Mike Temkin (@miketemkin)
“Nonprofits are currently facing a ‘squeeze’ caused by high inflation, rising operational costs, and increased demand for services, all while experiencing shrinking donations and decreased government funding. Many organizations are cutting programs and reducing staff … Inflation has driven up expenses for rent, utilities, and supplies, with 81% of nonprofits reporting higher operational costs, averaging a 15% increase. … Individual giving is slowing as households face financial pressure, forcing many nonprofits to face reduced revenue. … Over 33% of nonprofits reported disruption or loss of government funding, leaving many, particularly those dependent on public money, in survival mode. … Despite limited resources, nonprofits are facing a high demand for services, particularly in food security, healthcare, and housing. … Nearly 40% of nonprofits have reduced staff or face high turnover, and many are reducing, delaying, or canceling programs. … Donors are prioritizing urgent needs, causing gaps for organizations focused on arts, culture, or long-term environmental projects. … Organizations are enhancing digital fundraising and adopting data-driven tools to demonstrate effectiveness, which is critical for retaining cautious donors. … Some nonprofits are strengthening cross-sector partnerships to maximize impact in a constrained economic environment.” From the article “How Nonprofits Can Adapt Their Operational and Financial Strategies in Today’s Economic Environment” posted May, 2025, on The CPA Journal by David Rottkamp – U.S. certified public accountant. For more Thoughts And Observations about Non-Profits, Charities, Philanthropies, Generosity and Compassion go to https://www.linkedin.com/pulse/philanthropy-begins-charity-goes-beyond-mike-temkin/
