Charitable complications
That government money has since run out. According to the National Council of Nonprofits, most charities have less than six months in savings, and even those with stronger budgets are running out of funds. Meanwhile, the needs they meet will likely increase, especially as enhanced unemployment benefits expire in January and Congress remains deadlocked over another relief bill.
Rick Cohen, chief communications officer for the National Council of Nonprofits, said it will take roughly three years to learn how many nonprofits the pandemic shuttered. Groups that don’t file tax forms for three years lose tax-exempt status, providing some measure of closures. But Cohen pointed to early indicators: A survey in Kentucky showed 4 percent of responding nonprofits had already closed, with another 5 percent expecting to do so before the year’s end.