According to Giving USA, individuals, endowments, foundations, and corporations gave an estimated $557.16 billion to U.S. charities in 2023. The holiday season is a great time to review your giving strategy.
Trends in Giving
The 2023 Bank of America Study of Philanthropy found that 85% of wealthy households gave to charity in 2022, with average gifts rising 19% above pre-pandemic levels. Those who volunteer are more likely to give financially, and their median gift is nearly four times larger than non-volunteers.
Choosing a Charity
Research organizations using Charity Navigator, GuideStar, or the BBB Wise Giving Alliance. Look for transparency, clear mission, and measurable impact.
Tax-Smart Giving Strategies
- Donate appreciated securities instead of cash to avoid capital gains tax
- Use a donor-advised fund for flexible, strategic giving
- Make a Qualified Charitable Distribution (QCD) from your IRA if you’re over 70½ to satisfy your RMD tax-free
