Though the primary objective of nonprofit organizations is public benefit rather than earning a profit, the economic impact of nonprofit organizations is significant.  

A 2022 report by the NC Center for Nonprofits stated the nonprofit industry put $56 billion back into the state’s economy, provided 361,918 jobs (10% of all NC private sector employment), and paid $19 billion in wages.  

Of the 146,070 Nonprofit Corporations in the state, more than 40,000 are charitable nonprofits encompassing a variety of community organizations including schools, food banks, senior centers, and many more. Nearly 35% of those focus on human services, and though hospitals and private colleges and universities represent only 1.5% of nonprofits, they account for more than half of the industry’s $56 billion in spending. 

Nonprofit revenues come from private fees for services, grants and contracts, and individual and corporate contributions. Volunteers play a large role in their operations, though since losing 40% of volunteer staff in 2020, organizations have been slow in replacing them.  

The number of paid staff in the nonprofit industry has also decreased. Despite the increase in service needs since COVID-19, 72% of nonprofits have a 10% vacancy rate in staff positions.  

Charitable donations have also decreased. Since federal law tax changes took effect in 2018, the number of charitable donation deductions by taxpayers has decreased by 30% since 2017.  

In 22 counties of WNC, there are 1,708 nonprofits reporting a total of $5,153,047,861 in expenditures, employing 32,126 individuals who earn annual wages totaling $1,314,033,536, based on 2020 data.

Source: NC Center for Nonprofits