Did you know that some Children Charity CEOs earn nearly $0.5 million per year?
But do you realize that the executives of these organizations earn, in many cases 5 or 10 times more than what you earn?
Frankly, I wound not mind if they would only tell you about it. But it is a dirty little secret that few people know. I am conducting a survey on the subject to see if visitors are aware that Children's Charity Execs are making nearly $0.5 million. Currently nearly 60% say that they were not aware of this. So, why don't the charities tell us? Why doesn't the media publicize the story? These are the questions discussed in this article.
Chief Executive's Salaries
CEO Salaries
Children International (Oct 2007- Sept 2008)
www.Children.org
Jim Cook CEO: Salary $357,097 + $61'183 + $17'838 = $436'183
World Vision (Oct 2007- Sept 2008)
www.worldvision.org
Richard Stearns, President: $336'472 + $44'382 + $40'327 = $421'181
Save The Children (Oct 2007- Sept 2008)
www.savethechildren.org
Charles MacCormack, President: $354'081 +$66'805 +$5'735 = $426'621
Child Fund July 2007-June 2008
AKA Christian's Children's Fund
http://www.childfund.org/
Anne Goddard President: $249'231 + $32'994 + $12'000 = $ 294'225
Compassion International Jul 2008 - Jun 2009
www.compassion.com
Wess Stafford, CEO: $214'943+ $34'743=$249'686
Pearl S Buck (July 2008-Jun 2009)
www.pearlsbuck.org
Janet L. Mintzer, President: $132'652 + 12'001=$144'653
Christian Foundation for Children and Aging (2008 Calender Year)
www.cfcausa.org
Robert Hentzen, President: $105,756 + 16'239 = $121'995
Children, Incorporated (2006-2007)
www.children-inc.org
Marian G. Cummins, President: $95'503 + 2749 = 98'252
Sources and Resources that monitor charities
Give (Sponsored by the BBB)
Charity Navigator
Did you know that CEOs of Children's Charities Were Making Nearly $0.5 million per year?
Please take the survey below
The president of the organization that I had been contributing to wrote a letter to sponsors announcing a 22% increase in monthly contributions saying "We have struggeled to keep up with rapidly rising costs without reducing the services and benefits we provide to the children under our care. Cutting back is something we just dont want to do." Cutting back his salary or his staff's salary is something else he didnt want to do. This letter was from an executive whose pay package is well over $400,000 per year.
I wrote to them and and asked how they justified the high salaries. I received a detailed response, which included this:
"We feel that looking just at the salary of one individual or a handful of individuals is to miss the big picture and to get a mistaken impression. We could pay less and require less of our employees in terms of skills, experience and performance, but we feel the resulting inefficiencies would end up costing us more in the aggregate and benefiting the children less."
Two follow-up emails went unanswered.
I contacted several journalists to try to interest them in writing an expose, but I was told that there was little interest in the story. I was told that it was a well known fact that many charity CEOs are making huge bucks at the expense of the children. It simply was not news.
My informal poll below shows otherwise. Nearly 60% of visitors to this site say that they were not aware of these high salaries.
While I believe that many of these organizations fullfill a vital need and deserve your support, I STRONGLY suggest that you research the organization that you contribute to to make sure that its objectives match your requirements. I also ask your help to get journalists to start writing about this topic. If you know a good journalist, send them a link to this story and ask them to write about it.
Did you realize that Children's Charity Execs Were Making Such High Salaries?
Children Incorporated
Children Incorporated does not seem to be denominational. At least, their site does not appear to be affilated with a particular religion or philosophy other than to help children in need.
So far, what I see, I like. But at the moment, I am keeping an open mind.
Resources to Get More Information About Your Charity.
Do some reseach before you donate
Charity Navigator offers free detailed information about a number of charities.
Foundation Finder Look up the tax documents for your charity.
All of these resources will tell you the salaries of the CEO of your charity.
Is there a limit to the salaries that charity CEO's should make?
What do you think?
