92% of Nonprofits Now Use AI: What the Latest Research Reveals About Adoption in 2026
A landmark 2026 study confirms that AI use has become nearly universal in the nonprofit sector, yet a striking gap remains between adoption and impact. Understanding this gap, and why most organizations plateau before achieving real organizational transformation, is the defining challenge for nonprofit leaders this year.

A few years ago, the central question in nonprofit technology circles was whether organizations would adopt artificial intelligence at all. In 2026, that question has been definitively answered. According to the 2026 Nonprofit AI Adoption Report from Virtuous and Fundraising.AI, which surveyed 346 nonprofits, 92% of nonprofits now use AI in some capacity. Comparable research from TechSoup and Tapp Network found 82% adoption in a larger sample of 1,300 organizations. The variation reflects different definitions of "AI use," but the trend is consistent: AI has moved from novelty to near-ubiquity in the sector.
The more important finding, and the one that should shape organizational strategy, is what comes after adoption. The same Virtuous report found that only 7% of nonprofits report major improvements in organizational capability from AI. The vast majority report small to moderate efficiency gains, and a significant portion of organizations are essentially doing the same work slightly faster rather than operating at meaningfully greater capacity. The researchers described this plainly: organizations are "writing emails faster and summarizing board notes in seconds, but overall organizational capacity hasn't budged."
This article examines what the 2026 research actually shows, what distinguishes the 7% who are achieving transformational results from the organizations stuck in an efficiency plateau, and what practical steps nonprofit leaders can take to move their organizations up the adoption curve. For context on building the internal capacity to make this shift, see our guides on building AI champions in your organization and getting started with AI as a nonprofit leader.
What the Research Actually Shows
Multiple studies from 2025 and 2026 now provide a comprehensive picture of nonprofit AI adoption. Reading these reports together reveals a sector that has embraced AI at the surface while struggling to integrate it at depth. Each data point tells part of the story.
Adoption: The Good News
- 92% of nonprofits use AI in some capacity (Virtuous/Fundraising.AI, 2026, n=346)
- 82% use AI in some form (TechSoup/Tapp Network, 2025, n=1,300+)
- 77% of purpose-led organizations report noticeable improvements from AI (3 Sided Cube, 2025)
- 30% report AI boosted fundraising revenue in the past 12 months (Nonprofit Tech for Good, 2026)
Impact: The Harder Truth
- Only 7% report major improvements in organizational capability (Virtuous, 2026)
- 81% use AI only individually and on an ad hoc basis with no shared workflows
- Only 4% have documented, repeatable AI workflows across the organization
- Only 7% say AI is embedded into goals, budgets, and performance indicators
The pattern that emerges is one of surface adoption without structural integration. The 92% figure represents organizations where at least some staff members use AI tools, but in four out of five of those organizations, this use is entirely individual and ad hoc. Staff find their own tools, use them for their own tasks, and the organizational benefit is essentially limited to the sum of individual efficiency gains.
This is not a failure of enthusiasm or effort. It reflects something more structural: the difference between using AI as a personal productivity tool and using it as an organizational capability requires deliberate investment in workflows, governance, and shared knowledge that most nonprofits have not yet made. Understanding why that investment matters, and what it produces, is the central insight the 2026 data offers.
What Nonprofits Are Actually Using AI For in 2026
The TechSoup/Tapp Network 2025 Benchmark Report, which surveyed more than 1,300 nonprofits, provides the most granular picture of how AI is being applied in practice. Content creation and marketing leads the way, with 33% of nonprofits using AI for content-related tasks. Grant writing assistance comes second at just under 25%, followed by predictive analytics at about 13%.
The Center for Effective Philanthropy's 2025 research adds another dimension: 35% of surveyed organizations use AI primarily for internal productivity (finance, HR, operations), 31% for marketing and communications, and 24% for development and fundraising. Notably, the majority of AI use falls into supporting functions rather than mission-critical applications. Nonprofits are automating back-office tasks and speeding up content production, but the deployment of AI in direct service delivery, program design, and outcome measurement remains relatively rare.
