Eli5: How do non-profits make money & pay their employees?

Question

Eli5: How do non-profits make money & pay their employees? Recently saw a video on YouTube where this random dude working for a non-profit for homeless, earns upwards of $200k every year. Where’s the money flowing from? Besides donations of course.

In: 0

Answer 1

Non profits can still sell goods and services to make money. But if they don’t, then basically donations. People can make bank if run a successful non profit, like churches, since theres really no limit on employee pay or employee expenses. Wanna go on a free vacation overseas? Just write it off as a missionary trip.