Some people feel that a charity is like any other business and a good CEO is worth the high salary because they can bring money to the charity and make it run better. Others believe that charities should be managed by people who care about what they are doing and are not in it to become rich.
What do you think?
Do You Think That A Charity CEO Should Earn $500,000/year
Fetching blurbs now... please stand byAbsolutely, They Are Worth It!
Brookelorren says:
It depends on how big the organization is. I'm actually surprised that it is that low for some of the largest charities. You can't just hire anyone to run a large organization and expect them to run it well. These CEOs could probably make a lot more elsewhere.
Posted December 31, 2009
Ann M says:
What if they give 50% of their salary away? What if 50% of their time is spent in foreign countries helping people? What if they have tripled the income of their organization and lowered overhead by 5 percentage points (R. Stearns has)? Most times we don't see the whole picture.
Posted October 03, 2009
MarkShark says:
Although I definitely think this is too much, I do agree that it depends on the size of the organization and how much total income they take in. For example, the charity you are thinking about giving to, Children Incorporated, although their CEO only makes $100,000, they only take in a little over $7 million; whereas the CEO for Save the Children makes $400,000 but they take in over $453 million a year. When you look at it that way, the CEO for STC is taking a much smaller percentage of the overall funds for his salary. But also STC has a paid staff of 5,906 and who knows how much each person makes. It's a tough call.
Posted September 23, 2009
Lee says:
Maybe - depends on the size and scope of the business and percentage of admin expenses.
Posted August 07, 2009
No, It Just Is Not Right!
Richard Lam says:
Our donations are meant for those who need help. Our decisions to donate are based on our belief and faith with our God. It has nothing to do with the CEO's talent. $500,000 salary is absurd and rediculous.
Posted December 27, 2009
Lee says:
No, if they do, it reveals a lack of belief in their charitable mission.
Posted December 19, 2009
mrs fussbudget says:
the mere definition of charitable speaks for itself and so i answer NO they should Donate their salaries to support the organization. Oh who am I kidding, that will never happen.
Posted December 15, 2009
k hendrikson says:
no
Posted December 10, 2009
Hugh says:
There are plenty of talented, efficient workers who could do these jobs for far less money. Save the Children pays workers above average - not just the CEO but alot of staff. Its I would rather give my money to a grass roots organizations who's objectives were genuinely altruistic.
Posted December 10, 2009
bella says:
I laugh today because I would have fallen for all these big business charity schemes, because 20 years ago I would have given. My very favorites are the charities that use the word "Christian" and "God's work", yet, you look up the Ceo salaries and they are all millionaires themselves, taking huge salaries from the donations. Sister Theresa was the only one who was a true Christian servant for the poor and I am really seriously considering her charity....What salary did Jesus take for himself, besides the food and gifts people gave to him to live during his ministry?? Something to think twice about and carefully consider before giving.
Posted December 07, 2009
lucille says:
not more than $90,000 to pay bills. charity should not be a money making business for the ceos...it becomes a business for the ceo, not a charity. these people take money someone else earned...it is not right for them to keep it for themselves like many pastors do and evangelists and that's why I don't give.
Posted December 07, 2009
fercsavo says:
These charities do great work, and it is sad that these levels of salaries are being paid. This disheartens people desiring to give money from donating. There is no excuse for this and only hurts the cause. i understand good leadership is important, but a good leader would not require salaries this high. a living wage for a family + maybe 15000 for their good work is all i would find acceptable. This would come out at about 75,000-100,000 depending on the part of the US they live in. (living wage calculator: http://www.livingwage.geog.psu.edu). some charities do pay CEO's at this level, and these are the only ones i will support.
Posted December 04, 2009
Harold says:
This is the main reason that I contribute to the local charities of which I know that 95% or more of my contribution goes to the people for whom I intend it.
We have many people in our area that need help also. If you think about this, the CEO's in this country have wreaked enough misery on us as it is.
