User talk:Mueller.sarah2/sandbox

Nonprofit Organizations

A non-profit organization (NPO), also known as a non-business entity, is dedicated to furthering a particular social cause or advocating for a shared point of view. In economic terms, it is an organization that uses its surplus revenues to further achieve its ultimate objective, rather than distributing its income to the organization's shareholders, leaders, or members. Non-profits are tax exempt or charitable, meaning they do not pay income tax on the money that they receive for their organization. They can operate in religious, scientific, research, or educational settings.

The key aspects of nonprofits is accountability, trustworthiness, honesty, and openness to every person who has invested their time, money, and faith into the organization. Nonprofit organizations are accountable to the donors, funders, volunteers, program recipients, and the public community. Public confidence is a factor in the amount of money that a nonprofit organization is able to raise. The more nonprofits focus on their mission, the more public confidence they will have, and has a result, more money for the organization. The public confidence has decreased since the horrific events on 09/11/2001, but in recent surveys, it has been found that the confidence is seeing slight rises. The more confidence the nonprofit has, the more funders, supporters, and the more volunteers it will have. The activities a nonprofit is partaking in can help build the public’s confidence in nonprofits, as well as how ethical the standards and practices are.

Examples of Nonprofit Organizations

• American Red Cross
• St. Jude Children’s Research Hospital
• Make-A-Wish Foundation
• Ronald McDonald House Charities
• United Way of America
• Humane Society of the United States
• Habitat for Humanity
• American Cancer Society
• Doctor's Without Borders

Statistics about Non-Profits in the United States

According to the National Center for Charitable Statistics (NCCS), there are more than 1.5 million non-profit organizations registered in the United States, including public charities, private foundations, and other non-profit organizations. Contributions to different charities reached $358.38 billion in 2014, which was an increase of 7.1% from the 2013 estimates. Out of these contributions, Religious organizations received 32%, educational institutions received 15%, and human service organizations received 12%. Between September 2010 and September 2014, approximately 25.3% of Americans over the age of 16 volunteered for a non-profit

How Nonprofits Raise Money

Non-profits are not driven by generating profit, but they must produce enough income to pursue their social duties. Non-profits are able to raise money in four different ways. This includes income from donations from private donors or organizations, government funding, income from their sales or services, and income from investments. Each NPO is unique in which source of income works best for them. With an increase in NPO’s within the last decade, organizations have adopted competitive advantages to create revenue for themselves to remain financially stable. Donations from private individuals or organizations can change each year and government grants have diminished. With changes in funding from year to year, NPO’s become efficient in one of the four ways to gain revenue. Trying to use multiple forms of creating revenue can increase an NPO’s costs and they can lose money.

Challenges

NPO's challenges primarily stem from lack of funding. Funding can either come from within the organization, fundraising, donations, or from the federal government. When cutbacks are made from the federal government, the organization suffers from devolution. This term describes when there is a shift of responsibility from a central government to a local, subnational authority. The shift is due to the loss of funds; therefore, resulting in changes of responsibilities in running programs. Because of this frequent challenge, management must be innovative and effective in the pursuit of success.

Nonprofit VS. Not-for-Profit

Nonprofit and non-for-profit are terms that are used similarly, but do not mean the same thing. Both are organizations that do not make a profit, but may receive an income to sustain their missions. The income that nonprofit and not-for-profit organizations generate is used differently. Nonprofit organizations return their income back to the organization if they generate extra income. Not-for-profits use their excess money to pay their members who do work for them. Another difference between nonprofit organizations and not-for-profit organizations is their membership. Nonprofits have volunteers or employees who do not receive any money from the organizations fundraising efforts. They may earn a salary for their work that is independent from the money the organization has fundraised. Not-for-profit members have the opportunity to benefit from the organizations fundraising efforts. Both nonprofits and not-for-profits are tax exempt under the IRS publication 557. Although they are both tax exempt, each organization faces different tax code requirements. A nonprofit is tax exempt under 501(c)(3) requirements if it is either a religious, charitable, or educational based organization. Not-for-profits are tax exempt under 501(c)(7) requirements if they are an organization for pleasure, recreation or another non-profit purpose.

Non-profits are either member-serving or community-serving. Member-serving nonprofit organizations create a benefit for the member's of their organization and can include but are not limited to credit unions, sports clubs, and advocacy groups. Community-serving nonprofit organizations focus on providing services to the community either globally or locally. Community-serving nonprofits include organizations that deliver aid and development programs, medical research, education, and health services. It is possible for a nonprofit to be both member-serving and community-serving.

