What Influences Charitable Giving?

By Richard Shank

University of Berlin researchers published a study outlining the similarities and differences between charitable giving in the U.S. and Germany. The primary conclusion was that individuals possessing broad forms of social capital (e.g., education, civic and religious group memberships, money, etc.) are much more likely to give to charity than those without these resources.

In the U.S., the strongest predictors of charitable giving are religious affiliation and education. Church-going people give up to three times higher amounts than people with weak ties to a religious organization, and roughly 40% of the contributions go directly to religious congregations. Even considering this overwhelming proportion, religiously identified individuals are still more likely to give to non-religious organizations than people with no religious affiliation. Similarly, people with higher levels of education were more likely to engage in charitable giving.

Three other factors were found to be of considerable importance in the U.S.: professionalization, association membership, and cohort. First, the increased professionalization of fundraising has broadened the scope of charitable giving and made it easier for individuals with less money to donate. They have had a stimulating effect, as the author states, “for the very fact of being asked for a contribution is one of the best predictors of charitable giving.” Second, those who are active members of associations (especially those who fundraise) are more likely to contribute than non-members. Active members donate twice as often as non-members and give up to four times more money. Finally, in the U.S., there are considerable differences between different birth cohorts. Even when controlling for age and income, people born prior to WWII are more likely to give than younger generations. Sociologists argue that this generation came of age at a time when civic groups and volunteer associations were at their peak, thus providing them with greater outlets for civic engagement than baby boomers and subsequent generations (though this may be changing).

When it comes to giving, fundraisers should be looking for engaged individuals who are active members of civic and religious organizations. Now may be the time to be creative and work with partner organizations to tap joint membership lists.

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