Teen Philanthropy Cafe: Snackable Bites on Giving, For Teens: The Nonprofit Universe

Publication Date: December 14, 2014

Understand the world of nonprofits, and where foundations and other forms of giving fit in. A nonprofit is an organization that exists to benefit the public and isn’t in the business of making money. Any profits it earns aren’t distributed to shareholders, like a for-profit business does; rather, any profits are used to further the organization’s mission or charitable purpose. Nonprofits come in all shapes and sizes. Some are small, community-based organizations run by volunteers, and others are large, complex, professionally run businesses. Internationally, nonprofits are often referred to as NGOs (nongovernmental organizations). To become a nonprofit, an organization must apply to the Internal Revenue Service (IRS) of the U.S. federal government, which is the agency to which everyone pays taxes. Once the organization receives nonprofit status from the IRS (a letter that confirms the government agrees it is a nonprofit), it is exempt from paying income taxes (meaning, it doesn’t have to do it). The IRS calls these types of organizations 501(c)(3)s — signifying their special “tax exempt” status.

Copyright 2014 by Exponent Philanthropy. All rights reserved.

Congratulations! You’ve successfully downloaded the resource.

We hope you find it valuable and that it contributes to your efforts in fostering positive change. If you have any questions or need further assistance, please feel free to reach out to us at .

While you’re here, we invite you to explore more about our upcoming events, courses, and services to see how you can further engage with the Youth Giving movement.