While total charitable giving reached a record $617.2 billion, data from Giving USA indicates that individual contributions are shrinking as a share of the total. Households are moving away from traditional, large-sum donations, favoring a more intentional approach to philanthropy. Roughly 75% of respondents in both nations now prioritize long-term, measurable impact over immediate, short-term relief. There is also growing skepticism regarding traditional fundraising; approximately 70% of donors feel that charities focus too heavily on solicitations rather than proving the efficacy of their programs.
Rising Costs Force Shift Toward Small-Dollar Philanthropy
More than 4 in 5 adults in the U.S. and the UK report that cost-of-living pressures are actively preventing them from donating to charity. A new survey from Kiva and The Harris Poll reveals an affordability crisis, yet finds that a significant majority of households still prioritize charitable giving despite tighter budgets.
This landscape is fueling a demand for accessibility and collective action. Nearly three-quarters of surveyed adults find recurring, small-dollar contributions of $25 or less more sustainable than singular large gifts. Kiva CEO Vishal Ghotge notes that the current environment requires nonprofits to embrace transparency and welcome participation at any level. By combining grassroots, small-dollar lending with larger institutional capital, organizations are attempting to adapt to a donor base that increasingly prefers to engage through community-led efforts rather than simple check-writing.
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