The Real Value of Volunteers

April 9th, 2009 - Posted by OneStar Foundation

What is a more valuable contribution to a nonprofit: a dollar or an hour?

When asking for donations, it’s common to ask people to give what they can, be it money, time or supplies. A gift in any amount may be appreciated, because not everyone can give a lot. But is your organization giving the gift of time the value it deserves?

Volunteers are more than just unpaid employees, just as nonprofits are more than just companies that do not make a profit. And if volunteers’ professional skills are being put to use, your organization may be getting quite an economic bargain. Tools, such as the Points of Light “Economic Impact of Volunteers Calculator”  or the Independent Sector “Value of Volunteer Time” chart, can help you form a rough estimation of a pro bono volunteer’s time.

Here are some examples currently on the Points of Light Web site:

  • Accountants/actuaries

o    Hourly rate = $27.48
o    Hourly benefit = $11.22
o    Total amount, 1 hour of volunteering = $38.70

  • Computer programmers

o    Hourly rate = $31.96
o    Hourly benefit = $13.05
o    Total amount, 1 hour of volunteering = $45.01

  • Marketing managers

o    Hourly rate = $48.09
o    Hourly benefit = $19.64
o    Total amount, 1 hour of volunteering = $67.73

Disclaimer:  Consult your accounting personnel regarding whether or not these contributions should be reported on your financials statements and if so, at what value.

Obviously, your organization may need help with some tasks that don’t require professional experience. But it’s worth it to ask if you can utilize a volunteer’s knowledge as well as their enthusiasm.

Now, don’t get us wrong—both time and money are valuable donations. It’s not an either-or situation. We want organizations to know not only how many volunteer hours are donated, but also what those hours are worth. With the help of a calculator like the Points of Light one, both kinds of donations can be tallied at the end of the month.

Finally – before asking people to volunteer instead of opening up their wallets, ask yourself how you are going to utilize them as volunteers. The ideal volunteer experience is a positive, engaging one that leverages skills and interests while encouraging ongoing volunteering. Ultimately, it should be as memorable for them as it is helpful for your organization.

So, how can you get ready for volunteers? Watch our blog for a post on this in the near future.

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