Philanthropy Outlook 2024

In this episode of the First Day Podcast, host Bill Stanczykiewicz, Ed.D. is joined by Jon Bergdoll, Associate Director of Data Partnerships from the Indiana University Lilly Family School of Philanthropy, who offers insights into the expected trends in charitable giving over the coming years. Jon discusses a study that looks at the intricate relationship between economic factors and philanthropic behaviors. While emphasizing the importance of fostering strong donor relationships, the discussion highlights the significant influence of economic indicators, such as wealth metrics and personal income levels, on shaping charitable contributions. The study forecasts a 4% growth in total charitable giving for both 2024 and 2025, adjusting for inflation, indicating stability in the philanthropic landscape despite recent economic fluctuations. Notably, foundations are expected to experience robust growth, driven by the expansion of their asset bases. Projections suggest a substantial increase in foundation grants by 10% in 2024 and 5% in 2025, underscoring their pivotal role in driving philanthropy forward. Conversely, individual giving is anticipated to grow at a slower pace of around 3% annually, reflecting broader economic trends such as wage growth and income disparities. Corporate giving is also expected to rise, albeit at a more modest rate compared to foundations and individuals. The episode emphasizes the importance of incorporating inflation into fundraising budgets to ensure nonprofits remain financially resilient amid an evolving economic landscape. Overall, the episode provides valuable insights into the complex interplay between economic factors and charitable giving behaviors, offering strategic guidance for organizations navigating the philanthropic landscape in the years ahead.