I talked to the head of a CPA firm yesterday and he said I needed to work up a budget for the business plan for a new nonprofit boarding school. I had decided not to include a budget in the plan since it might be years before the school opens its doors to students and it might be located in a different country. However, he said I still needed to put something down for the IRS filings for tax-exempt status. Essentially, I need to pull numbers out of the air. Ugh. If that wasn't bad enough...
All the faculty and staff will be living on the boarding school's campus (which will be a private island) and the boarding school will be picking up the cost of a lot of things for them. They'll be provided a nice spacious furnished apartment (in an apartment complex that will be off-limits to students), weekly maid service, all utilities paid, satellite TV provided, satellite radio provided, high-speed internet connection provided, allowed to eat all meals in the 24/7 school cafeteria, receive free medical and dental care from the school's infirmary (which will include a dentistry), medical/dental insurance coverage for what the infirmary cannot handle (thus what they need to be flown off the island for), receive a monthly session with a psychotherapist, weekly full-body Swedish massage, free haircuts, free use of the school's resort-quality recreational facilities (fitness center, kayaks, sailboards, scuba diving, swimming pools, observatory, riding stables, gardening, golf course, frisbee course, and more), and four round-trip flights on the school's private jets to anywhere in the world (though they will likely be grouped with students going that way). Since the school will be located on a private island, private vehicles will not be allowed or necessary. Everything will be within walking distance and all buildings (except the summer camp) connected by covered skywalks. Now how do I put a price tag on all that?
When talking to a friend that's a computer analyst and asking how much the above would be worth to him, he said he'd gladly take a 80% cut in his salary for doing an IT job for the school. He said he makes around $65,000 a year thus, if given the above, he'd be willing to accept a salary of $13,000 a year. He said essentially he would just bank his whole salary.
I need to not only estimate how much the above will cost the school to provide but also what it would be worth to potential employees. One goes into the budget and the other goes into the section on recruiting employees. Suggestions on how to do either or both would be much appreciated.
Thanks in advance!
Scott Jensen