Question

HRMG-Compensation- In your own words, "What is your expert opinion on government and legal issues in Compensation for employees within a not-for-profit organization? -300 words or more, please.

Answer 1

Tax-exempt charitable nonprofits organizations are required certainly to follow federal and state wage and hour laws that state employers to pay minimum wages to its employees. Basically, income must be sufficient and reasonable only and not unreasonable or higher which is a basic regulation of maintaining tax-exempt status. It is beneficial to know what the worth of a person is exactly or going rate is when paying a new staff member by surveying comparability data. Earnings and benefits evidence from other nonprofits in the same area, with a related budget and mission priority. Many state associations of nonprofits receive earnings information via legal surveys and generate state-specific summaries that allow the organization to compare the compensation of similar organizations, by matching job responsibilities.

Employees must spend legally required minimum wage, though it can differ state-to-state and there is also a national minimum wage rate. Employers should reimburse basically whichever is outstanding and higher.

Government laws and regulations has influenced compensation by ascertaining the labor market and the law states how an employee should be paid or reimbursed for the services they provide to government. These laws work inwards to the organization like the organizational society and strategies.