As a nonprofit organization, your energy and attention should be focused on your mission, not worrying about regulatory compliance. With Greenshades, you’ll receive automatic alerts of potential compliance issues related to ACA, new hire reporting, garnishment orders, wage adjustments, and more. We’ll also proactively address common issues such as duplicate entries so you can prevent issues before they can cause a problem. And if you ever need help, we’re just a call away!
We’ve designed the Greenshades Payroll and HR platform to be easy to configure, easy to use, and easy to manage… even if you have many employees or complex pay conditions.
Our Payroll and HR platform is flexible enough to accommodate your unique work conditions, not force you to change your operations to accommodate the platform. An unlimited number of pay types, assigned at the time of hire or project start, are easy to access and configure. And project dates automatically drive whether pay types are active or not within the system. Less manual work means more time available for those that you serve.
To be tax-exempt under section 501c(3) the IRS states an entity must be “organized and operated exclusively for religious, charitable, scientific, testing for public safety, literary, educational, or other specified purposes. Tax-exempt organizations do not seek commercial or monetary profit for private interest, and they do not benefit from any net earnings. All funds collected by nonprofits go towards the organization’s purpose. Other forms of tax-exempt classifications include 501(c)(4), which covers social welfare organizations and 501(a) represents other nonprofit organizations.
Even if your organization is tax-exempt, you are still liable for payroll taxes. Nonprofit organizations must withhold federal income taxes, Social Security, and Medicare. They are also liable for federal unemployment taxes, organizations under the 501c(3) are not liable for Federal Unemployment taxes
Nonprofit operations greatly differ from for-profit organizations in how they gain profit and how they run their HR operations. Some of the HR challenges that are specific to nonprofits include:
Employers can hire volunteers who offer uncompensated service or hire employees who must be paid at least minimum wage. Most nonprofit revenue comes from donations, grants, or selling goods or services and this revenue is used to pay employees. Like other employees, nonprofit employers provide benefits packages and fair compensation to their employees.