Why are older adults volunteering more hours than younger people?

Older adults have greater discretionary time post-retirement, established community ties, and civic commitment. Younger cohorts face competing demands like work and caregiving, and often prefer episodic or virtual volunteering roles.

What percentage of nonprofits use volunteer hour valuations in their reporting?

Many nonprofits use volunteer hour valuations for grant proposals and annual reports, but uptake varies by organization size. Volunteer management systems help nonprofits track hours and calculate impact more accurately.

Volunteer Compensation & Economic Value Report (2026)

Q: What is the value of a volunteer hour and why does it change every year?

The value of a volunteer hour represents the cost of paying people to provide services based on average hourly earnings for non-supervisory workers. It is calculated using Bureau of Labor Statistics data and increases annually due to wage inflation and labor market shifts. In 2025, the national value was $36.14/hour.

Q: Should I use the national volunteer hour value or my state's value in grant applications?

Use your state-specific rate for local funders; use the national rate ($36.14/hour in 2025) for national foundation proposals. State-specific data is available through Independent Sector.

Q: How do I screen volunteers safely and affordably?

FCRA-compliant background checks cost around $5, take 5–10 minutes per volunteer, and are essential for nonprofit risk management. Pair background checks with character references for a complete vetting process.

Explore the 2026 economic value of volunteer time, compensation trends, demographics, and what $167.2B in annual volunteer contributions mean for nonprofits.

Across America's 75.7 million formal volunteers , a quiet economic revolution continues. The value of a volunteer hour was $36.14 in 2025—a 3.9% increase from 2024 , and when multiplied across all formal volunteering, volunteers contributed over $167.2 billion in economic value between September 2022 and 2023 . This figure—nearly equivalent to the entire output of some state economies—underpins a critical question for nonprofit leaders: How do you recognize, measure, and leverage this contribution to sustain your mission? This report aggregates the latest data on volunteer compensation rates, economic value trends, demographic participation, and what these numbers mean for your organization's sustainability strategy. You'll find it as part of our volunteer impact statistics hub.

Methodology & Honesty Note: This report draws exclusively from peer-reviewed research, government data (Census Bureau, Bureau of Labor Statistics, AmeriCorps), and primary sources (Independent Sector, Do Good Institute). Every figure cites its original source and publication year. The value of a volunteer hour, published by Independent Sector and the Do Good Institute, represents a wage-replacement metric based on Bureau of Labor Statistics average hourly earnings for non-supervisory workers—not a true "compensation" in the sense that volunteers are paid. All data reflect the most recent available (through April 2026).

Key takeaways

167.2B Total volunteer economic value (annual)

$36.14 National volunteer hour value (2025)

75.7M Americans volunteering formally

28.3% U.S. formal volunteer participation rate

The $167.2 Billion Opportunity: Understanding Volunteer Economic Value

As the U.S. kicked off National Volunteer Week in April 2026, Independent Sector and the Do Good Institute announced the value of a volunteer hour is $36.14—a 3.9% increase from the previous year . This annual increase matters deeply to nonprofit leaders because it directly affects how you communicate the impact of your programs to donors, boards, and funders.

Formal volunteers served an estimated 4.99 billion hours and contributed over $167.2 billion in economic value between September 2022 and 2023 . To contextualize: this figure exceeds the total state budget of many U.S. states and demonstrates that volunteerism isn't a supplemental workforce—it's a foundational economic pillar of the nonprofit sector.

Volunteer Hour Value Growth (2016–2025) | Independent Sector & Do Good Institute

The state and national estimates are calculated using a methodology based on the annual average hourly earnings (non-seasonally adjusted) for all production and non-supervisory workers on private non-farm payrolls, using data from the Current Employment Statistics (CES) database from the Bureau of Labor Statistics .

Volunteer Participation: Rebound & Demographic Patterns

75.7 million Americans formally volunteered through an organization in the year ending September 2023, representing 28.3% of the population aged 16 and older—a 22% relative increase and the largest two-year jump on record . This surge reflects a powerful post-pandemic rebound, though it masks critical demographic variations that nonprofit leaders must understand.

35–44 years 32%

45–54 years 28%

65+ years 26%

55–64 years 24%

20–24 years 18.4%

Formal Volunteer Participation by Age Group (2023) | Census Bureau & AmeriCorps

The share of total volunteer hours accounted for by the 65-plus population grew from 18.5 percent in 2002 to 28.6 percent in 2021 , underscoring that older volunteers carry outsized impact. Meanwhile, average hours served per volunteer dropped from 96.5 hours in 2017 to 70 hours in 2023, and half of formal volunteers served 40 hours in 2017 compared to 24 hours in the latest data —a trend toward episodic volunteering that reshapes how nonprofits must organize their volunteer pipelines.

