The improving economy has more Americans opening their wallets to help others.
Last year was America’s most generous year ever in terms of charitable contributions, with total giving by individuals, estates, foundations and corporations totaling $373 billion. That’s a 4.1 percent increase over the previous year, and the second record-setting year in a row, according to a new report from Giving USA.
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“It’s heartening that people really do want to make a difference, and they’re supporting the causes that matter to them,” Giving USA Foundation chair W. Keith Curtis said in a statement.
Contributions from all sources grew last year. Donations from individuals made up the biggest share of charitable contributions, as they have for the past 60 years, totaling $265 billion and accounting for two-thirds of the overall increase in giving.
Source: Giving USA 2016 and the Lilly Family School of Philanthropy at Indiana University
Giving by foundations had the largest percentage increase, growing 6.5 percent to $58 billion. Foundations have benefited from strong investment gains despite last year’s flat market, which have allowed them to be more generous with their grants.
Charitable giving is now growing faster than the overall economy. On an annual basis, charitable giving has risen 3.6 percent per year since 2010, while GDP has only grown at an annual average of 2 percent during that time.
Religious organizations continue to receive the largest share of donations, with one in three charitable dollars given in that category, for a total $119.3 billion, up 2.6 percent from 2014. Education was the second-largest category, receiving $57.48 billion, an 8.9 percent increase over 2014.
