The Jay Love Blog : Giving USA

Giving USA 2008 Results Provide In-Depth Analysis

Jay Love — Wed, 10 Jun 2009 12:49:00 GMT

Each year about this time in June I am proud to say I am a part of the Giving Institute and the Giving USA Foundation. You see, through their efforts the entire world is able to view the details of the wonderful tradition we call PHILANTHROPY.

The Giving USA Report for 2008 does reflect the tougher economic conditions in a small manner. However, it is remarkable to see the resiliency the United States has with regard to our giving to charity traditions. The small drop is nowhere near the level many might have expected it to be. In fact, some sectors within the nonprofit world actually had increases. As you might guess, times of need truly bring out the best in so many people. What a neat and wonderful tradition so many of us deeply involved in the NPO world are able to witness daily. Hopefully, we can keep instilling such values in every upcoming generation. (More on that concept in my next blog post...)

In a broad overview manner here is what happened:

2008 Estimates Outlined

Giving USA reports that, adjusted for inflation, total giving was down 5.7 percent, the largest drop recorded since the group has been keeping track of America's charitable donations. However, the estimated giving total exceeded 300 billion for only the 2nd time ever!

Individual giving, which is always the largest component of charitable contributions, was an estimated $229.28 billion, or 75 percent of the total, in 2008. This is a decrease of 2.7 percent compared with 2007 estimates.

Charitable bequests are estimated to be $22.66 billion in 2008, a decrease of 2.8 percent. They make up 7 percent of total giving.

Corporate giving, which is closely tied to corporate profits, is projected to have decreased 4.5 percent, to $14.5 billion. It is estimated to equal 5 percent of all charitable giving.

Foundation grantmaking, according to data from the Foundation Center, was $41.21 billion, an estimated 3 percent increase in current dollars. It is 13 percent of total giving for 2008.

2008 Estimates of Giving by Type of Recipient

Religion: Religious congregations and other religious organizations received an estimated $106.89 billion, which is 35 percent of the total. This is the second year that giving to religion has exceeded $100 billion. Giving to religion increased an estimated 5.5 percent. Religious gifts account for an estimated one-half of all individual giving, not counting gifts made through bequests (5.6 percent) or family foundations (about 3 percent).

Education organizations received an estimated $40.94 billion, or 13 percent of the total. Gifts to this type of organization decreased 5.5 percent.

Foundations received an estimated $32.65 billion, according to calculations by the Foundation Center and Giving USA. The estimate for 2008 is a decrease of 19.2 percent.

Gifts to Health organizations are estimated to be $21.64 billion, or 7 percent of total estimated giving. The decrease in giving to this subsector for 2008 is estimated to be 6.5 percent.

Estimated giving to the Public-Society Benefit subsector was $23.88 billion in 2008, or 8 percent of total estimated giving. The increase is 5.4 percent.

Arts/Culture/Humanities organizations received an estimated $12.79 billion in 2007, or 4 percent of total estimated giving. The decrease is 6.4 percent.

International Affairs organizations, which include relief, direct aid, exchange, and other programs focused on international issues, received an estimated $13.3 billion, or 4 percent of total estimated giving. This is growth of 0.6 percent.

Giving to the Environment/Animals subsector is estimated to be $6.58 billion, or 2 percent of total estimated giving. This estimate reflects a decrease of 5.5 percent.

As always, a picture is worth a thousand words!

An Intellectual Experience in New York

Jay Love — Wed, 10 Dec 2008 20:24:00 GMT

Last Thursday and Friday brought together several educational and networking opportunities for many of us involved with the Giving USA Foundation and the Giving Institute. Early December is always the time for winter board meetings for these two pillar organizations of the nonprofit world as well as the scheduled date for the Gurin Forum.

This year’s event was held in Manhattan at the Yale Club. I arrived early on Thursday morning, and after the typical crazy cab ride from LaGuardia Airport, found myself in the wonderfully historic lobby of the club. I quickly noticed numerous folks using cell phones, which was a departure from the rules prohibiting cell phones a few years back at the Harvard Club... Could it be the Yale grads communicate more?

