What is Giving Compass?
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Giving Compass' Take:
• Mary Jo Lyons, writing for Forbes, discusses which factors shape charitable giving plans, such as gender, age, and the growth of philanthropy tools.
• Has your giving strategy evolved over time or with the creation of new resources?
• Read more about some of these factors on the Giving Compass Gender and Giving Magazine.
We are studying how gender shapes giving behavior. The report How Women and Men Give Around Retirement by the Women’s Philanthropy Institute at Indiana University revealed some interesting statistics.
Single women and married couples consistently give more and volunteer more than single men. Adult daughters of wealthy givers have proven to care more about the causes their parents support and the frequency and the amount of donations more than adult sons. Women tend to spread out their donations, giving smaller amounts to more organizations compared to men.
We are in the midst of a multi-trillion-dollar inter-generational transfer of wealth. Gen Xers and Millennials will be inheriting this wealth at the same time they are reaching their peak earning years, building even more wealth. This is changing the demographics of those entering the “retirement” phase of life.
Research shows that although retirees generally work to reduce their overall spending they still give generously. Giving is part of their financial plan. Philanthropic causes become a big part of their social network.
Most Millennials and some Gen Xers have grown up in the digital age, heavily influenced by social media and crowdfunding. As a result, younger generations are more globally aware and drawn to diverse causes having a deeper socioeconomic impact.
Mission and vision are important.
Nonprofits that embrace transparency and have a compelling story are winning when it comes to giving. Many of us, me included, have become skeptical about where our money is actually going.
Tools are improving.
Planned giving is becoming a real thing. Growth of donor-advised funds (DAF) is a game-changer enabling people to give when the timing is right for them. It’s like your own personal giving fund. You are the donor and the advisor - you decide which charities you want to support and when.
Read the full article about charitable giving plans by Mary Jo Lyons at Forbes