Posted November 29, 2009
donna says:
NO-I run a non-profit operating in Africa doing the same things they are doing- We do it for nothing! Yes I would like to paid for my time however- I cant in good conscience pay myself when so many have nothing. These bigger organization have made it a business of profiting from non profit work. I have seen how little these kids really get from some of these bigger organizations. Go with smaller ones who are still doing the work and making your funds stretch far.
www.globalorphanoutreach.org
Posted November 26, 2009
deb says:
Absolutely not! It is shameful!!! And discourages many people from donating.
Posted November 20, 2009
ally says:
NO, they are THIEVES and CONS if they do not donate a good percentage of that salary to their organization! ABSURD
Posted November 19, 2009
nalmeida75 says:
No Way! Charitable work, even if inside a enterprise-like structure to work efficiently, should not be pro profit under any circumstances, namely to benefit their staff or said trustees. Voluntary spirit should preside non profit activities at all times, even if staff is paid.
Posted November 17, 2009
Ted Margaris Boston says:
God calls plenty of very talented people in the business world to give up their lucrative positions to go into the ministry. Sometimes these people live on little or no income for very lengthy periods of time.If I give 30 dollars a month there has to be over 1000 sponsors even before a dime goes to the children. The problem Is in this world we the people do not love are neighbors as our selves as we are commanded to do and because of this we have the poverty that we have in the world.And people go into these different charities with a worldly business model and just as much greed as you might see in any other for profit business venture. There will be a day of reckoning for all of us! God have mercy on us all!
Posted November 16, 2009
Paul says:
They ask the poor to give but they themselves...do they give?...we are all members of the same body...God gave them a gift and they are no more important than the person making calls to get the donations. They need each other yet they take 10 times more because they are IMPORTANT? yes they are important but with Their Salary they could build 10 schools a year in a different country and if they were doing this they would post it on their website for credibility...but they dont..cause they don't give it. they ask others but do they live what they ask? We dont know do we?
Posted November 12, 2009
Jeanne Gemini says:
Never, if they are leading such an organization, they should be paid a good but definitely not exorbitant salary. Unless, they are committing to donate at least 75% of that salary to the cause.
Posted November 08, 2009
tolo says:
no they shouldn't.
Posted November 01, 2009
Lillie Granger says:
If the CEO of a charity earns more than I do I do not feel the need to give to the charity--from what i see, they all earn more than I do--I think I will keep my money from now on.
Posted October 22, 2009
skilly says:
It is appalling that an executive makes this kind of money while children are starving around the world. The sad reality is that in order for large multi-national NGOs to attract top talent they have to pay close to what the large for-profit corporations are paying. Otherwise, it would be difficult to attract good leaders. Don't get me wrong I still think it is IMPOSSIBLE to justify, but in Richard Stearns would probably command twice as much in the for-profit sector. Personally I live in Africa on a SUPER tight budget serving those starving children. Great Lens. 5*. Check out my lens: http://www.squidoo.com/facesofafrica. I think you will enjoy it. God Bless!!
Posted October 12, 2009
jim horne says:
NO!
Posted September 13, 2009
Do You Think It is OK That a Charity CEO Should Make a High Salary?
Some say that a good CEO can add great value to a charity and this can be worth any salary the charity may want to pay.
Some think that a CEO of the Charity should be in it more for the cause than for the cash.
What do you think?
What kinds of questions should you ask before you donate your money?
In some cases, the services are minimal. Nothing more than school books and an annual check up. Is that worth it?
In some cases, your money goes to a 'general fund' which the charity uses as it sees fit. It does not go directly to your child. Personally, I prefer that my child receive services, but this is up to you.
Do not contribute unless at least 80% goes to the fund. No more than 20% should go to administrative costs.
Personally, I believe that the head should receive a reasonable salary, but should not be getting rich. What is reasonable? In my opinion $100,000 is a reasonable salary. I think it is disgusting that some charity heads feel that salaries of $300,000+ are justified. I would NOT recommend donating to any charity where the executives are making such salaries.
Some charities allow you to send emails to your child, which are then translated locally. You will receive your response by regular snail mail. Others require that you send your letters by regular post.
