The new tax law, the measure formerly known as the “Tax Cuts and Jobs Act,” represents the most comprehensive overhaul of the federal tax system in decades. Although the full impact of the law is still unfolding, most of the law’s provisions are effective as of January 1, 2018, so non-profits need to take steps now to understand and adapt to the changes. Following is a discussion of some of the key elements of the law affecting 501(c)(3) organizations, as well as some elements that did not make it into the final statute.
The Center for Non-Profits has been surveying the New Jersey non-profit community at least annually since 2001 to gauge the effects of the economy, funding and programmatic trends, and other issues in our field. This year’s report, New Jersey Non-Profits 2017: Trends and Outlook, based on the responses from 300 organizations, reveals familiar themes as well as some new concerns and opportunities.
Every year around this time, a question hangs in the air for non-profits and businesses like storm clouds in the sky: Will a hurricane affect our area and our ability to serve our communities?
Now at the midpoint of the 2016 Atlantic hurricane season, activity has been relatively muted so far and the few storms named have not resulted in significant damage to the New Jersey area. But with the most active period of the violent weather approaching, many meteorologists believe the quiet trend could make a 180-degree shift, the likes of which hasn’t been seen since Superstorm Sandy came ashore in 2012, according to a newly released forecast from the National Oceanic and Atmospheric Administration (NOAA).
According to NOAA, there’s a 70 percent chance that between two and four major hurricanes will develop between now and November 30, the last official day of the hurricane season.
Is your organization growing out of a home office or considering moving your established set-up to a new facility? Before getting into the details of searching, your board should discuss the big picture issues such as:
Will a new location help our mission and the community we serve?
Even though change can be exciting, for some moving your office from one location to another can be a daunting task. Many of the things you, your staff and volunteers are accustomed to may now turn into expenses for your organization. To make the process a bit easier, below are ten key questions to ask when searching for your new location.
The full report lays out in detail the ups and downs experienced by non-profits during the previous year, and their outlook for 2016. Here are the major highlights, based on the 311 New Jersey non-profit respondents from late January/early February 2016:
Nearly three-quarters of responding organizations reported that demand for services had increased during the past year.
Nearly four-fifths expected demand to continue rising in 2016.
Only two-fifths reported receiving more total funding in 2015 than in 2014, but nearly two-thirds reported that their expenses had increased during the same period.
Over one-third (35%) reported that expenses exceeded support and revenue during their most recently completed fiscal year; the proportion was even higher (44%) among larger organizations, those with annual budgets of $1.5 million or more.
Seventy percent expected their total expenses to increase in 2016, but fewer than half (47%) expected total 2016 funding to increase.
If you’ve seen our previous surveys or if you work regularly with non-profits, these findings may sound like variations of a familiar theme. You may even think that they’re better than during the worst of the recession – and that’s true. But if you care about the well-being of the non-profit community and non-profits’ ability to provide vital programs and services, these numbers should generate deep concern.