When Have Volunteers Been More Valuable? The Answer is Never.
Budgets are tight. Revenues are down. The CFO says cut. But what isn’t discussed enough is the value of volunteering and investing in attracting those who are philanthropic with their time.
How much is a volunteer worth? More than most realize.
According to the Nonprofit Times, the value of a volunteer in 2023 is up to a record $33.49 per hour, up another 5.3% in comparison to last year (2022). And with the pressures on budgets and staffing, organizations that invested in this effort see an enormous return on investment. And possibly find talent that might not be affordable if self-restricting to just “paid” employees.
While their work is unpaid, the value volunteers can be quantified in ways even in addition to direct labor savings. Volunteers enhance the capacity of nonprofits. They bring a diverse range of skills and expertise, often providing specialized services that would be prohibitively expensive to outsource or hire for, such as legal advice, marketing, or IT support. This expanded capacity allows organizations to undertake larger or more complex projects, increasing their impact without a corresponding increase in operating costs.
Furthermore, volunteers often act as ambassadors for the organization, helping to raise awareness, recruit additional supporters, and generate financial donations. Their engagement can lead to a more extensive network of supporters and contributors, amplifying the nonprofit’s reach and effectiveness. This social capital, while harder to quantify, is invaluable for building long-term sustainability.
Volunteers also contribute to the economic value of a nonprofit by enhancing its credibility and trustworthiness. An organization that can mobilize and sustain a large volunteer base often appears more legitimate and committed to its cause, which can attract more donations, grants, and other forms of financial support.
While the dollar value of volunteers is hard to ignore (and should be invested in), the economic value of a volunteer in a nonprofit goes beyond just the labor cost savings. Volunteers enhance organizational capacity, expand networks, and contribute to the credibility and financial sustainability of the organization. Their contributions, though not easily quantifiable in traditional economic terms, are essential to the success and longevity of many nonprofit organizations… and possibly even more in the future.