Many charities began as missionary work for a particular religion. While there is nothing wrong with this, they may be using the charity to develop their religion abroad. Just be aware of the goal of the organization. Is it to help children? Or is it to convert new members? I want to support an organization whose primary goal is to help children, NOT to create new members for their religion. I want my charity to use my donations to feed and educate poor children, not to build churches.
Click the link for Give and see. However, amazing as it seems, many charity watchdogs like Give will approve a charity, even when the chief executive makes $0.5 million annually. Give's evaluation should be just one criteria. Do not base your final judgement on the opinion of the charity watchdogs.
How To Change This?
Here are some things YOU can do
* Contact a journalist and ask them to write on this topic. The media can increase public awareness. With public awareness, charities will be forced to make changes.* Contact your congressman. Forward a copy of this site and ask them to make a law requring charities to post the salaries of their executives on their website. You can find your congressman's address here: http://www.contactingthecongress.org/
* Publicize this information. Do you have a blog? Are you active in a forum? Make others aware of this issue. Leave a link to this article.
* Leave your suggestion for how to make change this in the comment box below. I will place the best ideas here.
* Let us know what you are doing to change this. Leave your comments in the comment box below.
What do you think about CEO's of Children's Charities receiving salaries above $300,000?
Would you prefer to donate to a children's charity where the CEO did not receive a high salary? Or do you think that it is necessary to pay a high salary in order to recruit a talented CEO?
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- MSE MSE Dec 31, 2009 @ 6:09 am
- I have to comment on this statement by "Brookelorren" Above: "You can't just hire anyone to run a large organization and expect them to run it well. These CEOs could probably make a lot more elsewhere."
In my opinion they SHOULD make this money elsewhere. I wonder if people forget that a Charity is a non-profit? There are no shareholders. There is no drive to grow this thing into a mega business that a corporation has. A Charity gets its money, not from having a better product, but from donors who are giving the money for a cause. A humane cause. The people behind that cause are supposed to be in it for doing good. That is why donors give them the money. What is the reason to bring in a corporate bigshot to grow the charity faster than the next charity? What is the reason to pay a wage that is competitive to what they could make elsewhere? Why is it that in America if it is not growing exponentially it is seen as a failure? As I have said several times in this article, if a charity wants to post that its objective is to have a fast growing charity and that for this reason it has brought in a corporate heavy hitter and will pay them gobs of money, and if people want to donate to that, this is fine. My problem comes in the fact that none of these charities communicate that they are paying mega salaries to their executives, and their donors are generally unaware of the magnitude of their salaries. This is, in my opinion VERY, very wrong.
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- Kate-Phizackerley Kate-Phizackerley Dec 30, 2009 @ 4:00 pm
- It would be good to keep this bang up to date but the idea is sound and the lens very worthy. Blessed by a Squidoo Angel
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- MSE MSE Dec 30, 2009 @ 9:36 pm
- Hi Kate
This information IS up to date at the moment. I just updated it about 5 days ago, Dec 26, 2009. Problem is that tax forms 990 are not submitted by the charities until about 1 year later, so the available data is always old. Also, one or two charaties have out of date information. It is difficult to find all of the forms and get the data together. They are not all available from the same source. But I hope the information on this site illustrates the issue.
Thanks for the blessing.
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- ed team ed team Dec 10, 2009 @ 8:12 am
- Don't just count the salary when you are considering compensation. Also look at the number of overseas junkets they take, the lavish dinners, luxury hotels, ira's and pension plans. I know of a national organization that instead of sending the money to build and paint a school in Haiti, had their members fly over, stay in a fancy hotel, endulged in "ethnic meals" costing 100x local meals, and had meeting after meeting. What a waste of money. Large organizations have many ways of squandering money. Check the charity's tax return (and then think how much they fudge it).
