As with most corporations and nonprofit organizations, a private foundation is ordinarily headed up by a board of directors. The board delivers management and business enterprise oversight for the foundation, nevertheless it frequently is not involved inside the day-to-day activities which might be performed by way of the officers of your foundation. The board is an knowledgeable group of advisors that the foundation relies on for long-term direction and tactic.
The foundation directors are ordinarily chosen depending on their ability, knowledge, and potential to reach the foundation’s mission. But they may perhaps also be chosen depending on their relationship together with the founder of your private foundation. This suggests that they're able to be household members. The foundations may perhaps compensate their directors, and lots of do. Having said that, do not forget that the compensation should be affordable (and what’s affordable for the IRS may perhaps not appear affordable for the director or the foundation!)
One particular of your functions of your board of directors is usually to set the compensation for its officers. Compensation is ordinarily set by comparing related organizations and by taking a look at their salary and positive aspects information and facts that is published on an annual basis by the Council on Foundations (obtain out extra in regards to the Council on Foundations at www.cof.org). Cost-of-living adjustments for the distinct geographic region may perhaps also be suitable.
