Economic Conditions Introduced New Challenges to Giving in 2022

Through the Giving Institute, The Giving USA Foundation, in partnership with the Indiana University Lilly Family School of Philanthropy, today released its longest-running, most comprehensive report on philanthropy in the United States, Giving USA: The Annual Report on Philanthropy.  

According to the latest Annual Report, U.S. charitable giving totaled $499.33 billion, a 3.4 percent decrease in dollars from 2021. Influenced by the stock market and the highest inflation rate in 40 years, giving by individuals, foundations, corporations, and bequests had mixed results. In 2022, the S&P 500® dipped 19.4 percent year-over-year ^[1], and disposable personal income decreased 0.1 percent ^[2] while GDP grew 9.2 percent ^[3], all in current dollars. These three economic indicators – all closely tied to charitable giving – led to post-pandemic shifts in sources of giving and an overall dampening effect on giving in 2022. 

“While we are disappointed giving declined in 2022, it is noteworthy that, after two consecutive record years of giving and in a difficult economic atmosphere, Americans gave nearly half a trillion dollars to charity in 2022. I remain very bullish on the generosity of Americans while also noting some challenges we have in the data presented to us this year,” said Peter Fissinger, Senior Advisor at Campbell & Company and Chair of The Giving Institute.  

According to the Giving USA’s 2022 Annual Report:  

• There is a shift in how people are propelling philanthropy. While individuals made up 64 percent of total giving, donor-advised funds grew at a rapid pace. Foundations (half of all giving in this category is family foundations) accounted for 21 percent, bequests for 9 percent, and corporations for 6 percent of total giving. Though these categories of giving declined when adjusted for high inflation, corporations and foundations experienced positive two-year growth.
• Giving by individuals reached 319.04 billion in 2022, down 6.4 percent from last year. Mega-gifts by individuals contributed $14 billion in 2022 and represented about 5 percent of all giving by individuals for the second year in a row. The drop in individual giving was seen by both smaller and larger ($50,000 or more) donors, which was a departure from past years when the number of donors decreased while the total dollars given increased. 
• Giving by type of recipient organization had mixed results. Some subsectors, including education, human services, public-society benefit, and environment/animals, declined in total share of giving after reaching record highs during the pandemic era. Religion, healthcare, arts and culture, and human services organizations grew, but not enough to outpace the 8 percent inflation rate. 
• Growth in giving to international affairs and foundations outpaced inflation. Influenced by international crises, such as Russia’s invasion of Ukraine, giving to international affairs (up 1.9 percent) and giving to foundations (up 2.7 percent) both reached the highest giving level on record when adjusted for inflation. 
• The resilience and innovation developed in the pandemic era will continue to serve nonprofits. Nonprofits can continue to evolve by growing online giving through mobile devices; building the future pipeline of donors and sustaining existing donors; and adapting to new AI tools such as ChatGPT to offer new possibilities for nonprofits, fundraisers, and donors. Still, human connection remains the foundation of philanthropy.

Optimistically, the nonprofit sector must continue to make the case for its vital work and the broad-based philanthropy that has traditionally supported it, while adapting to and continually evolving with advancements in technology and an increasingly diverse donor population.    

Campbell & Company has been a Giving Institute member since 1987, and we are proud to share Giving USA’s findings and contribute to advancing the nonprofit sector. Campbell & Company’s Co-President Kate Roosevelt and Chair of The Giving Institute Peter Fissinger will moderate a panel discussion with industry experts from the nonprofit sector at the Giving USA 2023: A Virtual Forum on Philanthropy national webinar on June 21st at 12:00 p.m. PST/2:00 p.m. CST/3:00 p.m. EST. Visit bit.ly/GUSA2023-Webinar to register for the webinar today.  

The Giving USA: Annual Report on Philanthropy is now available. Visit givingusa.org to purchase your annual subscription today.  

^[1] “S&P 500 Stock Price Index (S&P 500),” Federal Reserve Bank of St. Louis, FRED® Economic Data, 2022, retrieved April 2023, http://research.stlouisfed.org 

^[2] “Personal Income and Its Disposition,” Bureau of Economic Analysis, U.S. Department of Commerce, 2022, retrieved April 2023, www.bea.gov  

^[3] “Gross Domestic Product,” Bureau of Economic Analysis, U.S. Department of Commerce, 2022, retrieved April 2023, www.bea.gov 

About Campbell & Company  

Campbell & Company is a national nonprofit consulting firm that helps organizations create greater impact through fundraising, executive search, communications, and strategic information services. Since 1976, Campbell & Company has helped over 2,500 clients grow their fundraising results through an integrated approach. In addition, our award-winning executive search team brings a record of success in placing exceptional leaders across the nonprofit sector. Underlying all our work is a culture driven by belonging, collaboration, curiosity, rigor, and our dedication to collaborating with nonprofits invested in inclusive philanthropy to change lives and move the nonprofit sector toward greater justice. To learn more, connect with us on LinkedIn, Twitter, Facebook, and Instagram.  

About the Giving Institute 

The Giving Institute consists of member organizations that have embraced and embodied the core values of ethics, excellence, and leadership in advancing philanthropy. Serving clients of every size and purpose, from local institutions to international organizations, The Giving Institute member organizations embrace the highest ethical standards and maintain a strict code of fair practices. The Giving Institute is also the parent organization of the Giving USA Foundation™, which endeavors to advance philanthropy through research and education and produces the annual report on charitable giving in the United States, Giving USA: The Annual Report on Philanthropy.  

For media inquiries, please contact Lola Banjo, Director of Marketing, at lola.banjo@campbellcompany.com or call 312.896.8893.