This pattern is both understandable and limiting. Starting with lower-stakes, back-office applications is a reasonable risk management strategy. But it also means that AI's potential to genuinely expand organizational capacity, to serve more clients, design better programs, and demonstrate greater impact, remains largely untapped at most nonprofits. The 7% who report transformational results are typically the organizations that have moved beyond administrative AI and begun deploying it in mission-relevant ways.
Where Nonprofits Are Using AI (2026)
Based on TechSoup/Tapp Network 2025 Benchmark Report (n=1,300+) and Center for Effective Philanthropy 2025
The Strategy Gap: Adoption Without Direction
One of the most consistent findings across multiple 2025-2026 research reports is the dramatic gap between AI adoption rates and strategic planning. According to the TechSoup/Tapp Network 2025 Benchmark Report, 76% of nonprofits lack a formal AI strategy. The same research found that while over 85% are exploring AI tools, only 24% have a documented strategy for how AI fits into their organizational goals. The Virtuous 2026 report adds another dimension: 47% of nonprofits have no AI governance policy at all.
This is not simply a planning failure. It reflects the typical pattern of technology adoption in nonprofits: individual staff find useful tools, begin using them, and word spreads. The organization gradually accumulates AI use without ever making a deliberate decision about how AI should be used, by whom, for what purposes, and with what safeguards. The result is the ad hoc, individual-use pattern that characterizes 81% of current nonprofit AI adoption.
The absence of strategy has several concrete consequences. Without shared workflows, AI knowledge stays siloed with individual users and doesn't compound into organizational capability. Without governance policies, staff lack clear guidance on what data can be entered into AI tools, creating privacy risks. Without goals and metrics, organizations cannot evaluate whether their AI use is actually delivering value. And without budget allocation, AI tools remain dependent on individual initiative rather than organizational investment.
The organizations that are achieving transformational AI impact have addressed this strategy gap. They have made explicit decisions about AI priority areas, invested in shared workflows and documentation, established governance guardrails, and integrated AI performance into organizational goal-setting. This doesn't require a large team or technical expertise, but it does require deliberate organizational attention. Our guide on incorporating AI into your strategic plan offers a practical framework for beginning this work.
of nonprofits lack a formal AI strategy
TechSoup/Tapp Network, 2025
have no AI governance policy at all
Virtuous, 2026
have documented, repeatable AI workflows
Virtuous, 2026
The Training Investment Crisis
If the strategy gap explains why nonprofits plateau at the organizational level, the training crisis explains why the gap persists at the individual level. According to Bridgespan research, training represents only 1% of nonprofit technology budgets, with the remainder split across hardware, software, and services. An AI tool with no investment in training is like a car with no driver education: it may technically be available, but the organization doesn't get the full value from it.
The data on training is striking. The Virtuous 2026 report found that 48% of nonprofits not yet using AI cite lack of training as the primary barrier to adoption. Among organizations already using AI, 69% of nonprofit communicators using generative AI have not received formal training, according to the Nonprofit Perspectives on Generative AI Report. A Google.org survey of 4,600 nonprofits in 65 countries found that none of the surveyed organizations had achieved majority staff training in AI. Two in five had provided zero AI training to any staff.
The consequence is uneven, informal AI capability that compounds existing inequalities within organizations. Staff who are naturally curious about technology develop AI skills; others don't. Senior staff who might most benefit from AI-augmented decision support are often the least likely to have received training. Program staff who deliver direct services, where AI could meaningfully expand capacity, are frequently left out of technology initiatives that focus on administrative functions.
The organizations achieving the strongest AI outcomes have treated staff capability development as a first-class investment, not an afterthought. This doesn't mean formal training for every AI tool, but it does mean deliberate practices for sharing knowledge, building shared vocabulary, and ensuring the staff members who can create the most value from AI have the skills to do so. Our guide on AI knowledge management for nonprofits offers practical approaches to building and sharing AI capability across teams.
