Nonprofit Management

While not required by the IRS, every nonprofit should consider adopting governance policies.

Take steps to protect your nonprofit from legal problems.

Expect the unexpected -- and buy insurance to cover any resulting losses.

Nonprofits must report how much they spend on operating expenses but this isn't always a fair indicator of performance.

Although the terms are often used interchangeably, there are important differences between a board of trustees and a board of directors.

Before you change your nonprofit's procedures, your board of directors should update the bylaws.

Find out the basics of holding an annual meeting for your nonprofit.

Learn how to grow your nonprofit with board committees.

A nonprofit's directors are usually -- but not always -- protected from personal liability for lawsuits against the nonprofit.

Make sure you know how to do a comparable compensation analysis before you set salaries for your key employees.

Don’t ever reimburse a director or employee for expenses without complying with the accountable plan requirements.

Directors and officers who are paid by a nonprofit must be classified for payroll and other tax purposes.

Federal law allows 501(c)(3) nonprofits the opportunity to choose whether to pay the state unemployment tax or to forego the tax and pay for any actual unemployment claims filed by former employees.

Are financial statements available for public viewing -- especially regarding management salaries?

Although they can't deduct for the value of their time, nonprofit volunteers can enjoy other tax deductions based on their service.

Learn what type of tax-free rewards and benefits you can -- and can't -- offer to volunteers.

Make sure you have an accountable plan in place if you want to reimburse volunteers for their expenses.

Nonprofit organizations often bypass much-needed legal services because they're operating on a limited budget. But it's often cheaper to pay a lawyer to help your nonprofit avoid problems than to fix them.

Expect the unexpected -- and buy insurance to cover any resulting losses.

Nonprofits must report how much they spend on operating expenses but this isn't always a fair indicator of performance.