Nonprofits have a hefty impact on our economy

Nonprofits are essential to the quality of our lives, providing services to everyone including the most disadvantaged among us. In addition to family and social services, nonprofits help further the arts, create and maintain park spaces, and work for the safety of communities. Beyond the community impact, nonprofits also generate a hefty impact on our economy. But just big is their impact?  The nonprofit sector contributed an estimated $905.9 billion to the US economy in 2013, composing 5.4 percent of the country’s gross domestic product (GDP)

The massive economic impact to the United States GDP is undeniable. So how are nonprofits able to operate, contributing to our economic health? Through volunteerism and donations.

• 25.3% of US adults volunteered with an organization in 2014, contributing an estimated 8.7 billion hours, the most hours recorded since the Current Population Survey’s volunteer supplement began in 2002; the value of these hours is approximately $179.2 billion.Click To Tweet
• In 2014, total private giving from individuals, foundations, and businesses totaled $358.38 billionClick To Tweet

The takeaway: People – through donating money, time, or both – help ensure a healthy nonprofit sector that enriches our communities and our bottom line.

Resource: Urban.org

Featured image by Mattheus Ferrero via Unsplash