New Jersey
Overall Free to Give Index 3.03/10
Rank 49th
Category Score (0–10) Rank (50 states)
Overall Free to Give Index 3.03 49th
Broad Policy Environment 2.46 50th
Nonprofit Freedom 3.89 41st
Donor Confidence 2.75 42nd

Highlights

  • Weak overall policy environment: New Jersey ranks 50th in the Broad Policy Environment, reflecting its heavy occupational licensing burden, poor tax structure, and limited economic freedom.
  • Heavy registration and fee burdens: The state ranks 41st in Nonprofit Freedom, as charities must register, renew annually, undergo audits, and pay substantial registration, renewal, and contractor-related fees that significantly raise compliance costs.
  • Minimal donor confidence: New Jersey ranks 42nd in this category, providing no donor standing, no donor privacy protections, no charitable deduction, and very weak UPMIFA protections.

Detailed Scorecard

1. Broad Policy Environment

1A. Occupational Freedom (rescaled 0 to 10) 1.50
1B. Tax Competitiveness (rescaled 0 to 10) 0.17
1C. EFNA (0 to 10) 5.70

2. Nonprofit Freedom

2A. Charitable Startup Regulations

Requires charitable registration? Yes
Top Registration Fee $30.00
Minimum Registration Fee $30.00
Top Incorporation Fee $75.00
Minimum Incorporation Fee $75.00

2B. Charitable Reporting Regulations

Requires Annual Report? Yes
Top Annual Fee $250.00
Minimum Annual Fee $30.00
Requires Additional Corporate Filings Yes
Other Fees $0.00
Tiered Fee Structure Yes
Overlapping Regulators No

2C. Paid Solicitor Requirements

Commercial Fundraisers Must Register with the State Yes
Paid Solicitor Registration Fee $250.00
Paid Solicitor Renewal Fee $250.00
Surety Bond for Professional Fundraisers $20,000.00
Must Paid Solicitors Required to Report to the State in Order to Start Fundraising? Yes
Fundraising Consultant Registration Required Yes
Annual Financial Reporting by Commercial Fundraisers Required Yes
Must File Contracts Between Charities and Commercial Fundraisers Yes ($15 per solicitor registration)
Individual solicitors employed by professional fundraisers must register separately? Yes

2D. General Audit threshold (revenue)

General Audit threshold (revenue) $1,000,000.00

3. Donor Confidence

3A. State has Never Introduced Disclosure No
3B. State has Privacy Law No
3C. State gives Donors Standing No
3D. State has UPMIFA Protections Yes (very weak)
3E. Donations are Generally Deductible No
3F. General Sales Tax Exemption Yes
3G. State has Never Proposed DAF Restrictions Yes
3H. New Regulations Require Legislative Approval No