We have received dozens of questions about starting a nonprofit. Maybe yours is answered here.
- Are the services that I offer through my nonprofit required to be free?
Charitible organizations are not required to offer services or products free or at cost. Nonetheless... - Can a nonprofit pay its staff?
A nonprofit can pay reasonable salaries to directors, officers, employees, or... - How Do I Know if My Nonprofit Staff Is Paid Too Much?
Usually, nonprofit pay is far from excessive, but sometimes organizations do get into trouble because a staff member, usually the CEO or Executive Director, is being paid too much. - Do I have to file for tax exempt status to be a nonprofit?
Many small "charitable" organizations never seek recognition as a nonprofit from their state or the federal government... - Are All Nonprofits Tax-Exempt?
No, they are not. Tax-exempt means that a nonprofit (1) does not pay taxes to the federal government and (2) that its donors can take a.... - When do I need to apply for 501(c)(3) tax exempt status?
In order to receive a tax-exemption dating from the date of your incorporation, you need to file IRS Form 1023 within... - What Is an Unincorporated Association?
Many so-called nonprofits are simply groups of people who come together to perform some social good... - What's the Difference Between a Church and a Religious Organization?
There is some confusion about the differences in terms such as "church," "religious organizations," and "faith-based" nonprofits. Here are the facts. - Do I Have to Pay to Register for Tax-Exempt Status?
The IRS does charge a non-refundable processing fee for exemption applications... - Can we ask for donations before we get our tax-exempt status?
The "effective date" of your group’s tax-exempt status will be the day that status was originally created... - Are there any rules about how much fundraising my nonprofit has to do?
Actually, in a way, there is. That is because 501(c)(3) public charities are supposed to... - What Is Unrelated Business Activity?
What do you need to know about nonprofit "profits"? How do you distinguish between taxable business activities and those that are not taxable... - Can a Nonprofit Charge Fees for Its Services?
Many nonprofits count on fees from services they offer to clients for part of their annual incomes. There are several things to be aware of... - Can a Nonprofit Compensate Its Board Members?
Only about 2 percent of nonprofits compensate board members, and it is unusual... - Can an Organization Be Part Profit and Part Nonprofit?
The IRS has very strict regulations for 501(c)(3) organizations...one being that the bulk... - Does Our Nonprofit Board Need Liability Insurance?
Most experts think that nonprofits need "Directors and Officers (D & O) liability insurance. It can be costly, but many D & O claims are filed... - Why does the IRS take so long to approve the application for a nonprofit?
The IRS does have expedited reviews but only under very limited circumstances. Otherwise you just have to wait. It can take... - Can one make part of a for-profit business into a nonprofit?
There are potential pitfalls when combining a business and nonprofit organization, though it can be done. The primary concern... - How do you shut down a nonprofit?
It's the last thing you want to do, but sometimes it's better to close your nonprofit. Here are the steps you should take... - Can paid staff members serve on a nonprofit's board?
Generally, it is not a good idea to have a paid staff member on the board and may even be limited by your state's nonprofit law...

