View Full Version : What To Charge Charity or Non-Profit


Michelle Genrich
December 25th, 2008, 04:28 PM
I'm often asked to video non-profit or charitable events and am wondering what to charge or is there a standard for non-profits whose net worth is low but desire is high. As of Friday, I received a call to hall gear, crew, and sound equip 150 miles one way to tape (and do sound, lighting, etc) for a promoter who is bringing in 6 bands to raise money for a charity. They want me to make a dvd of the 6 bands to be sold to raise additional funds.

I would have to put the DVD together from A to Z including enhancing sound in the studio.

They probably will sell somewhere around 750 DVDs.

Any input would be appreciated. Thank you.

Jim Harvey
December 25th, 2008, 04:40 PM
In the situation that you describe, you are working for the promoter rather than the charity. Standard rates (yours) apply. Working with Charities and Non-Profits is not cause for an automatic reduction in your rate either. If you WANT to give a reduced rate that is up to you, but you are in no way obligated to do so. Non Profit does not mean NO MONEY. Simply that whatever they give to their charity is what is left (presumably) after all expenses have been paid. Expenses are rent, salaries, light heat power and subcontract work etc. People who work for non-profits take a salary just like a 'regular' job so there is no reason for you to discount your fees.

Matt Ratelle
December 25th, 2008, 11:05 PM
I'd have to agree with Jim on that one. For something like you described, the charity has likely hired a company to provide the entertainment, or to plan the entire event. They would pay this company a certain fee, and that company will then try to save as much money as possible while putting it all together to increase their profits. Companies like this will often be able to convince people to provide services for free, or for a large discount. In reality the charity never sees those savings, so you're not doing THEM the favour.

Here's the exceptions...
If you are working for the charity itself, you may be entitled to a tax reciept, which you can claim at the end of the year against your taxes. One other reason to give a good deal(and I'd try to convince them to give you a tax receipt in addition to this) is to trade for free advertising. If they put your name or website on a flyer, or anything that could give you more customers, you may find it worthwhile!

Warren Kawamoto
December 25th, 2008, 11:59 PM
Are you hired by the promoter or the actual charity? When an event takes place that makes money, the promoter may keep about 95%, and only 5% goes to the charity! This was a big shock to me when I discovered the truth. Don't be fooled by smart-mouth promoters.

One of the biggest deceptions come from organizations that supposedly "help" firemen or policemen, especially after 9/11. I was one who was taken for a ride!

BBB of Hawaii: Police and Firefighter Organizations (http://hawaii.bbb.org/WWWRoot/SitePage.aspx?site=55&id=2ddeaec3-0c27-44da-81ca-a28c034240f6)

Matt Ratelle
December 26th, 2008, 12:47 AM
Great website Warren! I'm thinking I need to plan a trip to this Your City, USA...I think I could make a billion dollars off of them! LOL

Shaun Roemich
December 26th, 2008, 07:14 AM
Here's the exceptions...
If you are working for the charity itself, you may be entitled to a tax reciept, which you can claim at the end of the year against your taxes.

Ah yes, but then you need to claim the entire amount of the tax receipt as income and then "write it off" with the tax receipt. Your net gain here, monetarily or tax implications, is ZERO.

You'd be further ahead just doing a contra deal for advertising.

Shaun Roemich
December 26th, 2008, 07:19 AM
They want me to make a dvd of the 6 bands to be sold to raise additional funds.


As well, the promoter MAY not have the legal or contractual right to do this, depending on who the bands are and who their management is. Most pro bands don't actually own the rights to their songs, nor can they grant usage rights. That is usually in the domain of their management company. Make sure that the promoter actually has clearance to do this or you MIGHT end up hauling a bunch of gear, doing a bunch of work and then having one of two things happen: 1. "um, we can't make the DVD so we can't pay you"; or 2. The friendly neighbourhood intellectual property lawyer shows up at your house and says "we're suing you for ten million dollars. Have a nice day"

Michelle Genrich
December 26th, 2008, 08:19 AM
Are you hired by the promoter or the actual charity? When an event takes place that makes money, the promoter may keep about 95%, and only 5% goes to the charity! This was a big shock to me when I discovered the truth. Don't be fooled by smart-mouth promoters.

One of the biggest deceptions come from organizations that supposedly "help" firemen or policemen, especially after 9/11. I was one who was taken for a ride!

BBB of Hawaii: Police and Firefighter Organizations (http://hawaii.bbb.org/WWWRoot/SitePage.aspx?site=55&id=2ddeaec3-0c27-44da-81ca-a28c034240f6)

The promoter is the one who wants this. The charity didn't request it. I'm not sure of the arrangement between the promoter and the charity but I do personally know the promoter and think the deal is pretty much on the up and up.

This type of thing has happened to me in the past. I found that a non-profit had received $1800 to have their group documented on video. They called me and wanted it done for free. I didn't do the job and I don't believe they ever did get their video documentation unless someone, perhaps a public access station, did it as a favor.

Jeff Donald
December 27th, 2008, 10:20 AM
Much of your work may not be tax deductible in the US. Consult your accountant, CPA etc to determine the current tax status of charitable work. A bill was before Congress to change the current tax law, but I'm not sure it passed. In the US you are only allowed to deduct actual expense, such as tape, DVD cost, transportation expense etc. Any labor, creative billings etc may not be tax deductible. A bill was (is?) in Congress to change this, but only actual expenses (not labor) may be tax deductible.