The Training Gap by the Numbers
- Only 4% of nonprofits have AI-specific training budgets (2025 AI Equity Project)
- Training represents only 1% of nonprofit technology budgets (Bridgespan)
- 69% of nonprofit communicators using generative AI have received no formal training
- 40% of nonprofits report no staff member understands AI (Google.org)
- 43% of nonprofits rely on 1-2 staff for all IT and AI decisions (TechSoup, 2025)
The Size Disparity: How Organizational Scale Shapes AI Access
The 2026 research reveals a growing divide in AI capability between large and small nonprofits that has significant implications for the sector as a whole. The TechSoup/Tapp Network benchmark found that large nonprofits (budgets over $1 million) adopt AI at nearly twice the rate of smaller organizations. Social Current's 2026 analysis found the disparity even more pronounced in certain implementation areas, with larger organizations pulling significantly further ahead on AI capabilities that require dedicated technical resources or sustained investment.
This is partially explained by resources: larger organizations can afford better tools, are more likely to have staff with technical backgrounds, and have more administrative capacity to manage AI implementation. But the Virtuous 2026 report offers an interesting counterpoint: when examining impact rather than adoption, small organizations (under 50 staff) actually report moderate AI impact at slightly higher rates than large organizations (41% vs 34%). This suggests that when small nonprofits do get AI working for them, they see proportionally meaningful benefits, even if adoption is less universal.
The most pressing implication is for the roughly half of the sector that operates below $1 million in annual revenue. These organizations are disproportionately likely to face the barriers that limit AI adoption: 30% cite financial limitations as the primary constraint, nearly 60% lack in-house expertise to evaluate tools, and they are more likely to be relying on one or two staff members for all technology decisions. Free and low-cost AI tools have never been more capable, but the implementation and capacity-building support those organizations need remains difficult to access.
Barriers for Small Nonprofits
- 48% cite lack of training as primary barrier
- 44% need implementation guidance they can't find
- 30% of small nonprofits cite financial constraints
- 60% lack in-house expertise to evaluate AI tools
Where Small Nonprofits Can Win
- Free AI tools (ChatGPT, Claude, Gemini) reduce cost barriers significantly
- Small teams can adopt AI workflows faster than large bureaucracies
- Grant writing AI gives small shops access to capabilities once available only to larger orgs
- When AI does work for small nonprofits, impact is proportionally meaningful
What AI Is Actually Doing for Fundraising
The fundraising applications of AI have generated some of the most compelling performance data in the nonprofit technology space. Platform benchmarks from Fundraise Up show that AI-powered donation forms achieve average one-time gifts of $161 compared to an industry average of $115, a 40% increase. Conversion rates from click to donation reached 29% on AI-optimized platforms versus a 12% industry average. These are significant figures, though they represent platform-specific performance data rather than randomized sector-wide research.
Broader sector research from Social Current finds that organizations using predictive analytics see 20 to 30% increases in donor response rates, and that AI automation saves organizations 15 to 20 hours weekly on administrative tasks. The Virtuous report itself found that 30% of nonprofits report AI boosted fundraising revenue in the past 12 months. These are meaningful benefits, but they remain concentrated in the organizations that have moved beyond ad hoc AI use to deliberate AI integration in their fundraising workflows.
One finding that deserves careful attention is how donors perceive nonprofit AI use. Research cited in the Nonprofit Tech for Good 2026 statistics aggregator found that 43% of donors say AI use would positively or neutrally affect their giving decision, while 31% would be less likely to donate if they knew AI was used in donor communications. This suggests that transparency matters: how nonprofits communicate about their AI use shapes donor trust as much as whether they use it. Organizations that are thoughtful and transparent about their AI applications in fundraising generally fare better than those that use AI silently or deceptively.
AI Fundraising Performance Data
Platform benchmarks and sector research on AI fundraising impact
What the 7% Are Doing Differently
The organizations achieving transformational AI results share a set of characteristics that distinguish them from the majority plateauing at modest efficiency gains. These are not primarily technological differences; they are organizational ones. Understanding them offers a practical roadmap for nonprofit leaders who want to move their organizations from the 81% to the 7%.