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- Nel Nel Mar 24, 2009 @ 8:16 pm
- I really focus on what the top dogs make. Non Profits are big money makers including churches. When you are at the Grocery store and they ask you to donate, ask what the top dog draws in as a salary. Wait to see the reaction as they are puzzled. I noticed one employee saying that she will not solicit that anymore until her manager can answer that question. www.nelsonmoyle.com
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- Quirina Quirina Mar 6, 2009 @ 5:52 pm
- Well, I just made a lens on 'African Angel'. what a great idea! ;) It is my favorite charity, like I mentioned below, and absolutely efficient!
For the lens, please see: http://www.squidoo.com/African-Angel ;)
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- Quirina Quirina Mar 6, 2009 @ 7:09 am
- This is an issue I am absolutely concerned about. I used to donate to Plan International, but cancelled the commitment because I felt unhappy with it. I do not know what their CEO is making, but I felt uncomfortable because of the glossy surface of their printed matters and advertisements, and also in my particular case they did not keep their promises on personal communication between my foster child and me.
However, I have a new favorite charity, which is based in Germany (like me) and supports children in Ghana. A very small organisation, and very convincing. All work done by normal people in their leisure time, I think. It is called 'African Angel'. http://www.african-angel.de/en/index.html
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- Brenda Brenda Oct 27, 2008 @ 4:03 pm
- I appreciate this article - it is very informative. It will make my decision of who to sponser a lot easier!
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- Rudy Rudy Sep 5, 2008 @ 3:00 pm
- I use to donate to Children International, once I found out the CEO was taking almost half a million dollar salary a year, I did cancel, help is needed everywhere, even in USA, so.. I am helping now from single mothers to elderly people abandoned in nursing homes, and yes I feel better.
Rudy H, California.
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- Margo_Arrowsmith Margo_Arrowsmith Sep 5, 2008 @ 6:54 am
- Your point is well taken, it is important how much of the money you donate goes to the actual source of the need. However, I also know that running one of these organizations is a lot of work. I am giving this lens 5* because of the work you did and the thought you put into it, it was obviously a labor of love, but will say that I don't think most of the salaries that you listed are out of line for what they do. But I totally agree that one should know what is being done with the money before one donates.
http://www.squidoo.com/HelpHeiferEndHunger
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- jimluce jimluce Aug 17, 2008 @ 8:50 pm
- Well, I have just written a piece for the Huffington Post on what > I < want out of being the C.E.O. of a global development effort to aid children.
You can read it at: http://www.huffingtonpost.com/jim-luce/will-a-vow-of-poverty-fil_b_118268.html
Also, feel free to "friend" me on FaceBook or LinkedIn. Cheers, Jim
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- Linda Linda Jul 20, 2008 @ 9:31 pm
- Well, I am the Executive director of an orphnas charity and I make $1. per year. www.oiww.org
So, of course most orphans care charities don't do this. Jim Luce, our founder, is supposed to get $47,000. a year and keeps putting it back into the organization. There are humanitarians, and there are businessmen. Know the difference.
Linda Stanley
Orphans International Worldwide
NY, NY
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- Joan Joan May 18, 2008 @ 4:43 pm
- Children Foundation for Children and Aging just received the highest rating of four stars for the seventh counsecutive years by the Charity Navigator- and a A rating from the American Institute of Philanthropy. I've sponsored a child for 6 years and have been to Guatemala and met Bob Hentzen. He is the most compassionate, amazing and humble man I've ever met-a former missionary, but is married and has 6 children and 9 grandchildren. He has lived in Gutemala nearly all of his adult life. Last year his salary was 92,409 and with that he travels to the CFCA projects in the 25 countries where there are sponsored children. I've seen where he lives-- he lives among the people that he loves, and I've seen for myself how the Guatemalan people love him. By the way, in 1996 he walked 4,000 miles from the headquaters in Kansas to San Lucas Toliman in Guatemala in a pilgrimage of faith to show his love towards the poor and to call attention to their difficult situation.
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- mulberry mulberry Apr 20, 2008 @ 3:30 pm
- I'm not sure, afterall to attract good CEO's you have to compete with other types of organizations for the talent, that means a salary that is closer to that of others. My guess is few CEO's are worth their salary and particularly when their companies are failing...the good ones are worth it, the other 95% aren't. The market for CEO's overall is probably the problem.