Based upon seeing the phones in use, I decided to use my Blackberry to catch up on the never ending email stream. One of the emails had a larger attachment I wanted to see so it was time to find a huge comfy chair and fire up my trusty Dell laptop. I was enjoying the early morning email when a tap on my shoulder from a large man dressed in black informed me there were to be no computers in use in the lobby. Of course I asked why when folks were doing the same thing on Treos, iPhones and Blackberries. He assured me I was still in the wrong and asked me to close up the laptop. Being ever so inquisitive since I was about 2 years old, I asked if electronic books such as the new Amazon Kindle were acceptable. This caused him to ask if I was a member and it was my cue to head up to the 18th floor for the meetings. Yes, it was time for one of my favorite pastimes, "networking".

Any Giving Institute event is a superb chance to catch up with virtually all of the leading nonprofit consulting firms in one place. It was great to hear that even in a tough economy most fundraising campaigns were going well and many were raising the campaign goals to higher levels. I am always gratified to see how resilient our beloved sector is.

The first education session revolved around a Thought Leadership panel discussing “Youth in Philanthropy”. It was moderated well by Jeffrey Byrne and featured Laura Spitzer, ED of the New York Jewish Leadership Forum, Tara Ruotolo, DD for the Buckley School and Patrick Rooney, ED of the IU Center on Philanthropy. They covered the subject nicely with so many uplifting stories of how the youth of our country is truly engaged in philanthropy. The subject was then debated with the entire audience on how even more could be done. Finally, Dr. Rooney shared current statistics on the subject. With his permission, I have linked to the slide deck. I think you will enjoy the data points.

The big event of the day was The Gurin Forum in the afternoon. This is an annual event in honor of one of the early pillars of the nonprofit sector, Maurice Gilbert Gurin. The subject this year was a topic sure to bring about some healthy debate from the prominent panelists on "Are Charitable Dollars Really Getting Where They’re Needed Most?" The panelists included:

Melissa A. Berman, CEO Rockefeller Philanthropy Advisors, Inc.
Pablo Eisenberg, Senior Fellow Georgetown Public Policy Institute
Peter Goldberg, CEO Alliance for Children and Families
Dr. Susan Raymond, EVP Research at Changing Our World
William A. Schambra, Director Bradley Center for Philanthropy and Senior Fellow Hudson Institute

They did not let down the large audience packed into the room. Viewpoints and justifications were from all sides of the issue. Needless to say, the thought processes of many on this subject were stimulated.

I personally applaud the Giving USA Foundation/Institute for bringing such high quality events together. I am proud to be a part of the group and to have taken part in the many follow-up discussions. Perhaps the technology that Blackbaud/eTapestry provides to so many groups in this sector will play an even bigger part in seeing that charitable dollars do go where they are needed most in the future.

The Inside View of Giving USA/Giving Institute

Jay Love — Mon, 21 Jul 2008 15:25:00 GMT

I am typing this as I fly back from the Giving Institute’s Summer Symposium and board meeting in Salt Lake City, Utah. I believe this was the 6th Summer Symposium I have been able to attend. Hands down it was the best with regards to content and sharing of ideas.

The Symposium created and conducted by the Giving Institute is where the latest results of the Giving USA data are unveiled, explained and discussed in detail by many of the top fundraising consulting firms in the world. You see, the Giving Institute is the former AAFRC, Association of Fundraising Counsel, who commissions all of the research for the Giving USA report. If you are employed in or connected to the non-profit sector and have not read this dynamic report, I encourage you to do so. The research data is comprehensive and can offer many insights which can aid in formulating any charity’s future strategy.

In addition to the Giving USA results, this summer gathering brought together so many of the sector’s thought leaders to present and discuss on various topics that truly affect day to day fundraising as well as major fundraising campaigns. Seeing and being part of such discussions, and in many cases debates, allows everyone involved to grow and be better prepared to serve the sector.

I was delighted this year’s agenda included several topics related to the Internet and its huge effect on communications and giving. Being a presenter myself (maybe that is why I thought this year’s edition of sessions was the best...), I was not sure how far-reaching the questions and ensuing discussions might be. Rest assured, I was not disappointed by the scope and depth of those questions and discussions. This group truly “gets it” in knowing the impact such fast-paced changes in mass communications can bring to the relationship building and fundraising processes.

If you are working with or considering a working relationship with any of the members of the Giving Institute, I encourage you to explore the items I mention above in greater depth. The members are a pleasure to be associated with and have become some of my best friends and trusted advisors in this wonderful sector. I am already looking forward to next year’s gathering and the further insights and opinions to be gained...