The most consistent differentiator is that high-impact organizations have connected AI use to specific organizational goals and embedded it in performance measurement. Rather than treating AI as a general productivity resource, they have identified where AI can make the most difference for their mission, invested in making that use repeatable and measurable, and tracked results. This strategic intentionality transforms AI from a collection of individual experiments into an organizational capability.
A second differentiator is shared workflow development. The 4% of nonprofits with documented, repeatable AI workflows are capturing and multiplying the value of AI across their teams rather than having it locked in individual practice. This requires investment in documentation, training, and internal sharing, but the returns compound in ways that individual use never can. A single well-designed AI workflow for grant reporting, donor communication, or program outcome analysis can reshape how an entire department operates.
Third, high-impact organizations have moved beyond administrative AI into mission-relevant applications. The organizations using AI for program design and evaluation, client needs assessment, community impact analysis, or service delivery optimization are achieving qualitatively different results than those using AI primarily to draft emails and summarize meetings. This often requires a deliberate decision to invest AI exploration in program and direct service functions, not just in administrative efficiency. Our guide on overcoming AI resistance in your organization addresses how to build the internal support needed to make these investments.
Characteristic 1: AI Tied to Organizational Goals
High-impact organizations have specific, measurable AI objectives connected to their strategic plan. AI use is not evaluated by whether it exists but by whether it is delivering against defined targets in areas like donor retention, grant success rates, or program capacity. This goal-setting creates accountability and drives continuous improvement.
Characteristic 2: Shared Workflows and Documentation
Rather than leaving AI capability to individual initiative, transformational organizations invest in building shared AI playbooks, prompt libraries, and workflow templates. Knowledge is captured and distributed rather than hoarded by early adopters. New staff inherit AI capability rather than having to rediscover it from scratch.
Characteristic 3: Mission-Relevant AI Applications
The most impactful AI deployments are not in administrative efficiency but in mission-critical functions. Organizations that apply AI to program design, outcome evaluation, community needs assessment, or service delivery are getting results that directly advance their mission rather than simply making back-office functions faster.
Characteristic 4: Investment in Staff Capability
High-impact organizations budget for AI training and learning, even modestly. They create internal AI champions, schedule regular skill-sharing sessions, and build AI literacy as an organizational capability rather than a personal interest. Staff feel supported in experimenting with and adopting AI tools, which accelerates capability-building across the organization.
What Nonprofits Are Worried About, and Whether They Should Be
The 2026 research is also revealing about the risk landscape nonprofit leaders are navigating. According to data from the Nonprofit Perspectives on Generative AI Report aggregated by Nonprofit Tech for Good, 70% of nonprofit professionals worry about data privacy and security from AI tools, 63% worry about accuracy and reliability, and 57% express concern about bias in generative AI outputs. The Center for Effective Philanthropy adds that security, accuracy, staff expertise, bias, and data privacy consistently rank as the top five concerns across both foundations and nonprofits.
These concerns are legitimate and deserve organizational attention. Data privacy concerns are particularly well-founded, as nonprofits handle sensitive information about clients, donors, and vulnerable populations that should not be carelessly entered into public AI systems. Accuracy concerns reflect the real risk of AI hallucination, where confident-sounding but incorrect information makes its way into grant applications, donor communications, or program documentation. Bias concerns are especially important for organizations serving marginalized communities, where AI tools trained on historical data can reproduce and amplify systemic inequities.
The challenge is that these concerns sometimes block progress rather than shape it appropriately. A nonprofit that refuses to use any AI because of bias concerns misses the productivity and capacity gains available from careful, monitored AI use in lower-risk applications. A more productive approach is to assess risk by application rather than treating AI as uniformly risky, establish clear policies about what data can be used with AI tools, and invest in the human review processes that catch the errors and biases AI tools produce.