Formation and Structure

In the United States, nonprofit organizations are formed filing manuals and articles of incorporation or both in the state in which they expect to operate. The act of incorporation enables the organization to be treated as a corporation and to enter into business dealings, form contracts, and own property as individuals or organizations.

Nonprofits can have members, but many do not. The organization may be controlled by its members who elect the board of directors, board of governors or board of trustees. A nonprofit may have a delegate structure to allow for the representation of the group's members. Alternatively, it may be a non-membership organization and the board of directors may elect its own people.

The two major types of nonprofit organization are membership and board-only. A membership organization elects the board and has regular meetings and the power to amend the manuals. A board-only organization typically has a self-selected board and member but their powers are whose powers are limited. A board-only organization's manuals may even state that the organization does not have any membership, but may refer to its donors as members, Accordingly, many organizations, such as the Wikimedia Foundation, have formed board-only structures. The National Association of Parliamentarians has generated concerns about the implications of this trend for the future of openness, accountability, and understanding of public concerns in nonprofit organizations. Few safeguards are available because members cannot vote on important decisions. A contradiction to this might be that as nonprofit organizations grow and seek larger donations, the degree of scrutiny increases, including expectations of audited financial statements. Adding on NPOS aree constrained, by their choice of legal structure, from financial benefit for members or directors.

How Non-Profits are Ran

A common assumption of non-profits is that they are run completely by volunteers. This is not the case. Most non-profits have staff that work for the company, with many then bringing in volunteers to do the work led by the staff. The money to pay staff comes from the state law that allows nonprofits to pay reasonable salaries to their employees. NPO’s must be careful that their staff are not making too much money. If that is the case, the IRS has the right to penalize the non-profit. — 

The extent to which a nonprofit organization is considered business-like, for example in how they manage their resources and accomplish their missions, is something nonprofits have to balance. Although the goal of non-profits isn’t to make a profit, they still have to operate as a business. Nonprofits have the responsibility of focusing on being professional, financially responsible, replace self-interest and profit motive with mission motive, and have the ability to speak both languages of the nonprofit, which is the business language and the nonprofit language. The business language provides the ability to work with money, such as applying for grants, which is crucial for non profits. While the nonprofit language provides the ability to speak to the community. Non profits needs to balance these both out to have a successful organization.

Changes/Ideas for article:

 Definition of a non-profit organization- more descriptive
 Examples of non-profit orgs
 Connect NPO abbreviation to non-profit orgs
 Consolidate Variations section- some things not needed

Hamptal (talk) 00:40, 13 October 2017 (UTC)

@Mueller.sarah2: just confirming this is the sandbox the nonprofit group is using. JButlerModaff (talk) 22:38, 16 October 2017 (UTC)

Yes Mueller.sarah2 (talk) 18:43, 19 October 2017 (UTC)

Friesenhahn, E. (2016). Nonprofits in America: New research data on employment, wages, and establishments. Monthly Labor Review. Retrieved from http://www.jstor.org/stable/monthlylaborrev.2016.02.009Mueller.sarah2 (talk) 18:43, 19 October 2017 (UTC)

Sacristán López de los Mozos, I., Rodríguez Duarte, A., & Rodríguez Ruiz, Ó. (2016). Resource Dependence In Non-profit Organizations: Is It Harder To Fundraise If You Diversify Your Revenue Structure?. Voluntas: International Journal Of Voluntary & Nonprofit Organizations, 27(6), 2641-2665.

Uzonwanne, F. (2015). Leadership styles and decision-making models among corporate leaders in non-profit organizations in North America. Journal Of Public Affairs (14723891), 15(3), 287-299. doi:10.1002/pa.1530 Hamptal (talk) 18:40, 20 October 2017 (UTC)

Burgess, M. (2017, October 26) What is the difference between non-profit & not for profit?. Retrieved from https://bizfluent.com/info-7991949-difference-between-nonprofit-not-profit.html

von Schnurbein, G., & Fritz, T. M. (2017). Benefits and Drivers of Nonprofit Revenue Concentration. Nonprofit & Voluntary Sector Quarterly, 46(5), 922-943 Hamptal (talk) 02:34, 14 November 2017 (UTC)

