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Understanding trends in family philanthropy provides invaluable insights for those looking to maximize their giving impact. Whether donors are engaged through family foundations or as independent givers, learning from the strategies and shifts within family philanthropy can inform their own approaches and amplify their efforts.
Since 2015, the National Center for Family Philanthropy (NCFP) has conducted a national benchmark survey of family foundations every five years. The latest edition, tracking data from 2025, offers a decade-long view of evolving trends in family philanthropy.
What is Family Philanthropy?
According to NCFP, family philanthropy is "the act of collective giving that is rooted in the values of a family, carrying forward its name and legacy, and engaging its members."
What Shapes Family Philanthropy
The report particularly emphasizes four principles of effective philanthropy, as defined by NCFP
- Accountability
- Equity
- Reflection and learning
- Relationships.
These principles help ensure that family philanthropy remains meaningful, informed, and responsive to the communities it serves.
Evolving Trends in Family Philanthropy
The latest report reveals that family foundations are increasingly community-centered and issue-focused. However, significant change is gradual, and without further investment and collaboration to address complex issues like climate justice, equity, hunger, and education, social challenges will likely intensify.
Here are some of the key trends and insights:
Growing Emphasis on Learning and Community Engagement
Foundations today are more focused on specific issues (74%, up from 54% in 2015) and increasingly prioritize learning about these challenges before making funding decisions. Nearly a third of foundation boards now consider grantmaking and issue-focused learning among their top three priorities—three times the rate in 2015. Additionally, 90% of foundations are designing practices to help them explore new ideas and approaches.
Commitment to Local Communities and Inclusive Practices
In a notable shift, about 64% of family foundations now focus on specific geographic areas, often aiming to support communities they know well. The report also finds more foundations streamlining their application processes (40%), offering multiyear grants (20%), and providing "beyond the check" support (23%)—all actions aimed at centering grantees and addressing their needs.
Guiding Grants with Mission and Community Input
More family foundations are prioritizing their philanthropy’s mission (72%) and community and grantseeker needs (42% and 43%, respectively) in their funding decisions. This shift away from historic funding patterns and individual board member interests represents a new, more community-focused approach.
Other Noteworthy Findings
- Shorter Timeframes for Operations: While a substantial number of foundations still operate in perpetuity, more are setting limited lifespans for their work or periodically reassessing this choice.
- Higher Payout Rates: A majority (71%) are now exceeding the required 5% payout rate, with one-third of foundations reporting increases in payout rates over the past five years.
The NCFP's latest findings underline a thoughtful shift in family philanthropy, with a growing emphasis on learning, community engagement, and impact-driven giving. As donors continue to prioritize accountability, equity, and relationships, these trends offer a roadmap for maximizing the long-term impact of family-based charitable efforts. By aligning strategies with these emerging practices, donors can help drive meaningful change and address today’s most pressing challenges.
Download the full Trends in Family Philanthropy 2025 Report on the National Center for Family Philanthropy site.