Study: Only half of US households donate to charity


By AGENCY
The percentage of Americans who give to religious causes has decreased in tandem with attendance at worship services as the number of Americans not affiliated with any religion grows. Photo: AP

For the first time in nearly two decades, only half of American households donated to a charity, according to a study released Tuesday. The findings confirm a trend worrying experts: Donations to charitable causes are reaching record highs, but the giving is done by a smaller and smaller slice of the population.

The study, published every other year by Indiana University’s Lilly Family School of Philanthropy, comes from a survey that has been tracking the giving patterns of more than 9,000 households since 2000, when 66% of US households donated to a charitable organisation. That number dropped to 49.6% in 2018, the latest year with comprehensive figures from those households.

Experts say many factors are contributing to the decline. The percentage of Americans who give to religious causes has decreased in tandem with attendance at worship services as the number of Americans not affiliated with any religion grows.

Separately, the share of Americans who give to secular causes began to drop following the economic turbulence of the Great Recession, but it hasn’t bounced back. It reached a new low - 42% - in 2018, the study said.

Una Osili, the associate dean for research and international programmes at the Lilly School, suggests this is, in part, because the Great Recession made it difficult for some younger Americans to establish a habit of giving. The study found only about a third of households headed by someone under the age of 40 gave to charity in 2018, a trend Osili believes will be a challenge for charities.

"What are the factors that will bring them into giving? Especially if they are not attending services, and not participating in networks that will lead to giving,” she said.

The nationally representative study from the university does have its limitations. It measures giving to charitable organisations, but doesn’t analyse donations made through informal crowdfunding campaigns, which tends to draw younger audiences. It does, however, measure contributions of goods and services.

The study says declining levels of trust among Americans for institutions and each other may also contribute to the move away from charitable giving. That mistrust is especially pronounced among millennials, which could cause another layer of challenges for charitable organisations.

The data shows a majority of households headed by a person who had a college or a graduate degree, and was married or widowed gave to charity. Wealth was also a factor.

Nearly 8 out of 10 households with more than US$200,000 of wealth gave to charity in 2018, the study said. By contrast, less than 4 in 10 households with wealth less than US$50,000 made donations.

"The overall pie (in giving) is slowly moving towards the ultra wealthy,” said John List, an economics professor at the University of Chicago who studies giving, adding that this shift can be dangerous. "Rich people give to causes that rich people want to give to,” he said. "You have a very different supply of goods and services from the charitable community when the rich people give versus when the middle-class or lower-class gives.”

Critics have long argued that large charitable donations by wealthy philanthropists are only possible in an era of rising income inequality, a point philanthropist MacKenzie Scott cited during her latest announcement of donations.

Phil Buchanan, the president of the Center for Effective Philanthropy and author of Giving Done Right: Effective Philanthropy and Making Every Dollar Count, believes the declining giving participation rate also shows charities are failing to communicate their message effectively.

American society tends to deify businesses and and athletes, he said. "And we can do a better job of elevating the work and heroism of nonprofits in communities all across the country.” - AP

Get 20% OFF The Star Digital Access

Monthly Plan

RM 13.90/month

RM 11.12/month

Billed as RM 11.12 for the 1st month, RM 13.90 thereafter.

Best Value

Annual Plan

RM 12.33/month

RM 9.87/month

Billed as RM 118.40 for the 1st year, RM 148 thereafter.

Follow us on our official WhatsApp channel for breaking news alerts and key updates!
charity , giving , help

Next In Family

A Malaysian in Australia keeps her Peranakan heritage alive one dish at a time
Drowning is a common accidental fatality for kids, here's what to look out for
Making cervical cancer screening accessible to all Malaysian women
Being frugal doesn't always have to be associated with being cheap
From me to we: The money shift from singlehood to family life
New chapter for social work in Malaysia
Malaysian military families turn to stingless bee farming for livelihood
These kids are weightlifting their way to improved strength and fitness
Young people are not completely rejecting family life, UN report finds
Report: In the US, more families now have both parents working full-time

Others Also Read