VIDEO Q&A for Subscribers: November 2025

Ben and Mike answer questions from subscribers about best practices in structuring and approving executive bonuses, updating cost allocation methods and the importance of time sheets, cash management for organizations with healthy operating reserves, and managing the costs of insurance.

PREVIEW SHORTER CLIP:

FULL 30-MINUTE VIDEO:

CHAPTERS:

00:00 - Intro

00:43 - Best practices regarding bonus compensation

05:02 - Tying bonus compensation triggers to specific revenue targets vs. taking performance goals into consideration

10:02 - Documenting the process of approving bonus compensation to qualify for the "rebuttable presumption of reasonableness" under the excess benefit transaction rules

13:27 - Updating cost allocation methods for a growing organization and the importance of time sheets

20:16 - Getting started with investing a portion of operating reserves

23:36 - Managing the costs of insurance

FURTHER READING:

Q&A #54 – What comparability data must a small 501(c)(3) organization review when determining executive compensation?

Budgeting for Salaries is Key to the Nonprofit Budget Building Process

TEMPLATE: Current Operating and Intermediate Funds Cash Management Guidelines

Using Insurance Brokers as Trusted Business Advisors