Gender & Participation: Women Leading the Charge

Women formally volunteer at higher rates than men , with women tending to volunteer more than men overall; on an average day in 2022, 5.1 percent of women volunteered compared with 3.2 percent of men, and among those 65 years and older, 7.8 percent of women and 6.4 percent of men volunteered .

54.2%

28.3%

18%

Volunteer Engagement Types (2023–2025) | SignUpGenius & AmeriCorps Data

Compensation Beyond the Wage: Skills-Based Volunteering & Pro Bono Value

While the national average stands at $36.14 per hour in 2025 , specialized volunteer work commands far higher compensation equivalents. The average hourly value of pro bono service in 2024 was $220 per hour across various professions, an 18% increase from 2019 . This gap reveals a critical strategic insight: organizations that recruit and deploy skilled volunteers (legal, IT, marketing, HR) unlock exponentially greater impact per hour contributed.

The same number of hours devoted to skills-based volunteerism can generate over 500% the value of traditional volunteerism , where volunteers serve as "an extra pair of hands." For nonprofit leaders, this underscores the importance of targeted recruitment in your volunteer program design.

Corporate Volunteering: A Rising Tide

Corporate volunteerism expanded, with 77% of companies reporting increased employee participation in 2025. 80% of employers report offering grants worth $8 to $15 per hour a team member volunteers , adding a financial compensation layer on top of the wage-replacement value.

Companies with paid volunteer time off programs offer an average of 20 VTO hours per team member annually (equalling about 2.5 days each year) , and 40% of Fortune 500 companies, and 85% of top matching gift companies, offer volunteer grants as a way to engage their staff and support their volunteer efforts . These institutional structures represent a tangible form of volunteer "compensation" that nonprofits can leverage in recruitment and partnership pitches.

Corporate Benefit Type	% of Companies Offering	Avg. Value Per Employee
Volunteer Matching Grants	85%	$8–$15/hr
Paid Volunteer Time Off (VTO)	Major employers	20 hrs/yr
Skills-Based Volunteering Programs	Growing	$220/hr equivalent

Corporate Volunteer Compensation & Support Structures (2024–2025) | DoubleTheDonation; Taproot Foundation

State Variation: Why Location Matters for Volunteer Value

The value of volunteer time varies by state, based on differences in local wages and economic conditions . State-specific rates range from $17.32/hour (Puerto Rico) to $52.06/hour (District of Columbia) , a threefold difference that affects how nonprofits in high-wage coastal states can quantify volunteer impact versus rural or lower-income regions.

District of Columbia $52.06

Massachusetts $44.25

New York $42.80

National Average $36.14

Florida $34.88

Selected State-Level Volunteer Hour Values (2025) | Independent Sector; Do Good Institute

For grant writers and fundraisers, this means using your state-specific rate—not the national average—when calculating volunteer impact for local funders. Organizations in high-wage states can amplify the perceived value of their programs; those in lower-wage regions must pair volunteer hour calculations with qualitative outcomes to tell a complete story.

Virtual & Hybrid Volunteering: The New Normal

For the first time, the survey is tracking virtual volunteering, which gained popularity during the pandemic . 18% of formal volunteers are now serving online, which represents a major transition toward digital and virtual volunteering , and virtual and hybrid volunteering stabilized at 57%, particularly among younger adults .

This shift has profound implications for volunteer recruitment and retention. While corporate volunteering surged and younger generations embraced flexible, skills-based roles, rural communities and lower-income regions continued to experience structural barriers . Virtual opportunities can partially bridge the geographic and mobility gaps, but they also create new challenges around engagement, accountability, and relationship-building that impact the total economic value delivered.

Nonprofit Dependency on Volunteers: A Critical Risk & Opportunity

According to 2025 research from Urban Institute, three in four (75%) nonprofit organizations say that volunteers are important to their operations, with nearly a quarter (23%) entirely dependent on volunteers . This statistic reveals a two-tier risk structure: large organizations can weather volunteer fluctuations, but smaller nonprofits—especially in rural and underserved communities—remain highly vulnerable to shifts in volunteer supply.

The rebound is encouraging, but volunteer facts tell a more complex story—participation rates haven't fully returned to pre-2019 levels, creating both an opportunity and a challenge for volunteer managers . The opportunity lies in converting interest into sustained formal engagement; the challenge is competing with informal helping, corporate programs, and the time-scarcity of younger demographics.

For leaders at organizations reliant on volunteers, this underscores the importance of streamlined volunteer management systems, identity verification and screening, and clear role design. Formal programs that can simplify their processes, reduce barriers to entry, and offer immediate impact are better positioned to compete for attention—convenience and flexibility are expectations that shape whether someone chooses to volunteer through an organization or simply help a neighbor instead .

Mileage Reimbursement & Direct Volunteer Compensation

Beyond the wage-replacement valuation, nonprofits can directly reimburse volunteer expenses. Under current IRS regulations, nonprofits can reimburse charitable mileage at the rate of 14 cents per mile , while employees and staff are reimbursed at the IRS business mileage rate, which is 72.5 cents per mile in 2026 for work-related travel . These reimbursements, though modest, signal organizational respect and can improve volunteer retention.

