The spirit of year-end giving, a hallmark of American life, is facing a profound and persistent decline. New data reveals that the number of Americans donating to charity is shrinking, setting the nation on course for a fifth consecutive year of falling donor participation. While the political climate under President Donald Trump has drawn scrutiny, the roots of this philanthropic slump run deeper, involving economic anxieties, shifting religious habits, and a growing reliance on a tiny group of ultra-wealthy givers.
A Multi-Year Decline in American Generosity
The trend is clear and concerning. According to the Fundraising Effectiveness Project (FEP), the number of donors in America fell by approximately 3% in the first nine months of 2025 compared to the same period in 2024. This is not a sudden blip but part of a longer-term pattern. The FEP notes that the share of Americans who give to charity has been contracting for at least a decade, including periods when Trump was not in the White House.
The retreat from giving is evident even among the affluent. A Bank of America survey indicates that the proportion of households with a net worth exceeding $1 million who made charitable contributions dropped from 91% in 2015 to 81% in 2024. This collective pullback is squeezing non-profit organisations, which are now relying on a dwindling pool of supporters to sustain their work.
Beyond Politics: The Economic and Social Drivers
Although President Trump's rhetoric and policies have created a challenging environment for some charities, analysts caution against a simplistic explanation. Thad Calabrese of New York University points out that contributing to certain causes in today's America can feel like "putting a bullseye on your back," especially after the White House's actions against networks accused of supporting domestic terrorism, which included some charitable foundations.
However, the most commonly cited reason for not donating in 2024 was more personal: affordability. Despite real wage growth, surveys show deep-seated anxiety about the cost of living. A McKinsey consultancy poll in November found nearly half of respondents worried about rising prices, with a quarter concerned about making ends meet. Walter Kerr of Unlock Aid observes that this financial pressure means America's middle class no longer feels secure enough to give generously.
A parallel decline in religious faith is also taking a toll. America's historical religiosity has long fuelled its generosity, with practices like tithing and zakat encouraging giving. However, Gallup reports that faith is declining faster in the US than in any other country it tracks. Consequently, donations to religious groups, which once constituted the majority of charitable giving, fell to less than a quarter of the total in 2024.
The Rise of the Mega-Donor and an Uncertain Future
In response to this broad-based decline, the non-profit sector is increasingly dependent on a small cohort of extremely wealthy individuals. FEP data highlights this stark concentration: in the first nine months of 2025, "supersize" givers (those donating $50,000 or more) represented a mere 0.4% of all donors but contributed over 50% of total donations.
Some prominent philanthropists have responded to the political climate by ramping up their giving. The Gates Foundation announced a monumental $200 billion commitment over the next two decades, while MacKenzie Scott revealed a $7 billion bounty of gifts this year. However, these monumental acts may not inspire the average citizen. The new tech super-rich are often focused on wealth creation, not distribution, and the "effective altruism" movement has retrenched following the fraud conviction of its chief backer, Sam Bankman-Fried.
The overall picture remains strained. The Giving USA report noted that total charitable giving in 2024, adjusted for inflation, grew by only 3.3% to just over $590 billion, following a post-pandemic decline. Compounding the problem, government funding is receding, with global official development assistance falling in 2024 for the first time in six years. As Amir Pasic of the Indiana University Lilly Family School of Philanthropy hopes for a "dollars up, donors down" outcome, the future of American generosity hangs in the balance, sustained less by a culture of widespread giving and more by the cheque books of a powerful few.