New Headings

• Add "how nonprofits generate income"
• Nonprofit VS. Not-for-Profit instead of terminology and variations
• Make "tax exemption" a new section. not under "formation and structure

Hamptal (talk) 03:10, 13 November 2017 (UTC)

Maybe put this term, non-distribution constraint, under tax exemption or make a new section labeled economics. — Preceding unsigned comment added by Oliviatasch (talk • contribs) 16:49, 13 November 2017 (UTC)

Peer Review I really liked the definition of Nonprofit organizations, thought it was detailed and specific. One thing i would look at is the the bolding of certain paragraphs to the others..didn't know if that was on purpose or not. Also the citations at the end of certain paragraphs shows the whole citation instead of just a reference to the bottom of the page. The paragraph on nonprofit vs not-for-profit is a little confusing when talking about returning of the income back into the business. Is it saying that nonprofits always, 100% of the time return the income back to the business? It says 'left over' but what exactly is the left over income, it seems like an ambiguous term. Elliott Ray (talk) 05:04, 17 November 2017 (UTC)Elliott

Tallie's Peer Edit

Lead section of NonProfit Organizations ~The cites should be added after each fact. Is there actually material saying that public confidence has decreased for nonprofit orgs? ~"The more confidence the nonprofit has, the more funders, supporters, and the more volunteers it will have"- maybe explain what confidence in an org actually is. The amount of money they receive, community support ect. ~Add cites in after each claim. (use the cite button on wiki) Statistics about nonprofit in the United States "Contributions to different charities by reached $358.38 billion in 2014, which was an increase of 7.1% from the 2013 estimates." -Erase the word by ~3rd sentence should religious be capitalized? ~At the end of the paragraph add punctuation. ~Add cites after each claim (use the cite button on wiki) How nonprofits can raise money ~Donations from private individuals or organizations can change each year, while government grants have also diminished. -Take out the word also ~add cites The biggest thing all around was putting the cites in Talliejean (talk) 18:27, 18 November 2017 (UTC)

Drew's Peer edit

NonProfit Orgs: Are those the only resected sections that are dfeined as nonprofit or are there others? I feel like they don't have to fall in one of those four but I could be wrong. Why did confidence in nonprofits lower after 9/11. Further detail may be needed to show non-bias on statement

How they raise money: I know its obvious but clearly state at somepoint that NPO stands for non-profit organization.

Careful on saying "this happens because of these specific things". Example: "member's of their organization and can include credit unions, sports clubs, and advocacy groups", this makes it seem like it is limited to this rather than just saying these ae possible members

How they are run: What is the definition of to much money in regards to saleraies for NPO members Waterstr.drew (talk) 02:37, 19 November 2017 (UTC)

Molly's Peer Review: My recommendation for your article would be to use simpler language. Some of the wording in the sentences make it hard to understand the point you're trying to get across. For example: 1. "NPO's challenges primarily stem from funding or lack thereof" could just be written as "NPO's challenges primarily stem from lack of funding." 2. Another sentence I found that could be changed is, "Donations from private individuals or organizations can change each year, while government grants have also diminished." The end of that sentence could just say, "and government grants have diminished." 3. One more example is: "The shift is due to the loss of funds; therefore, resulting in changes of responsibilities in running programs." This could just be written as: "the shift is due to the loss of funds, resulting in changes of responsibilities in running programs." Taking out the extra filler words makes your message more clear and confident. I like that your turned the examples of non-profits into links, but you should add brief descriptions about those organizations for people who choose not to click on each link. Overall you have a great start, I like that you drafted it to look like a wiki article. Way to go! :) Ringbmol000 (talk) 17:44, 20 November 2017 (UTC)

Casey's Peer Review

There are a few points throughout the passage that are not fully neutral. For example "Nonprofit organizations need to be accountable, trustworthy, honest, and open to every person who has invested their time, money, and faith into the organization." In this sentence the use of the word "need" seems bias. Saying something like "The key aspects of a a nonprofit organization" or "Aspects of a nonprofit organizations" may sound more neutral. Even saying " the horrific events on 09/11/2001..." is not neutral, it should just be "the events".

I also agree with the others, some of the verbiage is not plain enough and the terms are not reiterated enough to make it a smooth read.You guys have done plenty of research, and it shows by the content you were able to convey, but remember that others read it with little or no knowledge on the subject. Write it as if you're explaining it to someone with no prior knowledge, putting in links to other wikis can help because you are able to give a brief explanation, while still having fully fleshed content to back it up.