Need Nonprofits in NC
As populations increase and cultures and people become increasingly diverse, more issues and more problems face us than ever before. Many people assume these major problems and important issues will be taken care of by government agencies, but this assumption is becoming less and less of a reality. Many of the critical issues and problems today are the kind government is least equipped to handle and some of the issues and problems have escalated due to government agencies bureaucracy.
Currently, Mothers in need in America; count for over 5 million mothers will spend $1,500 or more per month, in diapers alone. This does not include the cost of wipes or other items.
As mission-driven organizations, non-profits support, connect, educate, inspire, and revitalize our communities. North Carolina non-profits also have a powerful impact on North Carolina’s economy. More than 40,000 charitable non-profits are operating in North Carolina. They are food banks, museums, senior centers, houses of worship, schools, theaters, research facilities, animal shelters, health clinics, housing assistance centers, transportation providers, and much more. North Carolina has 11,800 organizations that are 501(c)(3) non-profits with annual revenues over $50,000. Hospitals and private colleges and universities comprise only about 1.5% of these non-profits but account for just over half of non-profits’ $56 billion in spending.
North Carolina is home to 10,633 tax-exempt non-profits that file annual financial reports to the IRS.13 These non-profits spend a total of $38.5 billion, or 9% of the gross state product.
This plan focuses on non-profit organizations that are tax-exempt under Section 501(c)(3) of the Internal Revenue Code. To receive and keep this status, their primary objective must be to benefit the public. They exist to achieve charitable, religious, educational, scientific, or literary purposes. In exchange, these non-profits receive the privilege of exemption from most taxes.
The number and size of non-profits has risen sharply in North Carolina over the past decade. The number grew by 32% in the decade between 2002 and 2012, but has leveled off around 10,000 nonprofits since 2007. Overall non-profit employment grew by 18% between 2007 and 2013, a period when total employment in North Carolina declined.
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North Carolina non-profits add $38.5 billion to the state’s economy each year. The latest information shows North Carolina’s share of the Gross Domestic Product (GDP) as $430 billion in 2022, so non-profits’ $38.5 billion generates approximately 9% of the state’s total economic activity.
Non-profits provide jobs for more than 400,000 workers in North Carolina – more than 10% of our state’s total workforce. This includes 367,229 employees of non-profits that report to the IRS, plus an estimated 72,000 additional employees of non-profit churches, religious congregations, and other religious organizations. The average weekly wage of non-profit employees was $837 in 2011. This translates to more than $15 billion in annual wages generated for workers in our state.
These non-profit workers then generate billions of dollars in revenue for government and business. They pay state income tax on their wages, plus sales taxes to state and local governments, plus property taxes to local governments. Throughout North Carolina, they also support businesses by buying homes, vehicles, food, clothing, and other consumer goods and services. These businesses can then create more jobs and further build the economy.
North Carolina’s non-profits provide a wealth of opportunities for public service. They leverage the time of one out of every four North Carolinians by providing opportunities for them to work in their communities as volunteers. Each year, 2.5 million people in North Carolina volunteer representing 26.4% of the state’s entire population that take on jobs voluntarily to improve people’s lives and build the economy.
Volunteers’ total of 228.6 million hours of work represent the equivalent of 109,903 full-time employees. With the non-profit sector employing more than 400,000 paid workers, this brings the total number of North Carolinians performing paid or unpaid work in non-profits to about 3 million people.
72% of non-profits saw more demand for their services during the pandemic as record numbers of people sought help at food banks, crisis assistance centers, homeless shelters, community health centers, domestic violence agencies, and consumer credit counseling services. 40% of non-profits reported revenue losses for 2020. While charitable giving initially increased at the onset of the pandemic, the pandemic giving incentives have expired, donor retention has declined, and overall giving has stagnated.