Carolyn's Nonprofit Blog

Women and philanthropy are a topic of crucial importance to the nonprofit sector, and increasingly so as time moves forward. What motivates women to give to charity, and how is it different from the way men approach philanthropy?

I was encouraged to read the UBS report, “Women’s Wealth 2030.”

“In personal and professional realms, women hold the key to political, economic and social salvation post-pandemic. This female future will recalibrate entrepreneurship and funding around a new set of priorities that will force governments and businesses to reform
global agendas.”

Martin Raymond, co-founder, The Future Laborator

While challenges remain for women globally and are well documented in the UBS report, there is inspiration as well. “The next generation of females seeks not only returns, but also purpose. They don’t just want more, they want better. This is not just about money for them. This is about meaning, connection, leaving a legacy for the next generation and making a difference in the world,” notes Anna Zakrzewski, managing director and partner, BCG.

Did you know, women are expected to inherit 70% of the wealth that will be passed down over the next two generations and will become increasingly influential as they teach their children about money, legacy and investments. As a result of COVID-19, 49% of women in the United States are discussing inheritance with their children, according to a survey conducted by UBS.

It has been observed for several years that women give to charity more than men, and “in some income groups, almost twice as much.” MarketWatch discussed this trend in, “Wealthy Women Are More Likely to Donate to Charity Than Wealthy Men” (2018), an article by Leslie Albrecht. “Some 93% of high-net-worth women gave money to charity last year, compared to 87% of high-net-worth men, according to the 2018 U.S. Trust Study of High Net Worth Philanthropy. Women were also more likely to volunteer their time: 56% did so, compared to 41% of men.”

I follow WealthX (a division of Altrata), which produces an annual report on, “Ultra High Net Worth Philanthropy.” I share two sample charts below from the 2024 report. They note in the Executive Summary:

“Donors with a very high affinity for philanthropic giving are different. Focusing on the top 20% of UHNW donors who have donated the highest proportion of their total wealth since 2018, we find that wealthy women are more likely to have a high affinity for giving. Also, there is no clear connection between an UHNW individual’s source of wealth and their charitable generosity, while liquidity is higher among UHNW high-affinity donors, comprising 46% of their wealth holdings on average.”

Altrata

Rockefeller Philanthropy Advisors notes, “The IRS reports that 43 percent of the nation’s top wealth holders are women. Top wealth holders are defined as individuals with assets of $1.5 million or more. These assets are valued in total at $4.6 trillion. As a whole, women control more than half of private wealth in the U.S.” And that figure is expected to grow.

When I first drafted this article, women and their influence on philanthropy were little studied. Today, that has changed. Please check out these helpful resources and follow them on social media to keep abreast of the latest developments. And as my nonprofit colleagues develop relationships with current and future donors, please remember the influential role women increasingly play!

Additional Information You Might Find Helpful

• BigCommerce, “Marketing To Baby Boomers: Understanding The Boomer Generation’s Buying Habits (To Sell To Them Successfully).“
• Candid, “Women Give More Than Men on Online Platforms, Study Finds” (April 23, 2020). While women currently tend toward smaller gifts online, they also support smaller nonprofit organizations, which is so important today. In fact, the majority of nonprofit organizations are considered “small” nonprofits. “The study found that online giving platforms make it easier for women to give to causes aligned with their values and interests by curating and helping identify potential recipient organizations. At the same time, the report notes that in order to appeal to women donors, platforms and nonprofits need to focus on building trust and community with donors — both online and offline.”
• CASE, “Time, Talent, Treasure: The Power of Female Donors in 2024” (November 14, 2023).
• Fidelity Charitable, “Millennial Woman’s Guide to Better Giving” (2021). Fidelity Charitable, “Women and Giving,” is a report you can download from the website. “Women today play a central role in philanthropy, leading charitable giving within their families, using their time and skills to advance causes within their communities, and embodying purpose and heart. Based on a survey of more than 3,200 people, our report highlights the different ways Millennial and Baby Boomer women give and how their philanthropic journeys are distinctive from men’s.”
• Caroline Fairchild for Fortune, “For Women, Being Rich is Not a Priority” (November 13, 2014). “When women are asked to imagine success, becoming extremely wealthy is not the first thing that comes into their minds. Instead, across countries and continents, mothers, daughters and wives are more concerned about financial security for their families.”