Vermont’s Nonprofit Sector: An Economic Driver & Vital Community Partner
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Every person in Vermont is served, in some way, by state and local nonprofit organizations--classified as public charities. We've put together an interactive visualization of Vermont's nonprofit sector so that you can make better decisions, locate organizations that share your mission and communicate the meaningful difference these organizations make in the life of Vermonters and the overall health of our economy. NOTE FROM IRS REGARDING MASTER FILES: Due to technical problems, the files for the EO/BMF have not been updated for this month. The problem is expected to be resolved within the next few days. We regret any inconvenience this problem may cause users. This means that the IRS data will be updated again shortly.
Get the Fast Facts, gain an overview of the sector’s statewide financial impact, compare counties, compare sectors, and dive into the detail of Vermont’s nonprofit organizations.
- More than 4100 Vermont nonprofits serve all corners of the state. With healthcare and education driving sector revenue, public charities generate nearly $6 billion.
- Vermont nonprofits paid nearly $2 billion in wages, which translates into an estimated $34 million of personal income tax revenue for Vermont’s state and local governments and over $334 million in federal tax revenues.
- Nonprofits employ 1 in 7 Vermont workers, making the nonprofit sector the largest industry in the state after the government.
- Vermont nonprofits contribute $5.7 billion per year to the economy through wages paid, retail and wholesale purchases, and professional service contracts. This contribution is equivalent to nearly 20% of the State’s gross state product–greater than the manufacturing and construction industries combined.
Scope of the Sector
As of June 2015 , there are 5619 nonprofits serving Vermonters (defined as 501(c) organizations). Of these, 4386 are classified as 501(c)(3)s, the most common type of tax-exempt nonprofit organization. Of these, 4109 are Public Charities and 277 are Private Foundations. The following numbers reflect an analysis of Vermont Public Charities.
Vermont’s 4109 public charities tend to be small and operate with modest revenues. Of those filing with the IRS as of 2014, 81% reported less than $500,000 in revenue and 19% reported more. Looking at revenue categories, 51% reported no income at all (2098). The next largest revenue group, those reporting less than $100,000, represent 17% of the sector (718). Nearly 12% of Vermont’s public charities report revenue between $100K and $500K.
The larger organizations tend to be hospitals, colleges, major arts and cultural institutions, and those that serve larger geographic groups of organizations. Of these, 6% report between $500K and $1 million in revenue (252), 8% report $1 to 5 million (330), and 5% report more than $5 million (212).
Compare sectors or counties >
A Variety of Sectors Deliver Vital Community Services
Every person in Vermont is served, in some way, by state and local nonprofit organizations. Health care and education constitute the largest number of nonprofits, the largest nonprofits and the largest portion of Vermont nonprofit revenue.
Value of the Sector
Taken together, Vermont’s public charities represent nearly $6 billion in annual Revenue and $10 billion in Assets. Large organizations, especially hospitals and colleges dominate the financial activity of Vermont’s charitable sector. These organizations receive the majority of their revenue from program services, while smaller organizations rely on contributions, gifts, and grants as their primary source of revenue.
(Source: IRS Nonprofit Organizations Business Master File, October 2014).
Serving All Corners of Vermont
Vermont public charities can be found in every county except Essex. More than a quarter of Vermont nonprofits are found in Chittenden County. Central Vermont/ Washington County represents 13% of the sector . Windham (10%), Windsor (11%), and Rutland County (8%) follow in size. Their distribution tracks closely to county population in most counties–with the notable exception of Franklin County.
Nearly 40% of Vermont nonprofit revenue is centered in Chittenden County, with the balance dispersed across every county but Essex and Grand Isle. (The organizations that serve these regions are based in adjacent counties.)
The U.S. Bureau of Labor Statistics develops research data on employment, wages and establishment figures for nonprofit institutions with a specific focus on 501(c)(3)'s. They recently released comparative data on the number of Vermont nonprofit employees between 2007-2012, which provides insight into the growth of the sector and changes in compensation.
Learn more about the methodology behind these numbers.
Explore the Data
The table contains details about all of Vermont's nonprofits, as reported in the IRS Nonprofit Organizations Business Master File as of June 2015 . You can filter the results by name, county, or sector (according to the National Taxonomy of Exempt Entity (NTEE) Major Groups). To filter, start typing in the search box appearing at the bottom of the column.
You can also download the data by clicking on the download button.
|Organization Name||County||NTEE Major Group¹||Revenue|
|Organization Name||County||NTEE Major Group¹||Revenue|
Contributor to Gross State Product
Vermont’s Gross State Product (GSP) totalled $29.05 billion in 2013. Taken as a
whole, charitable organizations account for 19.96% of Vermont’s State Product (GSP).