One area where nonprofit concerns are perhaps not adequately elevated: the organizational risks of falling behind on AI capability. As the sector bifurcates between AI-capable and AI-limited organizations, the competition for grants, talent, and public trust increasingly favors organizations that can demonstrate sophisticated AI use. The risks of not engaging thoughtfully with AI may ultimately be greater than the risks of engaging carefully.
From Adoption to Impact: A Practical Path Forward
The gap between the 92% who use AI and the 7% who are seeing transformational results is not primarily a technology problem. It is an organizational capability problem with well-understood solutions. The following framework, grounded in what high-impact organizations are actually doing, offers a practical path for nonprofit leaders ready to move their organizations up the adoption curve.
Step 1: Audit Your Current AI Use
Before you can improve your AI use, you need to know what it actually looks like. Survey staff about what AI tools they are using and for what purposes. You will likely discover more AI use than you expected, along with significant variation in how tools are being applied.
- Identify all AI tools in use across the organization, including personal tools staff are using on their own
- Map current AI use to organizational functions and identify where AI is absent but could help
- Assess data privacy risks in current AI use, particularly whether sensitive information is being entered into public AI tools
Step 2: Establish Governance Foundations
The 47% of nonprofits without any AI governance policy are creating unnecessary organizational risk. Even a simple, practical AI use policy significantly reduces risk and provides the governance clarity staff need to use AI with confidence.
- Establish clear rules about what information can and cannot be shared with AI tools
- Create a designated internal AI point of contact responsible for staying current on developments
- Define human review requirements for AI-generated content that goes external
Step 3: Identify High-Value Mission Applications
Moving from administrative AI to mission-relevant AI is the step that unlocks transformational impact. Identify two or three functions where AI could meaningfully expand your capacity to serve your mission, and invest in developing AI workflows for those specific applications.
- Look for mission functions that are data-intensive, repetitive, or currently limited by staff capacity
- Involve program staff, not just admin and communications, in AI exploration
- Test mission AI applications in a controlled pilot before organization-wide rollout
Step 4: Build Shared Workflows and Organizational Learning
The shift from 81% individual use to organizational capability requires deliberate investment in capturing and sharing what works. Even simple documentation of effective AI applications creates compounding value across your team.
- Document effective AI workflows and prompts in a shared organizational repository
- Create regular forums for staff to share AI discoveries and best practices
- Connect AI performance to organizational metrics so you can evaluate what is actually working
The Adoption Era Is Over. The Impact Era Has Begun.
The 2026 data marks a turning point in the narrative of nonprofit AI. The adoption question has been answered: 92% of nonprofits have said yes to AI. The question that now matters is what kind of yes that is. For most organizations, it has been a passive yes, an acknowledgment that AI is happening rather than a deliberate choice about how to make AI work for their mission. The 7% who are achieving transformational results have said an active, strategic yes.
The path from passive to active AI adoption is not technically complex. It requires organizational decisions more than technological ones: the decision to establish governance, to invest in staff capability, to document and share what works, to move AI from the administrative margins to mission-critical functions. These are within reach of nonprofits of all sizes and budgets, though they do require leadership attention and some dedicated resources.
The research also shows that the window for catching up is narrowing. The organizations building deep AI capability now are establishing competitive advantages in fundraising, talent acquisition, program effectiveness, and funder relationships that will be increasingly difficult to close. The sector is bifurcating, and the 2026 data makes that bifurcation visible for the first time at scale.
For nonprofit leaders reading these findings, the practical question is not whether AI matters, but whether your organization is positioned to capture its benefits. The data suggests most are not, yet. But the research also shows clearly that the organizations achieving transformational results share learnable, replicable practices. The gap between where most nonprofits are and where the leaders are is not primarily a technology gap. It is a strategy and organizational culture gap, and that is the kind of gap that good leadership closes. For those ready to begin, our guides on assessing your AI maturity and communicating AI strategy to your board are useful starting points.
Ready to Move From Adoption to Impact?
The 7% who are seeing transformational AI results share specific organizational practices. Our team helps nonprofits assess where they are on the AI maturity curve and build the strategies and workflows that drive real impact.
