Alexandria, Va., (Feb. 25, 2019) United Way Worldwide today released Research Brief 2019, an analysis of charitable giving trends in the United States over the past decade.
United Way’s analysis shows a steady decline in the percentage of people giving to charity, with the greatest drop occurring among those taxpayers who do not itemize tax deductions.
- Taxpayers who itemize their taxes are twice as likely to donate to charity than those who do not
- 82 percent of itemizers donated to charity
- 40 percent of non-itemizers donated to charity
- Taxpayers who itemize give more than twice as much to charity as those who do not
- $3,504: average donation amount for taxpayers who itemize
- $1,329: average donation amount for non-itemizers
- Charitable giving among taxpayers who do not itemize is declining at a rate twice as high as those that itemize
Source: United Way analysis of Panel Study of Income Dynamics Philanthropy (PSID) survey data 2000-14, University of Michigan, https://psidonline.isr.umich.edu/.
United Way has been vocal in its efforts to revise the 2018 tax law that disincentivized itemization of taxes and led to a drop in the number of taxpayers who itemize by approximately 20 million. Historically, charities focused on human and social services, such as homeless shelters and family services, have been strongly supported by middle income workers who have itemized, and may have taken charitable deductions on their taxes.
“The decline in the numbers of donors is already having a negative impact on the charitable sector,” said Steve Taylor, Senior Vice President and Counsel for Public Policy, United Way Worldwide. “We believe the tax law will only accelerate this decline and hurt our most vulnerable communities who can least afford it.”
A key public policy priority for United Way is to change the tax law to reinstate charitable giving deductions to prevent further decline charitable donors. For more information, please visit: unitedway.org.
*United Way Research analyzed the most recent PSID data available, reflecting donor trends between 2000–14. This study focused on the financial behavior of this representative set of U.S. households, including those who donate to charity -- those who itemize, and those who do not itemize on their tax returns. About United Way
About United Way
United Way fights for the health, education and financial stability of every person in every community. Supported by 2.9 million volunteers, 9 million donors worldwide and $4.7 billion raised every year, United Way is the world’s largest privately-funded nonprofit. We’re engaged in 1,800 communities across more than 40 countries and territories worldwide to create sustainable solutions to the challenges facing our communities. United Way partners include global, national and local businesses, nonprofits, government, civic and faith-based organizations, along with educators, labor leaders, health providers, senior citizens, students and more. For more information about United Way, please visit UnitedWay.org. Follow us on Twitter: @UnitedWay and #LiveUnited.
Southerlyn Reisig, United Way
Tel. 703.836.7100 ext.321