Their share of the GSP is larger than these key Vermont industries Manufacturing,
or Durable Goods, Retail Trade, Finance/ Insurance, Construction, Utilities,
Transportation or Agriculture. In 2013, Manufacturing accounted for $3.2 billion in
revenue (11% of GSP) and Retail Trade generated $2.2 billion (8% of GSP). By
comparison, in 2014, Vermont nonprofit Hospital revenue constitutes 8% and
Colleges account for 3% of the GSP.
See Interactive Chart: Vermont Industry as % of Gross State Product
Note: We’ve combined data across the two years to show the relative scale of contribution to Vermont’s economic output in the Chart above.
In 2012, Vermont nonprofits employed 44,131 people. This represents 14.8% of the State’s total workforce or 1 in 7 Vermont workers. Nationally, approximately 10% of workers are employed by a nonprofit organization. This workforce makes Vermont’s nonprofit sector the largest industry in the state, after state and local government. In fact, Vermont’s nonprofits employ more than three times as many workers as the construction industry and sixteen times as many workers as the state’s natural resources industry (which includes agriculture, forest products, fishing and hunting). Distribution of Vermont nonprofit employment is not available at this time.
See Interactive Chart: Vermont Employment by Industry
In 2012, Vermont’s nonprofits paid their employees $1.9 Billion in wages, or more than 16% of the state’s total payroll. The average wage was $44,882 or $21.75/ hour, compared with the State average of $19.85/ hour.
Learn more on Vermont’s nonprofit wages and compensation in the 2014 Vermont Nonprofit Wage & Salary Survey.
Despite being exempt from corporate income tax, nonprofits generated $394 Million in federal, state and local taxes.These wages translated into an estimated $33.7 million in personal income tax revenue for Vermont’s state and local governments and over $333.8 in federal tax revenue. (Source: IMPLAN Analysis, based on 2012 payroll data from the Vermont Department of Labor).
The nonprofit sector is a growth industry. Between 2000 and 2010 nonprofit employment increased by 1.9% while Vermont’s for-profit sector employment decreased by 1.7%.
See Interactive Chart: Vermont Job Growth Rate
Value of Volunteer Labor
A recent report indicates that 33.7% of Vermont residents volunteered 19.2
million hours of service, adding up to $431.6 million in value.
DIRECT & INDIRECT EFFECTS OF NONPROFIT ECONOMIC POWER
Like all businesses, nonprofits purchase and produce goods and services and pay taxable wages to employees. These transactions have an economic ripple effect as monies spent by nonprofits and their employees are circulated throughout the larger economy.
Using IMPLAN economic modelling software, the Vermont State Data Center used Vermont nonprofit employment and wage data to create an input-output model. The resulting model describes the economic activity associated with Vermont nonprofits and provides a baseline from which to estimate their potential economic impact.
In addition to the 44,131 jobs directly produced by the nonprofit sector, the economic model indicates that the nonprofit sector supports an additional 8,584 jobs through both induced and indirect effects. The total effect is that 57,715 jobs in Vermont result from nonprofit activity, adding up to $2.3 billion in labor income, a multiplier effect of 1.2.
The dollars spent on labor plus the sale of services generated by Vermont’s nonprofit sector equals $1.6 billion. In turn, this generates more than $515 million in additional purchase of goods and services (indirect effect) and $1 billion spent by the beneficiaries of those businesses (employees, employers) in the economy at large (induced effect). The total economic impact of Vermont’s nonprofit sector is $3.2 billion.
That multiplier effect equals 1.9, Every dollar spent by nonprofits generates additional 90 cents in economic activity.
|Impact Type||Employment||Labor Income||Value Added||Output|
|Type II Multiplier*||1.2||1.2||1.4||1.9|
- IRS Master File for NonProfit Business (June 2015)
- Vermont Department of Labor Demographic Profile Series 2012
- Vermont Joint Fiscal Office Fiscal Facts 2014
- Johns Hopkins Economic Data Project: “Holding the Fort: Nonprofit Employment During a Decade of Turmoil 2000-2010″
- US Department of Labor Bureau of Labor Statistics: “Research Data on the Nonprofit Sector”
- State Data Center/ University of Vermont IMPLAN Analysis (Upon Request)
- Corporation for National & Community Service: “Volunteering in America” (December 2014)
- US Bureau of Labor Statistics Research Data on the Nonprofit Sector (2012)
Please contact Common Good Vermont if you have questions, comments or examples of how you are using this data. We are standing by to hear from you at Coordinator@CommonGoodVT.org or 802.862.1645 x19.