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- Shannon Darring, oak ridge 37830, TN,Hotfuse150@aim.com Shannon Darring, oak ridge 37830, TN,Hotfuse150@aim.com Mar 22, 2008 @ 6:52 am
- I dont know if I was more shcoked or more bumed out that people will manipulate those who choose to give. Though with many greedy people there are good, those kind of people give many more a reason to fight to change the name of mission work and charity.
But anyone who wants to give should really reseach it before sending their money out
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- Rachael Rachael Mar 12, 2008 @ 4:13 am
- WOW! That is ridiculous!!!! Teachers, who are in charge of children's lives, are paid crap compared to those CEO's!!! This world is soooo screwed up!! Rappers, sports players, actors & these CEO's make so much money! This makes me so angry!! I am going to be a teacher because I love children & I want to make a difference in their lives. It is just really unfortunate to read about someone who is supossed to be making a difference in childrens' lives , making $100,00-$400,00 a year!! These children are still in poverty & are still hungry! They live shitty lives while these SELFISH CEO's are sitting pretty!! PLEASE SOMEONE DO A STORY ABOUT THEM SO THINGS CAN CHANGE!!! I'm sure if more people knew that when they donated money it went into some CEO's pocket, they would further investigate the company before sending money!! I wish these CEO's could spend just a day living the life of these children & maybe they wouldn't be so fucking selfish & heartless!!!!!!!
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- Carl Carl Mar 9, 2008 @ 11:46 pm
- I just watched a tv presentation of "Feed The Chilkdren". Any idea about how their CEOs are paid?
The former President of Red Cross was paid half a million a year. That really destried public trust for charity organizations in US.
Can a CEO grab a billion a year, and still claim non-profit?
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- lisadh lisadh Jan 22, 2008 @ 4:37 pm
- I don't think every person who works for a nonprofit needs to take a vow of poverty, but I do think high salaries look bad. Having said that, I'd still rather see someone earn $400,000 to run an organization that does good deeds than see an actor, sports figure or corporate exec make far more than that and hoarde it all. Hopefully these execs donate a lot to charity. :-)
I used to volunteer for an excellent, little-known charity called Trees for Life, and most of their staff is volunteer, the top "execs" earn very little and they all live very simple lives dedicated to helping others.
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- steveffeo steveffeo Jan 22, 2008 @ 12:15 pm
- This is a great lens. It is a crime CEO's for charities get paid so much. Maybe they should take a que from the CEO of Squidoo Seth make $1.00 per year. The President of Food for Everyone Foundation (my cause) makes $0.00
Great lens I will lensroll and favorite/rank TY for pointing this out
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- quasilyonchase quasilyonchase Jan 20, 2008 @ 11:05 am
- I agree 100%;If the goal is compassion, sacrifice, then I expect the CEO of any charity to make a reasonable salary. So he/she can't live in a 7 figure valued house,in an elite neighborhood and wear suits that cost 3 or 4 figure. So what? I especially hold Religious Organization to a higher standard. If they really believe the principle of Christ, then prove it
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- BookReview BookReview Jan 11, 2008 @ 2:53 pm
- I have no problem with the salaries of these CEO's. If they worked in the private sector they would most likely make double or much more than what they are currently earning.The statistic that is probably more important is what percentage of the revenue goes to the actual charity and to the admin.
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- Melvin Melvin Jul 25, 2007 @ 1:56 pm
- I have heard Wess Stafford several times on the radio talk about the materialism and selfishness of American culture. Yet his salary is 10X what my family of 5 has to work with! You have voiced exactly my feelings. But how can you find a charity that does give careful stewardship to your money?
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- ellie ellie Jul 16, 2007 @ 10:07 am
- THANK you for raising this issue... I have been scouring the internet for other people writing about it. i can't believe the huge salaries these ngo-executives take home.
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