As nonprofits and industry groups report a decrease in donations compared to previous years, the upcoming GivingTuesday event is expected to have a bigger impact than usual. GivingTuesday, which originated as a hashtag in 2012, has grown into one of the largest fundraising dates on the calendar. Many organizations will be running matching campaigns, where supporters pledge to double or triple the donations of smaller donors. Tim Pries, who runs a small production studio in the Bay Area, matches employee gifts to nonprofits of up to $1,000 and emphasizes the exponential effect of these matches, stating that "a little bit goes a much longer way, especially on that day."

The end of the calendar year is a significant time for charitable giving, coinciding with the holidays and when donors consider the tax benefits of giving. Organizations offering donor-advised funds, such as Fidelity Charitable, host webinars and release reports to encourage account holders to consider their giving plans. Amy Pirozzolo, head of donor engagement at Fidelity Charitable, predicts that grants from their donors will increase compared to last year, with $9 billion already granted as of October. The end-of-year bump typically accounts for 30% of the total grants. In 2021, Fidelity Charitable's DAF accounts granted $11.2 billion. Pirozzolo expresses optimism about the year-end giving.

However, this positive outlook for end-of-year giving contrasts with warnings from organizations like the National Council of Nonprofits, which reported in August that many organizations anticipate a decline in financial support this year. This follows the trend of charitable giving in 2022, which experienced its fourth decrease in 40 years. Additionally, the Giving USA report reveals that fewer people are donating overall, with less than half of Americans giving to charity in 2022, compared to over two-thirds in 2000. However, affluent Americans continue to contribute more, as the 2023 Bank of America Study of Philanthropy indicates that households with a net worth of over $1 million or an annual income of over $200,000 are giving 19% more than before the pandemic.

Due to these diverging trends, many organizations will focus on targeting their wealthiest supporters. However, economic factors like high interest rates, a sluggish stock market, and persistent inflation may also affect the donations of even affluent individuals. On the other hand, some nonprofits aim to rally support from the communities they serve, utilizing GivingTuesday as an opportunity for outreach. LIVE; Indiana, a nonprofit in Fort Wayne that focuses on suicide prevention among young people, has been preparing for GivingTuesday by launching social media campaigns and reaching out to former donors. They emphasize the importance of educating people on why it's crucial to support their organization.

Ciara Coleman, who works for a large philanthropic foundation, established a giving circle called Geaux Girl Giving in New Orleans to support women and girls in her community. Coleman felt that her community was often overlooked in philanthropic decision-making and wanted to reshape philanthropy. Since its founding in 2021, Geaux Girl Giving has donated $50,000 in grants ranging from $1,000 to $5,000 to 30 organizations. Coleman and the other members also volunteer, serve as mentors, and leverage their networks to support their grantees and those they serve.

Ultimately, many donors are motivated to give by personal connections to causes or issues or because someone they know asks them. Jacob Qualls, a business consultant in Chicago, supports education, disaster relief, and medical research. While he wasn't specifically planning to donate on GivingTuesday, he mentioned that if an organization or someone he knows reaches out, he may respond. Qualls finds other occasions, such as the 100th anniversary of his fraternity chapter or fundraising efforts by his alma mater, Morehouse College, to be more compelling.

The Associated Press (AP) covers philanthropy and nonprofits with support from its collaboration with The Conversation US, funded by Lilly Endowment Inc. For more philanthropy coverage from AP, visit their website.