Leaders at single-site, not-for-profit senior living organizations tend to have their “finger on the pulse” of their communities and find themselves “in the weeds” more than their multi-site counterparts, but they earn less than them, according to a new executive compensation report. And executives at larger organizations earned more than those at smaller ones.
LW Consulting, a Harrisburg, PA-based market research and consulting service, analyzed not-for-profit senior living executive compensation for single-site operators for a report that is an addendum to its earlier analysis of senior living executive compensation.
CEOs more involved in day-to-day operations
The report authors note that single-site, not-for-profit senior living CEOs and presidents shoulder different responsibilities than their multi-site counterparts. Specifically, they are more involved in the day-to-day operations of the community and have stronger direct relationships with their residents.
“The proximity to the services delivered also enable them to have their finger on the pulse of the mood and morale on the campus,” the report reads.
The data showed that the average and median salaries were relatively close among all single-site CEOs, demonstrating a base level of symmetrical distribution, according to the report. But that parity disappears among the largest 25 providers.
On average, single-site CEOs earned $314,656 total, with a median salary of $281,345. Among the largest 25 providers, CEOs earned an average of $355,610, with a median salary of $249,348 — with higher average bonuses and “other” compensation than median figures. Among the smallest 25 providers, CEOs saw average salaries of $302,928, with a median salary of $267,019.
Those figures compare to data sets used in previous analysis of LeadingAge Ziegler 200 data across all organization sizes, where the average CEO salary was $506,802, with a median salary of $411,400. The average salary of CEOs at large multi-site organizations was $638,013, whereas leaders at smaller multi-site or single-site organizations averaged $298,740 in pay.
CFOs work with smaller teams
Compared with their multi-site counterparts, single-site chief financial officers generally work with smaller financial teams, with fewer positions dedicated to specific phases of revenue cycle management.
“For this reason, single-site CFOs often find themselves in the weeds more so than their larger, multi-site CFO cousins,” according to the report.
The largest single-site CFOs do not earn significantly less than their multi-site counterparts — those at the 25 largest providers earned only 5% less. More pronounced differences were found at the smallest 25 providers, who earn 26% less, on average.
On average, single-site CFOs earned an average salary of $238,813, with a median salary of $195,399. CFOs at the 25 largest providers earned average salaries of $285,902, and median salaries of $217,746. Among the 25 smallest providers, CFOs earned an average salary of $218,766, with a median salary of $179,629.
Those figures compare with data sets used in previous LeadingAge / Ziegler 200 analysis, where overall, the average CFO earned $301,713, with a median salary of $268,949. Across organization sizes — both multi-site and single-site — the average salary of CFOs at larger organizations was $397,058, whereas the average salary at smaller organizations was $213,034.
LWCI used a LeadingAge / Ziegler list of the 150 largest single-site, not-for-profit communities to analyze similar data sets to those used in a previous LeadingAge / Ziegler 200 analysis. The company also used the most recent IRS data to compile the report.
