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Boomers On Track To Give 20% More To Charity Than Average Donor Baby Boomers report that they will give more to charity in 2006 than in 2005, with average total donations of $6,000. This is the highest level among all generations surveyed and about 20 percent higher than the overall donor average of $5,000, according to a new nationwide survey by the Fidelity® Charitable Gift FundSM1, which is one of the nation's largest public charities and has the largest donor-advised fund program in the United States2. The Gift Fund's survey indicates that the 78 million Baby Boomers in the United States are on track to give approximately $100 billion to charity in 2006, a 25 percent increase over last year's estimated $79 billion3 in charitable donations by the Boomer generation. "With one of the biggest giving months still to come, our research shows that 2006 is already on track to be a great year for charitable giving and this information aligns with the giving activity we are seeing at the Gift Fund," said David L. Giunta, president of the Fidelity Charitable Gift Fund. "Boomers continue to have a significant impact on philanthropy, and many of them believe that it is a feeling of social responsibility that motivates the average donor to make charitable contributions." Retirement Funding Concerns Seeping into Philanthropic Mindset While the greatest share of working donors (43 percent overall, and 47 percent of Baby Boomers) believe they will have to cut back their giving amounts after they retire, only 20 percent of retirees (age 60 and over) actually had to do so, and another 32 percent were able to donate more. Donor concerns over their ability to give in retirement come at a time when individuals are increasingly being burdened with financing their own retirement, which could include higher retiree health care costs and uncertainty around pension and Social Security benefits. "People often underestimate what they'll be able to give in retirement, so we're not surprised that donors are thinking more conservatively about their future capacity to give," said Giunta. "That's why it's important for charitable giving to be part of an overall financial plan, so that charitably inclined individuals can gain a more holistic view of their financial situations and ensure they have a plan in place that will allow them to continue giving throughout their lifetimes." Generation X Hearing More About Giving From Parents The Gift Fund survey also revealed that some generational differences in giving may be emerging, driven in part by whether parents discuss charitable giving with their children. Only 34 percent of Boomers report that their parents discussed the importance of charitable giving with them more than a few times (in total) while growing up. The Gift Fund's research also shows that more than half (52 percent) of younger donors (ages 25-39) are taking the time to carefully plan their giving each year. Nearly three-quarters (73 percent) of this group plan to give more of their paycheck to charity over their lifetimes than their parents did. Correspondingly, parental discussions on charitable giving were most common among younger donors, with almost half (46 percent) saying their parents spoke about it with them at least annually. And not surprisingly, younger donors report that their giving behavior is impacted most often by their parents (26 percent). "While Boomers continue to be the largest givers, it's important to note that younger donors are hearing more about the importance of charitable giving while growing up, and it appears to be having a positive effect on their desire to give back -- something that bodes well for the future of philanthropy," said Giunta. Fidelity Charitable Gift Fund Continues to See Giving Increase Overall grants to charity from the Fidelity Charitable Gift Fund were at record levels through November of 2006. Granting surpassed $945 million for the 12 months ended November 30, up nearly 13 percent over the same period a year ago. Contributions to the Gift Fund for the same period were $1.2 billion, up approximately 21 percent year-over-year. Additionally, Gift Fund donors have now recommended grants totaling more than $6.4 billion to more than 100,000 nonprofit organizations since the Gift Fund's inception. In an effort to make the benefits of donor-advised funds more accessible, the Gift Fund recently lowered its initial contribution and grant recommendation minimums. The minimum initial contribution to the Gift Fund to establish an individual Giving Account® was reduced by 50 percent to $5,0004. The grant recommendation minimum dropped from $250 to $100. About the Fidelity Charitable Gift Fund Survey The Fidelity Charitable Gift Fund conducted the Giving Survey to better understand the motivations and behaviors of individual donors who give to charity and specifically how personal giving differs across generations. Interviews were conducted online between September 27 and October 4, 2006, by Opinion Research Corporation, an independent research firm, from a random sample of 1,015 individuals 25 years or older, with an expected 2006 minimum cash/securities donation of at least $1,000 for those 30 years and older and $250 or more for those under 30 years old. About Fidelity Charitable Gift Fund The Fidelity Charitable Gift Fund is one of the nation's largest public charities and has the largest donor-advised fund program in the country2. The Gift Fund was established by Fidelity Investments® in 1991. The mission of the Gift Fund is to further the American tradition of philanthropy by providing programs that make charitable giving simple and effective. Since the Gift Fund's inception, more than 40,000 donors have recommended grants totaling more than $6.4 billion to more than 100,000 nonprofit organizations nationwide, as of November 30, 2006. For more information on the Fidelity Charitable Gift Fund, visit http://www.charitablegift.org.         By K.S. Date 17-12-2006 Print this article | Send to a friend | React to this article Your advertisement here