New Records set in Americans’ Charitable Giving
| July 1, 2008 | Posted by Roshawn Watson under Uncategorized |
Comments off
|
Despite economic concerns, Americans gave a record amount to charity in 2007. For the first time, charitable giving exceeded $300 billion.
According to a newly released report from Giving USA foundation, Americans donated $306.39 billion in 2007. This represents an 88% increase compared to giving in 1997 ($163 billion). These preliminary findings suggest that every subsector covered by the report, except giving to private foundations, grew in nominal terms for the first time since 2001. The increase is thought to be due to a healthy stock market in the first half of 2007, measured economic growth and increases in corporate and personal income.
Interestingly, the majority (75%) of giving was by individuals in 2007 donation total. Foundation grants made up 12.6% of the total, contributing a record $38.52 billion. Also, bequests and corporate donations both rose, though corporate giving fell slightly when adjusted for inflation.
Contributions to private foundations fell 9.4% to $27.73 billion, partly due to substantial charitable gains in this subsector during 2006. For example, Warren Buffett donated more than $30 billion to the Bill & Melinda Gates Foundation in 2006.
Nonetheless, there may be some evidence that slowing growth in the economy is taking a toll on giving. The 3.9% increase in donations last year (1% if corrected for inflation) was significantly less than the 10% and 13% gains in 2004 and 2005, respectively. Additionally, researchers revised 2006’s giving increase downward to 0.4% from 4.2%.
The perceived relative slowdown in giving is linked to the perpetual economic uncertainty that plagued the latter part 2007. Economic woes intensified last summer amid high gasoline prices, real-estate market turmoil and a burgeoning credit crunch. Given that these are still challenges we are facing, less-robust giving could continue throughout 2008 as the economy has worsened.
Regardless, it is great to see Americans supporting others, causes, and organizations that we believe in. Although many personally feel a responsibility to give, it is also very rewarding. It is by far the best way to spend money.
Lastly, if you like this post, click here to RECEIVE My Brand-New eBOOK for FREE; also, support this post and Propel it, Stumble it, and tag it on Delicious.
Copyright 2012, Roshawn Watson, Pharm.D., Ph.D. All Rights Reserved.
Recent Comments