Eligible nonprofit organizations can gain many benefits from applying for and getting 501(c)(3) status. The primary benefit of IRS 501(c)(3) status is federal tax exemption that allows nonprofits to maximize the good they do with their funds and stretch their money much further. Becoming a 501(c)(3) also confers respectability in nonprofit organizations and builds community trust. Many donors do research before deciding to donate to a charity, and seeing that a group has 501(c)(3) status may make them feel confident that they will not fall victim to a charity scam or have their fund misused. In fact, organizations like Charity Navigator recommend that donors check for an employee identification number, or EIN, and 501(c)(3) status before opening their wallets or jumping on board to volunteer their time and expertise to a group. This means that getting federal tax-exempt status may substantially increase donations and even opportunities for community partnerships with volunteers, local government, and other organizations and nonprofits.