14¢

72.5¢

IRS Reimbursement Rates (2026) | IRS Guidelines; Timeero

It's important to note: The IRS does not assign a monetary value to volunteer hours for tax deduction purposes—unlike cash donations or in-kind contributions, the IRS does not allow individuals to deduct the value of their time as a charitable contribution on their personal tax returns . Volunteer hour valuation is strictly for organizational reporting, impact measurement, and fundraising communication—never for individual tax benefits.

What this means for your volunteer program

The $167.2 billion annual economic value generated by American volunteers represents both an unprecedented opportunity and a clarion call for better stewardship. For nonprofit leaders, here's what the 2026 data demands:

Quantify Impact for Funders. Use the national rate ($36.14/hour in 2025) or your state-specific rate when calculating volunteer contribution value for grant applications, annual reports, and board presentations. One thousand volunteer hours equals $36,140 in economic value—a powerful fundraising message.
Recruit Strategically Across Demographics. Middle-aged volunteers (35–54) remain your highest-participation cohort, but older adults (65+) now deliver 28.6% of all volunteer hours. Gen X and Baby Boomers are reliable anchors; Gen Z and younger millennials require flexibility, remote options, and clear social mission alignment. Consider skills-based recruitment in corporate partnerships, where a 10-hour legal consultation can be valued at $2,200.
Embrace the Hybrid Shift. Shorter commitments, hybrid opportunities, and task-based roles became the norm—organizations that embraced clarity, flexibility, and streamlined coordination saw stronger participation and less volunteer fatigue . Your volunteer management system must support both in-person and virtual roles with equal rigor.
Invest in Screening & Compliance. 75% of nonprofits say volunteers are important, with 23% entirely dependent on them . That dependence demands accountability. FCRA-compliant background checks, identity verification, and character references are no longer optional—they're essential risk management and community safety infrastructure. VolunteerBadge's $5 FCRA background checks with identity verification can be completed in 5–10 minutes per volunteer, no monthly fees, putting screening within reach of even the smallest organizations.
Measure What You Treasure. Beyond hours and economic value, track outcomes: How many clients served? How many programs expanded? Understand your volunteer demographics to tailor recruitment and retention. The social value of volunteerism can be measured in terms of avoided cost and increased capacity—volunteers help nonprofits save money by providing services for free that the nonprofits would otherwise have to pay for .

For those ready to scale volunteer engagement with confidence, start with VolunteerBadge's $5 FCRA background checks and identity verification—the fastest, most affordable way to screen volunteers while building trust in your community.

Download the data

⬇ Download the data (.xlsx)

Frequently asked questions

Q: What is the "value of a volunteer hour" and why does it change every year?
A: The estimated value of volunteer time represents the cost of paying people to provide services, and is most relevant when discussing the labor force as a whole for a given state or country . It's calculated using methodology based on the annual average hourly earnings for all production and non-supervisory workers on private non-farm payrolls, using data from the Bureau of Labor Statistics . The figure increases annually because wage inflation compounds over time, and the national labor market shifts.

Q: Can I deduct the value of my volunteer hours on my taxes?
A: No. The IRS does not assign a monetary value to volunteer hours for tax deduction purposes—there is no IRS value of volunteer hours . You can deduct out-of-pocket expenses (supplies, mileage at the charitable rate) and cash donations, but not your time.

Q: Why are older adults (65+) volunteering more hours than younger people?
A: Volunteerism among older adults has been comparatively resilient, and the share of total volunteer hours accounted for by the 65-plus population grew from 18.5 percent in 2002 to 28.6 percent in 2021 . Factors include greater discretionary time post-retirement, civic commitment, and established community ties. Younger cohorts face competing demands (work, caregiving) and may prefer episodic or virtual roles.

Q: Should I use the national volunteer hour value or my state's value in grant applications?
A: Use your state-specific rate if you have local funders or operate primarily in one state; use the national rate ($36.14/hour in 2025) for national foundation proposals. State-specific data is available through Independent Sector, and using these localized figures is recommended for enterprises with significant regional footprints .

Q: How do I screen volunteers safely and affordably?
A: Effective background checks take 5–10 minutes per volunteer, cost $5, and use federal FCRA compliance standards . VolunteerBadge provides exactly this: fast, affordable FCRA background screening with identity verification, no monthly fees. Pair this with character reference checks for a complete volunteer vetting process.

Q: What percentage of nonprofits actually use volunteer hour valuations in their reporting?
A: Charitable organizations most frequently use the value of volunteer time to recognize the amount of community support an organization receives from its volunteers; corporations also use the figure to calculate the value of staff volunteer efforts in communities around the country . However, uptake varies widely. Many small nonprofits lack the systems to track hours precisely, which is where volunteer management software integration becomes valuable.