Allied Charities of Minnesota

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August 1 minimum wage increase information

30 Jul 2015 07:49 | Allen Lund (Administrator)

We asked the MN Department of Labor and Industry on whether charitable gaming organizations are to use sales or sales minus prizes as the measure of whether you are considered a large organization (greater than $500,000 in sales annually) or small organization (less than $500,000 in sales annually) in regards to which hourly wage you should be paying come August 1.


The state has now said that our sales are the measure to be used for determining our size and not sales minus prizes as the Federal Government uses on our 990T.


I personally believe that holding us accountable for 83% of the money that we never get to use to pay bills or taxes is wrong (to say the least).  A charity with sales of $500,000 will have banked as little as $85,000 in a year, hardly my definition of a large business.  


It will be my recommendation to the board that we seek membership approval at the annual meeting in November at the convention/expo for a statute change that clearly states that sales minus prizes is the measure of the size of our organizations, not sales.


If you believe the same as I, please attend the convention/expo to ask that we seek this change.


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