Thursday, January 14, 2010

I am not a Fan of the Red Cross

So what do the Red Cross and the big banks have in common? Greed!

The American Red Cross is a not-for-profit 501C(3) corporation. Which means that when some gives them money they get to write it off as a tax deduction. There are also a lot of perks for a non-profit corporation (i.e. exempt status on taxes, free public service announcements, and much more).

Within the last 24-hours the Red Cross has accumulated approximately $800,000 dollars from people texting and getting charged $10 on their phone bill because of the earthquake in Haiti.

Well, do the people giving the money know that $500,000 of that $800,000 will go to pay the CEO's salary this year? Yep, Gail J. McGovern takes from the Red Cross a salary of $500,000 a year! Now get this... in June 2008 she actually got paid a signing bonus of $65,000!

Every single penny of that money is money that people gave to help those in need. I know that 99% of the people who give the money have no idea. I have been approached by people who wanted me to do business with them and when I have gone to their website and I see that they endorse and promote the American Red Cross, I decline. I ask them, "Did you know that $500,000, of DONATED MONEY, goes to the CEO's salary? And they act as if I told them "frogs can fly"

I also have another reason for disliking the Red Cross. 99% of my family suffered devastation in Katrina and I can tell you first hand.... Red Cross did not step up to the plate. Yes, they had a presence there and yes they threw out a couple of peanuts....

I personally think that the salaries should be capped for salaries of non-profit employees of all non-profit corporations. After all they are "non-profit".


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