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Value of the Creative Economy

Arts and culture non-profits have long known that inspiring works of art and innovative designs have the power to transform people’s lives. Its leaders have also known that, as businesses, they directly contribute to the economy as they purchase materials and services in their communities and pay workers who in turn buy goods and services. But until recently, they have only had stories to demonstrate their combined impact.  Now, with data collected through the Michigan Cultural Data Project and other new sources, the sector can fully illustrate its impact in Michigan with standardized, reliable information.

Direct Expenditures – $462,791,322

In Fiscal Year 2009, the 211 organizations in the Michigan Cultural Data Project with review complete data spent $462,791,322 in salaries, services and materials. This amount includes 32 of the 50 largest arts and cultural groups in Michigan, as defined by the National Center for Charitable Statistics. There are approximately 2,000 arts and culture organizations in Michigan.  As more of them add their data to the Michigan Cultural Data Project, this number will only grow.

Number and Type of Jobs – 15,560

The number of jobs at the 211 organizations in the Michigan CDP with review complete data equaled 15,560.  There were:

  • 2,442 full-time employees
  • 5,901 part-time employees
  • 7,307 independent contractors
  • 1,204 interns or apprentices.

Payroll Taxes – $11,774,301

The 211 organizations paid $11,774,301 in payroll taxes in 2009 to local, state and federal government agencies. This amount accounts for the employer portion of taxes paid on salaries of $152,333,156 in that year. The CDP does not track taxes paid by individuals. Therefore, while the exact amount of combined payroll taxes paid by the employer and the employee because of these jobs cannot be determined, that figure is more than $12 million.