Member Benefit Spotlight: Annual NHC-NHSA Compensation Report Released
By: Bob Scott, Director, Membership Operations
Each year, the National Health Council (NHC) and the National Human Services Assembly (NHSA) conduct a Compensation Survey with their nonprofit members, a valued NHC member benefit. The objective of the survey is to collect and tabulate total cash compensation (base salary plus additional cash) and salary range data on selected management and professional positions. It also summarizes the prevalence of benefits and perquisites provided to positions at various staff levels. In addition, the survey summarizes various compensation practices, including salary adjustments, retirement and savings plans, medical benefits, variable compensation practices, paid time off, and Board compensation practices.
The survey is managed by PRM Consulting Group, Inc. (PRM), which specializes in pay and benefits consulting for the nonprofit community. This year’s report includes individual position summary tables for 94 positions. The tables contain base salary statistics for each position reported by total respondents, geographical location, organization budget, and total employees. All eligible NHC and NHSA nonprofit members were invited to participate in the survey, and a total of 69 member organizations provided complete and valid responses. Respondents reported annual base salary data for matched positions as of July 1, 2024. Other cash compensation data were requested for cash payments made at the end of the most recently completed fiscal year. Cash compensation data submitted by survey respondents is reported for a total of 5,724 employees.
In addition to the summary tables, the report provides highlights of common practices in salary management, pensionable earnings limits, retirement and savings plans, medical benefits, paid time off, variable pay, and Board of Director compensation practices. Some examples of that summary include:
- Salary Management Practices
- The most recent average salary structure adjustment for survey respondents was 4.0%, and the anticipated average salary structure adjustment is 3.6% for the upcoming fiscal year.
- The most recent average salary-increase budgets ranged from 3.9% to 5.1% depending on position level, and the median salary-increase budget ranged from 3.3% to 4.0%.
- The next planned average salary-increase budgets are lower and ranged from 3.7% to 4.6% depending on position level, while the median planned increases ranged from 3.0% to 4.0%.
- Retirement Benefits
- The most common plan utilized is a 403(b) defined contribution plan, reported by 52% of all survey respondents.
- Survey respondents reported that they contribute an average of 5.9% of pay to their defined contribution plan.
- Medical/Dental Benefits
- The most common medical benefits plan is a preferred provider organization (PPO) plan, reported by 84% of reporting survey respondents.
- Employee contributions are typically less than 30% of the premium for self-coverage, but more than 30% for dependent coverage.
- Most survey respondents (81%) offer dental benefits through a dental PPO plan.
- Sick Leave/Disability/Other Benefits
- Sick leave benefits are more often provided as a stand-alone policy (63%), while the remaining provide sick leave as part of an integrated paid time off (PTO) policy.
- Among those organizations providing short-term disability, the typical plan provides between 60% and 67% of weekly earnings to a median weekly maximum of $1,500 for 13 weeks.
- About 73% of survey respondents reported providing a flexible spending account or Section 125 plan to help employees cover certain medical, dental, or dependent care expenses.
- Paid Time Off Practices
- Overall, survey respondents typically provide 12 paid holidays and two floating holidays per year; the maximum annual carryover is 12 days and the maximum total accrual for unused paid time off is 25 days at the survey median.
- Paid time off typically accrues to employees based solely on years of service.
The 2024 NHC-NHSA Compensation Report was recently released to all participating NHC members. That data also is included in PRM’s larger Management Compensation Report of Not-for-Profit Organizations. NHC members who took part in the data collection process will also receive a complimentary copy of that annual report, which covers the broader nonprofit audience. That report, distributed by PRM directly, will be released around mid-September.
If you have any questions about the survey process or this year’s report, please contact Bob Scott, Director, Membership Operations