[AccessD] Rates: For-Profit vs. Non-Profit

Just an added caveat.
Invoice the non-profit organization with your full rate.
When you get the payment, write them a check for the amount of the discount.
You then have proof that you did not donate your time, you donated money.
Then the amount donated is fully deductable.
DO talk it over with their accountant - they have been down this road
before.
Jim 
 

-----Original Message-----
From: William Hindman [mailto:wdhindman at bellsouth.net]
Sent: Tuesday, March 04, 2003 2:37 PM
To: accessd at databaseadvisors.com
Subject: Re: [AccessD] Rates: For-Profit vs. Non-Profit


Dan
 
...I bill my normal full rate ...and then mark as much as half of it as a
donation or in-kind service, whatever makes their accountants happy.
 
...billing full rate on paper keeps the value of your work in front of them
and doesn't result in low ball references to others which tend to take your
options away.
 
...billing at full rate and then donating half may also result in tax
advantages for both of you depending upon how you're structured and how much
is involved. 
 
...nonprofits often are recipients of grants which match funds raised
elsewhere and may well use your donation as part of their offset while
taking advantage of your billing price to boost their expenses for both
taxes and fundraising purposes.
 
...talk it over with the nonprofit's money man and you may well help
yourself as well as them.
 
William Hindman

----- Original Message ----- 
From: Dan  <mailto:dwaters at usinternet.com> Waters 
To: accessd at databaseadvisors.com <mailto:accessd at databaseadvisors.com>  
Sent: Tuesday, March 04, 2003 3:24 PM
Subject: [AccessD] Rates: For-Profit vs. Non-Profit


Folks, 

I know that sometimes people will provide a lower rate to a non-profit
organization, particularly if you believe in what they are doing.  I may get
some work from a Non-Profit soon, and I was wondering if anyone has a
general rule of thumb about how you reduce your normal rate, or how you
might charge differently.  Also, are there any tax implications that you
know of?

Thanks, 
Dan Waters 
Quality Process Solutions 

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