About 20 million Americans who gave to charity in 2000 had stopped giving by 2016, according to a new study from the Indiana University’s Lilly Family School of Philanthropy. Among donors to secular causes, households headed by people age 61 and older were the only age bracket whose share of donors did not decline significantly during that period. Causes that saw their share of donors decline sharpest include those that focus on youths, education, and health. The amount donated to these groups, however, has largely remained unchanged.
The study provides fresh evidence of a phenomenon scholars and fundraising experts have been documenting in recent years: Fewer people are giving, but those who are donating to charity are contributing higher sums. The total donated by households that made any gift rose, on average, from $2,584 in 2000 to $2,763 in 2016. While that increase is not significant, researchers say that the reason total contributions haven’t plummeted is that giving by the superrich is making up for the loss of the 20 million donors. “As the sociodemographic profile of the average American donor shifts, organizations will need to branch out, developing new strategies to engage younger Americans, communities of color, and women,” the authors write.
The study found that for many causes, the average donated rose while the number of donors dropped — or vice versa. For example, the size of gifts to religious institutions increased significantly from 2000 to 2016 — from an average of $2,275 per year to an annual average of $2,638 — even as the share of donors to this cause declined across the board. But a declining donor share did not translate to a decline in dollars to religious causes. Households headed by people age 31 to 40 and 61 and older gave more money to religious causes in 2016 than they did in 2000, growing their average gifts from $1,431.68 to $2,370.55 and $2,118.09 to $2,884.84, respectively.
These findings come from the university’s Philanthropy Panel Study, which tracks giving by a group of of nationally representative households over the course of their lives. The new report examines giving from 2000 to 2016 and measures how households have changed the amount and frequency of their gifts, as well as the causes they support.
Among the other findings:
The average household dollars given to neighborhood and community causes increased from 2000 to 2016, but all other causes measured were unchanged.
The share of donors age 51 to 60 who gave to arts and culture causes declined from 11.64 percent in 2002 to 7.02 percent in 2016.
Dig Deeper:
The Chronicle has written several stories about how nonprofits are dealing with the decline in donors, including this cover article, Where Are My Donors?
Emily Haynes covers fundraising and research. She recently wrote about the $2 billion raised on GivingTuesday and about how the American Civil Liberties Union has used data to keep donors who gave after the presidential election to keep giving. Email Emily or follow her on Twitter.
Correction: This article has been revised to say that the number of donors giving to youth, education, and health groups has declined, not the amount of the donations.