| 2005 Charitable Giving Index |
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Benchmark Freelanthropy Index Tracks State Of Charitable Giving In America, Reveals High Levels By Lower Income Groups Donation Patterns Show Diversity By Region, Age and Income; Health and Human Services Organizations are Top Recipients LOS ANGELES, Calif. (March 16, 2005. Correction edits August 31, 2006)—Despite mixed signals on the economy, Americans continue overwhelmingly to donate to a variety of charitable causes, with more than 90% percent participating at some level of charitable donations. Perhaps surprisingly, lower-income Americans are among the nation's most generous givers, based on percentage of income. These are among the key findings of the inaugural Freelanthropy Charitable Giving Index, a new comprehensive survey of how much Americans give and the types of non-profit organizations to which they give. The baseline survey, conducted in mid-January by market research firm Synovate of Chicago, asked a cross-section of 1,000 Americans to provide information on their giving behavior. Initiated by Freelanthropy, Inc. (www.freelanthropy.com), a new online service dedicated to assisting non-profit organizations with innovative branding, communications and fundraising capabilities, the Freelanthropy Index will track donation patterns by Americans on a quarterly basis. "We felt it was an auspicious time to gauge the current state of giving in America," said Thorsten Hoins, General Manager, Freelanthropy. "Historically, citizens contribute generously, but the patterns of giving and relevant factors such as age and region need to be better understood so non-profit organizations can maximize the effectiveness of their outreach." When measured by the amount donated, the survey found overall that the largest percentage of Americans—42 percent—gave between $100 and $1,000 within the last 12 months. The next largest group, 24 percent, demonstrated a more penurious side, donating less than $100, while 18.5 percent donated between $1,000 and $5,000. A much more modest number, just 4.4 percent, donated between $5,000 and $10,000 while a scant 1.1 percent gave more than $10,000. Revealing a generosity of spirit by percentage of income, those individuals earning less than $25,000 per year proved to be the biggest givers; fully 40 percent donated between $100 and $1,000 last year. Counterbalancing that generosity, however, this income segment also provided the largest number who gave less than $100, 32 percent. Also measured by income, statistics reveal that 44 percent of those with incomes above $75,000 gave $100 to $1,000. Twenty-six percent of Americans earning the same amount gave between $1,000 and $5,000, while less than 9 percent of that group donated between $5,000 and $10,000. Just 3 percent of this bracket gave above $10,000, the only income group to donate at this level as measured in the study. Measuring past versus present giving trends, the Freelanthropy Index also showed that those earning $50,000 to $75,000 were somewhat likely to give less (15 percent), while nearly 24 percent of those making less than $25,000 gave more during the past 12 months. Youth Will be Served - But Their Elders Donate Measuring current trends in giving by age, the Freelanthropy study also shows that 25 percent of the 18 to 24 year-olds are contributing more now than in the past—the largest group to do so—while those over 65 are now the least likely to be giving more (14 percent). Among those now giving less, the 35 to 45 age group dominates at 15 percent, while, notably, those over age 65 are the least likely to be cutting back on giving, with just 6.6 percent indicating that they gave less than last year. Where We Live - and Where We Give Regional differences also served as a key differentiator in the Freelanthropy Index. The biggest givers in the $5,000 to $10,000 level - 7 percent - hailed from the Midwest, leading the West by 50 percent and double the percentage from the Northeast contributing at this level. In the $1,000 to $5,000 bracket, the West took top honors, at slightly more than 21 percent. The Northeast proved to be tops at the bottom, with 43 percent giving $100 to $1,000 and 28 percent contributing less than $100, the largest percentage from any region at those contribution levels. The research also showed that Southerners were the most likely to give more this year vs. last, 21 percent, while also the most likely group to give less than last year with 13.6 percent. On the receiving end, non-profit organizations clearly have a receptive audience with some specific groups—and not with others. Young people vote with their (often limited) dollars for funding health and human services (43 percent rnaking this as their first choice), the largest group in that category and the most popular cause by far among those 18-24. Perhaps surprisingly, Religion was the decisive second choice among this age group with 25% ranking religion as their first choice. The group most likely to include new parents—those 25-34— also ranked health and human services first (nearly 36 percent), while education seemed to be the second most popular for this age bracket with 27% ranking it as their top priority. Those over 65 favor charities that support religious organizations by a wide margin (39 percent ranking it first, the top pick for this group). Indeed, Americans 55 and above were the most likely to rank the support of religious organizations first or second, while people in the younger age brackets were more likely to rank them last. On a gender basis, men and women differed in their support for education funding (22.5 percent of men ranked it first, vs. 12.3 percent of women), while the reverse was true where environmental causes are concerned (11.6 percent for men, 18 percent for women). On an income basis, those in the lowest and highest income brackets (and for that matter the brackets in between) all ranked health and human services organizations first in a fairly tight grouping (ranging from 35% for the lowest income bracket to 39% for the $50k-$75k bracket). Interestingly, married couples favored support for religious organizations much more than did their single counterparts (32 percent to 22 percent). Those in the Northeast ranked health and human services first more than any other region (42 percent), while those in the South were the most likely to put religious organizations first (35 percent). Perhaps acting against type, those with at least some post-graduate education were twice as likely to pick religious organizations as compared to their selection of education as a top choice (34 percent vs. 16 percent, respectively), although a slight plurality of that group placed health and human services at the top of their list (with 36 percent ranking it as their first choice). Employment status apparently isn't a critical factor where recipient organizations are concerned; retirees, those employed full time, self employed or the unemployed all placed support for health and human services at the top of their list, at 37 percent. The only emplyment group not to rank it first were part time employees who were more likely to chose Religion as their top-ranked cause. The margin of error for the survey is +/- 3 percent. A full report of Freelanthropy Index data is available on request at This email address is being protected from spam bots, you need Javascript enabled to view it About Freelanthropy Freelanthropy, LLC Media Inquiries Megan Dyer, Allison & Partners Amy Toosley, Allison & Partners |