Although we usually focus on assessing our own programs and organizations, it’s equally important to assess the well-being of Nonprofits as a whole. Often overlooked, the health of nonprofits is an important economic and social indicator. In the United States, nonprofit organizations provide a significant portion of the nation’s health care, higher education, environmental stewardship, human services, arts and culture, and other vital services.
Every quarter, the Independent Sector releases a quarterly report on the Health of the Nonprofit Sector.
Six Key Insights in Nonprofit Health
The Independent Sector cited these six key insights of the report:
- Nonprofits make up 5.9% of Gross Domestic Product (GDP), up 0.4 percentage points from the previous year.
- Pre-COVID-19 employment levels for the nonprofit sector were expected to return around July 2022. (If you’re having trouble recruiting and keeping employees, you might be interested in our Onboarding Guide.)
- 47% of nonprofits said they served fewer people in 2020.
- 40% of nonprofits surveyed reported a revenue loss in 2020.
- Nonprofit advocacy supported the Paycheck Protection Program, payroll tax credits, and a temporary universal charitable deduction. This support saved 4 million nonprofit jobs in 2020.
- Nonprofits are also among the most trusted institutions in America. 57% of U.S. public trust nonprofits to do what is right in 2021. This is down 2 percentage points from 2020.
Going Forward in Our Area
In 2020, Brighter Strategies partnered with the Center for Nonprofit Advancement on a survey of local, nonprofits. The data focused on the impact of the pandemic and racial inequity in our region—Washington, DC, Maryland and Virginia—and is important to the proprieties and action agendas for all sectors. The Center used this research to create a robust resource center for local nonprofits.
We are thrilled to once again partner with the Center on a new survey of local nonprofits and the lingering impacts of Covid-19 on their operations. If you work for or run a nonprofit in the DC, Maryland, Virginia area, please consider taking the survey, here.