Obama Boosts Nonprofits

November 5, 2008 RSS Feed Print
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In addition to spurring Americans to spend more money, Obama's win may also provide a windfall to nonprofits. This morning, Tom Pollak, program director for the Urban Institute's National Center for Charitable Statistics, told me, "I think in an Obama administration, rhetoric about service and sacrifice truly will lead to more people thinking about working in and volunteering in the nonprofit sector -- if not tomorrow, then over the next couple years."

During his speech last night, Obama said, "[Change] can't happen without you, without a new spirit of service, a new spirit of sacrifice." It recalled President John F. Kennedy's 1961 inaugural address when he said, "Ask not what your country can do for you; ask what you can do for your country" -- a sentiment that spurred thousands of young Americans to join the Peace Corps and volunteer in other ways.

The challenge, Pollak says, will be for nonprofits to organize themselves to absorb new volunteers and maintain the public's trust by avoiding scandals. Also, he said, sacrifice means different things to different people, and people need to feel that the sacrifices they are making are fair.

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Non-profits depend on the charitable contributions of those persons who make 250K or more per year. What does Obama think is going to happen when their taxes are increased by 5% and yes these people already have their charitable contributions and schedule a deductions capped. Their will be less money to fund non-profits. Who is going to fund them? Do you see the "new wealthy" who are making 125-249K writing a check to non-profits for 13,000 per year - that is how much of a hit someone who makes 250K/year is going to take? And how does taxing the wealthy help the housing and auto industry? I think in the future you will see an increase in unemployment all around, a slower economy, and less charitable work (volunteer or low pay).

of OH 12:39PM November 11, 2008

Let's hope Obama will spur on volunteerism; however, the economy is so bad that people are not donating to non-profit orgs. Non-profits really take the hit during economic crises.

I work for a non-profit, and most of our staff are full-time volunteers. Without them our work wouldn't be possible.

A non-profit employee of CO 3:19PM November 05, 2008

Alpha Consumer

Kimberly Palmer, senior editor for U.S. News & World Report, writes about making smarter financial decisions. She’s the author of Generation Earn: The Young Professional's Guide to Spending, Investing, and Giving Back.

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