Wealthy Donors

Big gifts made a comeback in 2013, with America’s wealthiest philanthropists donating a total of more than $3.4 billion to charity, according to a new tally by The Chronicle of Philanthropy.

The largest donation came from Mark Zuckerberg and his wife, Priscilla Chan. The couple announced in December that they had provided 18 million shares of Facebook stock, valued at more than $990 million, to the Silicon Valley Community Foundation.

So many nonprofit leaders come to me searching for “big donors.” They seem to think that there’s a pool of donors pining around at some cocktail party, wondering where they can give all the wealth they’ve amassed!

When I ask them why they want “big donors,” they tell me they want: funding, financial stability, less stress and the ability to focus on their mission.

The ugly truth is the best place to find more big donors is by asking your current big donors.

Among other obvious things, December is a time for reflection on the past year and predictions for the coming year. There have already been some great forecasts about what 2014 will bring the social change sector (here, here and here). And as is my tradition, I want to add my thoughts about the trends to watch in the coming year. Here’s what I think we should watch for in 2014 …

The first international Million Dollar Donors Report (MDDR) was released by Coutts and the Indiana University Lilly Family School of Philanthropy. It analyses $1 million-plus giving by donors in 2012 in six regions around the world: the United States, the United Kingdom, Russia, the Middle East (Gulf Cooperation Council nations), China and Hong Kong.

The data in the new international report was collected by institutional partners in each country from a combination of publicly available sources and, in certain contexts, from surveys of prominent donors and charities.

Fidelity Investments released results of its sixth Fidelity Millionaire Outlook, an in-depth survey analyzing the investing attitudes and behaviors of millionaire households. A key finding is that Gen X/Y millionaires are generous with time and money, averaging $54,000 in donations to charity each year and having a higher likelihood to volunteer or serve on a nonprofit board than baby boomers (82 percent vs. 49 percent).

In the July 2008 issue, writer Karen Climer told readers, "Like it or not, the majority of our major-gifts prospects simply are not impressed with our technical knowledge. Instead, they want a birthday card, a phone call or a heartfelt thank-you," in her article, "45 Easy Ways to Cultivate High-Value Donors."

Giving money away to good causes is the most satisfying part of life for at least half of America’s millionaires and billionaires, according to a survey released Tuesday by U.S. Trust, a subsidiary of Bank of America. Philanthropy ranked highest for a bigger share of the rich than the possessions and lifestyle that come with wealth, according to the study of 711 people with at least $3 million in assets beyond their home. Young rich people were more likely than others to cite philanthropy as the best part of wealth.

Ted Hart speaks with Claire Costello, national philanthropic practice executive for Philanthropic Solutions at the U.S. Trust Bank of America Corp., about the Bank of America High Net Worth Philanthropy Study.

Megaphilanthropy last year remained below levels seen before 2007’s economic shock, according to a new Chronicle of Philanthropy study. The top 50 donors on The Chronicle's list committed a total of $7.4 billion to charity in 2012. The median gift was $49.6 million, down significantly from 2007’s high of $74.7 million. Most of the money went to big, elite institutions. Seventy-two percent of the dollars pledged supported higher education, arts and culture, hospitals, and private foundations.

America’s billionaires gave less in 2012 than in 2011, a new Chronicle of Philanthropy tally shows. The largest gifts announced by American philanthropists in 2012 totaled nearly $5.1 billion, but $3 billion of that was from Warren Buffett’s promise in August to give stock valued at $1 billion to each of three foundations run by his children.

Without Buffett’s pledges, the biggest gifts announced in 2012 would have totaled only $2 billion — far less than 2011’s $2.6 billion.