Giving USA 2025 Report Highlights Widespread Generosity
Even amid a year rife with governmental policy change – taxation, funding, environmental, healthcare, social justice – American philanthropists rallied. In fact, they showed just how quickly money can be mobilized in the face of challenge. Of any natural disaster worldwide, California’s 2025 wildfires generated the largest amount of donations – $860-970 million – in the shortest amount of time. Ever.
The latest numbers from Giving USA 2025 indicate that American generosity didn’t stop there. Donors gave $617.20 billion in 2025, up 5.7 percent from last year.
Despite an uneven donor landscape in which wealthier donors continue growing stronger while everyday donors face increasing financial pressure, the report, which measures the previous year’s philanthropic performance, is positive overall. Increases in giving by individuals is up 4.1 percent; giving by foundations up 5.7 percent; bequests 19.7 percent; and corporate giving 3.1 percent.
WHAT THE NUMBERS SAY
Focus on planned giving
The nearly 20 percent growth in bequest giving seen in this year’s numbers signals the acceleration of one of the largest intergenerational wealth transfers in history. Second generations inheriting their parents’ wealth will unequivocally maintain wealth in the United States into the future, while others fall behind.
What does that mean to executives sitting on nonprofit boards? Simply stated: planned giving. As a strategy, planned giving is shifting from optional to essential.
Nonprofits would do well to advise the aging, high-asset donor population of planned giving strategies now – not later – expanding the promotion of sophisticated giving vehicles, including:
- Bequests
- Donor-Advised Funds (DAFs)
- Required Minimum Distributions (RMDs)
- Trusts and charitable unitrusts
- Insurance-based giving vehicles
Don’t overlook lower-tier donors
It’s a fact that consumer sentiment reached historic lows in 2025, despite strong market performance, accelerating the trend of “dollars up – donors down,” in which individual donor gifts from the wealthy increased in size, while the total number of “everyday” donors decreased.
This shrinking everyday donor group should not be overlooked, as they are a key source of essential unrestricted giving for nonprofits. What’s more, statistics indicate that these lower-level givers are highly likely to give again to the same organization, after an initial gift.
Multi-year relationship building and intentional stewardship with this demographic is paramount. Consistent, strategic communications – it turns out – are a less-expensive and less time-consuming strategy for nonprofits. Give these donors your trust and consistency. Build real relationships. That engagement will determine donor loyalty, and in a year or two, they’ll likely come back.
Don’t overreact to policy or economic volatility
Nonprofits responded to President Trump’s One Big Beautiful Bill Act with rightful apprehension. And while the reality is that tax policy changes, shifting government priorities, and economic uncertainty all influence philanthropy, they rarely do so in simple or immediate ways.
The long-term effects of policy and economic shifts may actually take years to fully materialize, making it critical for organizations to stay focused on strategy rather than reacting to short-term headlines. Analyze trends like declining consumer confidence, the widening wealth disparity, and the pressures on everyday donors to plan for long-term resilience.
LOOKING FORWARD
Despite all the uncertainty with policy changes in 2025, the top designations for charities—religion; human services; education; public-society benefit; health, international affairs; arts, culture, and humanities; and environment and animals —all increased.
Donors clearly still understand the importance of widespread giving. It is the job of executives sitting on nonprofit boards to clearly articulate the “whys?” of the organization when a potential donor asks, “Why should I give now? Why should I give to you?”
The nonprofit’s staff and fundraisers must be well-versed in their case for support, communicating:
- What makes their programs unique
- Scalable, high-impact initiatives
- Bold ideas that inspire investment
- Clear connections between donor contributions and measurable outcomes
Mostly, board members and nonprofit leaders must always be prepared to answer the question “How can I help?” when a prospective donor asks it. Be prepared to share with donors exactly what their gift accomplishes.
The Author: Richard Tollefson is founder and president of The Phoenix Philanthropy Group, an Arizona-based international consulting firm serving nonprofit organizations as well as institutional and individual philanthropists. www.phoenixphilanthropy.com
Where Did the Dollars Go?
Philanthropic contributions by designation in 2025:
- Religion: $151.58 billion
- Human Services: $99.50 billion
- Education: $92.01 billion
- Foundations: $79.05 billion
- Public-Society Benefit: $72.06 billion
- Health: $61.43 billion
- International Affairs: $33.02 billion
- Arts, Culture, Humanities: $27.31 billion
- Environment/Animals: $24.57 billion
- Individuals: $25.77 billion
Don’t forget: nonprofits rarely fit into only one category, offering programs and services in other areas as well. To expand fundraising dollars, explore institutional and individual donors who regularly support these top categories.
[Factoids]:
- Ultra-high-net-worth philanthropy increasingly operates through private foundations, family offices and anonymous vehicles.
- Giving USA: The Annual Report on Philanthropy is the longest-running and most comprehensive report on charitable giving in the United States, published since 1956.