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Author: TMFPMarti Big funky green star, 20000 posts Home Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 121219  
Subject: Re: How do I handle a forced "donation" Date: 8/23/2009 10:04 PM
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My husband volunteers to coordinate an annual program for a not-for-profit organization. (To quote a commercial, this is "a name you would know", and the program has existed for over 4 decades). There are several students hired on a weekly basis as counselors. After submitting a list of the expenses to be paid - facility, vendors, counselors, the organization provided checks for all but the counselors, claiming thatthe expenses were higher this year than anticipated. Hubby was told that if he wanted them paid, he could pay them himself, then submit for reimbursement. The organization collected the program payments directly in advance of the program. Soft touch that he is, he did not want the counselors stiffed after a week of 24/7 services, so he paid them, which I am sure the foundation was counting on. He has been provided the form to request reimbursement; unfortunately, it is a grant application that cannot be completed by an individual, as they do not award grants to indivduals, only to organizations. They now feel that we should consider this a "donation" to them, and move on.

Continuing the No Good Deed Goes Unpunished theme, he may have bigger problems.

It may just be your choice of words, but it sounds to me like the counselors were employees of the organization, and I'm betting that no FICA/Medicare taxes were withheld, nor will W-2's be issued. Hubbie could be on the hook for the amount that should have been withheld. Funding only net payroll is a huge no-no.

I'm frankly torn about what his best course of action would be. It ranges from sue the bastards to lay low and hope he nevers hears anything about it again.

Phil
Rule Your Retirement Home Fool
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