-the-job use of or marijuana intoxication by employees or applicants. You may discipline employees who are legally using marijuana under state law but who are in violation of your workplace policy, because under the law, employees are not protected from being fired for failing a drug test.

Alternatively, you may elect to accommodate your employee’s medical marijuana use, but the Americans with Disabilities Act (ADA) does not require you to reasonably accommodate current unlawful drug use. Employees who claim disability discrimination for their medical marijuana use may attempt to file under the ADA. However, the ADA excludes current illegal drug users from protection; therefore, employers are free to conduct drug tests on employees, subject to certain limitations, to detect the presence of illegal drug use.

Refer to your state’s laws on employer rights and medical marijuana law. Additionally, you may want to update your policies to ensure you are clear about whether you will accommodate marijuana use in the workplace and the subsequent action should an employee be found using marijuana.

Finally, keep in mind that this issue can be complicated. When in doubt, seek legal counsel to ensure compliance.

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.

It’s no secret that people are more health conscious today than ever before. And over the last few years, business owners have gotten on board with a massive influx of corporate wellness programs being offered in the workplace. We’re talking everything from stability balls and standing desks to weight loss programs and opportunities to work from home.

It seems now, that employers are constantly looking for new ways to kick their corporate wellness programs up a notch. And the trends are getting more and more creative with companies expanding the definition of wellness through offerings that are much broader – improving the overall quality of their employees’ lives.

Some things are as easy as implementing standing desks as the standard – the kind you can move up or down so employees aren’t forced to do one activity or the other all day. While the debate continues over the health benefits, no one can argue that having the option to change your form throughout the day helps with muscle stiffness, brain fog and calorie expenditure.

Opportunities to work from home have rapidly become a hot trend but some organizations are still reluctant to let go of that much visibility. For many, it works like a well-oiled machine but for others, it ends up being one issue after another. You really have to take the time to evaluate your staff to see whether or not, they can handle that much responsibility – it’s definitely not for everyone but certainly worth doing the research.

At the top of the corporate wellness trends right now is “wellness technology”. Some companies are looking for ways to put all of that valuable information gathered by all those fitness gadgets to work. By working to keep corporate wellness offerings fresh, some employers are using Chatbots to help keep employees on track with their fitness goals.

Then there are those forward thinking companies who are looking to bring on the latest and greatest wellness programs for their employees. For example, one organization has an in-house masseuse available to their employees while another has a built-in office sauna. Others are subsidizing DNA kits, creating nap rooms, implementing vending machines with healthy snack options or offering an on-site Happy Hour at the end of the day.

It goes without saying that the possibilities are endless. Since workplace stress has become the biggest epidemic to hit corporate America in recent years—it is worth addressing internally through some form of wellness program that will help employees regain focus and energy. When employees don’t know how to manage their stress, not only is their work affected but so are the people around them. And the benefits of making your employees’ well-being a priority are endless – it can help with retention, reduce absenteeism and workers’ compensation claims, increase productivity as well as save your organization thousands in the long run.