Economic Impact Michigan's Nonprofit Sector

Executive Summary

Michigan’s nonprofit sector generates significant economic benefits for state residents. It is both geographically diverse, with organizations in every county of the state, and operationally diverse (click here to see maps of these regions). Michigan’s nonprofits can be found in every subsector of the service economy, including a strong presence in health care, human services, education, and the arts.

With multiple sectors of our economy struggling, nonprofit organizations are more important than ever, not only through the support they provide in their various social and political efforts, but also in their significant contribution to the overall economy.

This report documents that Michigan’s nonprofit organizations:

• Number over 48,000—an increase of over 2 percent since 2006 (47,000), 18 percent since 2001 (41,000), and 28 percent since 1997—with over 10,000 new organizations since 1997
• Employ directly nearly 435,000 people in 2011 (a decrease of less than 1.1 percent from 440,000 in 2010, but still an increase of nearly 1.5 percent from 429,000 in 2006), or 11 percent of the Michigan workforce
• Pay their employees nearly $4.8 billion per quarter
• Generate an additional 239,711 jobs in indirect effects as a result of spending by the organizations, not including the induced employment effects.
• Hold assets of nearly $227 billion, a significant increase since 2008 ($179 billion) and 2003 ($105 billion).
• Receive more than $217 billion in annual revenue, an increase of 63 percent since 2008.
• Generate $137 billion each year in overall economic activity, through direct expenditures of nearly $66 billion, which creates indirect economic effects of over $30 billion and induced economic effects of an additional $41 billion.

Michigan’s nonprofit sector has continued to grow in a time of economic turmoil. It has provided not only relatively stable employment opportunities in a state with a high unemployment rate, but it is also an important contributor to Michigan’s overall economy. Nonprofit organizations in Michigan generate around $137 billion each year in overall economic activity and provide employment to 11 percent of Michigan’s population (more than 1 of every 10 workers).

Download the full report (PDF, 830kb)

View or Download Detailed Regional Tables

Sponsors

The Council of Michigan Foundations (CMF) is a 501(c)(3) nonprofit membership association of nearly 400 grantmaking organizations working together to strengthen, promote and increase philanthropy in Michigan.
www.michiganfoundations.org
(616) 842-7080

Michigan Nonprofit Association (MNA) increases the capacity of Michigan’s nonprofits to serve, strengthen and transform communities. MNA is affiliated with Michigan Campus Compact, Highway T, and Volunteer Centers of Michigan.
www.mnaonline.org
(517) 492-2400

The Johnson Center at Grand Valley State
University improves communities by the application of knowledge, which unleashes the power of nonprofits, foundations, and individuals.
www.gvsu.edu/jcp
(616) 331-7585