Charitable giving surpassed $400 billion for the first time in 2017, the fourth consecutive record-setting year, according to the latest “Giving USA” report.
Giving by individuals, which accounts for 70 percent of total charitable donations, grew by 3 percent. Major institutions such as colleges, hospitals, and museums continued to see significant gains as wealthy Americans, buoyed by a strong economy, directed big gifts their way. For tips on getting in on the action, see our tool kit “How to Win Big Gifts.”
Private and public foundations increased their giving by 4 percent, to $67 billion. If you’re looking for ideas for attracting foundation support, check out “Tips and Advice for Better Grant Seeking.”
For those planning to seek corporate support in the coming year, the timing could be right: Corporate giving reached $20.8 billion, a 6 percent increase from 2017. (Despite the rise, that still represents about 1 percent of overall pre-tax profits, a rate that’s been holding steady for about 40 years.) For ideas on how to get gifts from companies, see “How to Attract Corporate Philanthropy.”
Bequests grew slightly, by less than 1 percent, but experts expect planned giving to gain momentum as baby boomers grow older. Our collection “Getting Started With Planned Gifts” offers helpful tips and ideas.
A few clouds may be gathering on the horizon, the most threatening being a decline in donors, changes to the tax law that alter giving incentives, and an uncertain economic outlook due to possible trade wars.
What can fundraisers do? Experts recommend being ready to answer donors’ questions about changes to the tax code. Watch our webcast “How to Raise Money Under the New Tax Law” for guidance.
Another suggestion: become more adept at accepting complex, noncash gifts. For pointers, read “How a Gift-Acceptance Policy Can Boost Your Fundraising” and “Tools for Attracting and Facilitating Gifts of Farmland,” and check out this model gift-acceptance policy. And, as always, practice good donor relations.
Tim Sandoval and Heather Joslyn contributed to this article.
