Charities and not-for-profits can employ and pay people. Operating as a not-for-profit does not mean that a charity can’t employ people. Qualified staff can be required to carry out the work of charities and not-for-profits and these people need to earn a living.

The ACMA's Not-For-Profit Guidelines outlines "Licensees can pay salaries and commissions, provided the amounts are bona fide and directly related to the work or service provided. Such amounts must be properly accounted for in the licensee’s financial records."

The amount that a charity or not-for-profit spends on staff salaries is decided by the charity’s governing body (its board, committee, or trustees) and will depend on the skills and experience of the individual, as well as the organisation's purposes and activities. 

Staff salaries should be appropriate for the work and should be considered in the context of the organisation's activities and purposes. In many cases, to attract qualified, skilled and experienced people, charities and not-for-profits need to be able to offer competitive salaries.

One way to identify a competitive salary level is to look at a salary survey. Examples applicable to community broadcasting are in the Pro Bono Salary Survey  

Further, as recommended in the Australian Institute of Company Directors, any salaries and bonuses paid to staff would form part of their employment contract with the organisation. The board or management committee determines staff remuneration and bonuses.

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