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Paying Directors of the Governing Body

Important to know should you want to reimburse directors for their role and contribution.

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Contact Inez Adriaensen

advies@danspunt.be

Last updated on 24/07/2025


In the world of dance associations, many committed directors (often called ‘board members’) play a crucial role. Often, they are not only directors but also provide dance lessons, workshops, performances, or contribute as volunteers for tasks like working behind the bar or handling communication, ….

It is not common practice in our sector to pay directors for their mandate, but those same individuals are often paid for other roles within the organisation – such as teaching, communication, and so on.

Be careful!
Social inspections have shown that making a wrong choice regarding the status of a director-employee or mishandling the administration can have significant consequences.

That’s why we want to strongly advise all dance organisations to handle compensations to directors wisely.
 

Yes, you can pay directors of your non-profit organisation/ vzw

... but it’s crucial to do it in the right way.

Make a clear distinction between:

And strictly follow these principles:

  • Avoid conflicts of interest
  • Choose an appropriate status or compensation form and adhere to all relevant rules.

Compensation for the Mandate of Director

It’s not common to pay directors for their mandate in our sector, but it is possible.

When a director is paid for their mandate (attendance fees, sitting fees, annual compensation, etc.), it is considered as a self-employed professional activity. The director must be self-employed and comply with all related obligations.

Most directors do not receive payment for their mandate and take an ‘unpaid mandate’. They are considered volunteers and can receive volunteer allowances. You can find more information about volunteer compensation on our page about Volunteer Allowance.

The General Assembly decides whether or not to pay compensation, in what form, and which amounts. It’s best to state in your statutes whether the mandates for director are paid or unpaid. The specific form and amounts can be recorded in the minutes of the General Assembly.

Compensation for a Specific Task or Assignment

Avoid conflicts of interest

There must be a clear and distinct separation between the mandate for director and the paid assignment for the non-profit organisation (or ‘vzw’).

For instance, there’s a clear distinction between giving dance lessons and workshops, creating artistic performances, and handling bar and cleaning duties. These are clearly defined tasks in terms of content, time, and space.
However, for tasks such as administrative support, financial management, bookkeeping, and business-related work, it becomes less clear what constitutes unpaid 'director tasks' versus 'specific tasks' that are compensated.


What can you do to separate more clearly:
  • The person in question should not participate in decisions about their hiring or remuneration for the specific assignment.
  • Other directors should be allowed to independently make decisions about this. This can be done in a separate meeting from which the person in question is absent, or they can temporarily leave the meeting during the discussion.
  • Clearly record the decisions in the minutes, including the fact that the person was not present during the discussion.
  • Create an agreement for that specific assignment with a clear job description.
     

Respect the Status or Compensation Form

If your non-profit organisation (vzw) chooses to compensate a director for a specific assignment, you must select a compensation form or status. Make sure that you respect the characteristics of the chosen status.

As a freelancer

If the specific assignment is performed as a freelancer (self-employed or via an SBK/social office for artists), where the freelancer works independently without being subject to authority and is free to interpret the assignment as they see fit.

→ Create a service agreement with a clear mention of the tasks and compensation, and ensure this is clearly stated on the invoices.

For detailed information about obligations and rules, refer to our pages on Interim or SBK (social office for artists) and Self-Employed in a Secondary Occupation.

As an employee

If the director is (temporarily) employed under an employment contract or under the Article 17 status: the assignment is carried out under supervision and control. The other directors exercise authority and control to ensure that the employee does not have to answer to themselves as a director.

→ Make sure that all correct administrative procedures are in place: employment contract, Dimona declaration, occupational accident insurance, work regulations, declaration with the EDPW (Externe Dienst voor Preventie en Bescherming op het Werk or ‘external service for prevention and protection at work’), timely and correct payment of wages, and keep records of consultations and performance evaluations.

For detailed information about obligations and rules, refer to our page on Article 17.

As a volunteer

Create a volunteer agreement with a clear description of the task, place, location, time, and adhere to all other rules and obligations, which you can read about on our page about Volunteer Allowance.

The Managing Director

If the governing body chooses to delegate daily management to a Managing Director, they are usually compensated for this role. 

The Managing Director should be clearly named in the statutes to avoid any confusion. Additionally, consider the other principles to ensure that conflicts of interest are avoided and have a clear agreement in place!

Good (Cultural) Governance

A healthy and clear relationship between the general assembly, directors, employees, and other stakeholders (volunteers, etc.) is essential for a non-profit organisation (vzw), even for a small one managed with friendship.

But what does ‘healthy’ mean? The principles of good governance or so-called ‘good cultural governance’ (only in Dutch) are a good guideline in this.

You can read more about Good Cultural Governance on our page about the Roles within the non-profit organisation (vzw) and use this Toolbox (Dutch only), compiled by the Culture Management Fund of the University of Antwerp.

Make sure you always provide for good written documentation, such as a household regulation, meeting minutes, clear procedures, etc.

Zorg ook steeds voor goede schriftelijke documentatie. Een huishoudelijk reglement, notulen van de vergaderingen, heldere procedures, ...

Sources (in Dutch)

Want to know more?

Check our pages on non-profit organisations (vzw’s) and Paying and getting paid.

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