101 posts categorized "Giving"

Most Popular PhilanTopic Posts (January 2019)

February 01, 2019

The weather outside is frightful, but we've got some January reads that are downright insightful. So grab a throw, a cup of your favorite warm beverage, and enjoy.

Interested in contributing to PND or PhilanTopic? We'd love to hear from you. Drop us a note at mfn@foundationcenter.org.

The More You Know, The Greater the Impact of Your Giving

January 26, 2019

Keep-calm-and-make-informed-giving-choicesAccording to the latest edition of Giving USA, charitable giving in the U.S. exceeded $400 billion in 2017, a record. And in each of the four categories covered by the report – giving by individuals, by foundations, by bequest, and by corporations — the numbers were up, continuing recent trends.

As 2019 begins, donors need to start thinking about their giving — and the things they can do to ensure it has impact. One thing they can do is identify organizations most likely to deliver and/or create value for their clients. How?

Here are a few suggestions:

Find organizations whose work aligns with your goals. To ensure your charitable gifts are deployed effectively, head over to a site like Charity Navigator, America's largest independent charity evaluator, for objective ratings designed to help you find charities you can trust. Your research should focus on organizations whose missions align with your own goals and objectives. GuideStar is another good source of information on nonprofits.

A little Google goes a long way. A simple Google search not only will point you to an organization's website, it can also reveal information about the organization's reputation. Are there reports out there critical or questioning of its work, its leadership, its finances? Media outlets often report on charities that have violated the trust of their donors, like this report by CNN.

Check the metrics. Ask the following when evaluating the donor-worthiness of an organization:

  • Does it rigorously and consistently measure and report its results?
  • Do those results make sense?
  • Do you believe it is being transparent and honest about its results?

Charity Navigator describes in detail how to assess a charity's level of transparency. Look for statistics and information like this on the organization's website. Annual reports should be simple to understand and offer some information about the organization's impact. Holding nonprofits accountable for their results is something every donor should do.

How transparent is the organization about its finances? U.S.-based charities with tax-exempt status are required by law to file federal tax Form 990. They're also required to have their finances audited. Good nonprofits should make it easy for you to find and access multiple years of their audited financial statements and tax filings. (GuideStar is a great place to start.) If you have trouble finding an organization's 990 online, ask it to send you a copy; the speed with which the request is filled will tell you much about the organization's commitment to transparency.

Check an organization's operating and fundraising costs. "Overhead" is the necessary cost of doing business, for nonprofits as much as for for-profit businesses — it's what enables an organization to keep the lights on, pay its staff, and deliver on its mission. But not all overhead is created equal. Look at a charity's 990 tax returns to determine how much of its budget goes to overhead and fundraising and how much goes to programs and then compare that to the ratio for other organizations doing the same kind of work. The organization's annual report should provide you with this information, but if it doesn't, ask.

Look at the organization's leadership. What do you know about the people who lead the organization? The more you know, the more confident you can be in your giving decisions. A study published in Ivey Business Journal identified both personal and organizational traits and behaviors that should define today's nonprofit organizations and leaders, executives and board members alike. They include:

  • A commitment to financial stability and responsibility
  • A commitment to diversifying and/or expanding service offerings
  • A knack for identifying and addressing competitive challenges
  • A knack for identifying and addressing operational/effectiveness challenges
  • A commitment to building technological capacity
  • A commitment to increased transparency and accountability
  • A commitment to strengthening alignment with the board
  • An ability to develop a pipeline of young, diverse leaders

Can charities recover costs and still be charities? Many charities are able to recover a portion of their costs without sacrificing the quality of their services — an added incentive for donors committed to ensuring the sustainability of the organization and its work. For example, some charities charge their beneficiaries a nominal fee for services, which has the benefit of ensuring that the organization's services are truly wanted while giving beneficiaries more control over the provision of those services. Organizations should always be looking for financially sustainable strategies that are viable beyond the period covered by a donor's gift. My organization breaks down financial sustainability into three buckets: cost recovery, cross-subsidization, and profitability. The benefits in terms of our programs are obvious, enabling them to have greater impact with commensurately less reliance on individual donors.

Evaluate donor dependency. Donor dependency is a measure of how much a nonprofit relies on the contributions of individual donors to fund itself. According to Forbes, the average for a small sample it analyzed was 86 percent, meaning that the typical charity in the sample was able to bank 14 percent of its fundraising revenue for the future. If one is searching for a nonprofit that can survive a crisis or economic downturn, a rating below 100 may indicate it has substantial financial reserves or diversified revenue streams that make it more resilient when times get tough.

Look for an entrepreneurial mind-set. Nonprofits have evolved a great deal over the last twenty-five years, and many have adopted best practices from the private sector in an effort to improve their results and maximize the cost efficiency of their operations. The advantages of these kinds entrepreneurial strategies are many.

In short, as you're thinking about your giving in 2019 — and beyond — look for charities and nonprofits that inspire confidence in their ability to deliver innovative, services cost effectively and achieve real, lasting results.

Headshot_christopher_purdyChristopher Purdy is president and CEO of DKT International. From 1996 to 2011, he served as country director of DKT programs in Turkey, Ethiopia, and Indonesia, where he managed the largest private social marketing family planning program in the world. His professional interests include social marketing, global health, and socially responsible capitalism.

New Year's Eve Roundup (December 31, 2018)

December 31, 2018

Happy_new_yearHere's our final roundup of the year. Wishing everyone a peaceful and prosperous New Year! For more links to great content, follow us on Twitter at @pndblog....

Economy

No one has ever confused private equity with charity. That's not a surprise. As the Ford Foundation's José García and Xavier de Souza Briggs remind us: "One of the functions of private equity investment is to finance early-stage ideas and companies. Another is to help transform mature companies, for greater competitiveness....But too often," they add, "we have seen private equity funds focus narrowly on maximizing profits through leveraged buyout practices that come at the expense of disadvantaged workers, families, and communities." Must that always be the case? And is there any reason to hope that private equity investors might do something different to address the needs of displaced workers? In a post on the foundation's Equal Change blog, García and de Souza Briggs share a tale that provides a glimmer of hope.

Eillie Anzilotti, an assistant editor for Fast Company's Ideas section, shares seven things we, as a country, can do to create a more inclusive economy.

Fundraising

On the GuideStar blog, veteran fundraiser Barbara O’Reilly, CFRE, looks back at the year just passed and identifies some reasons for concern: giving in each quarter fell about 2 percent on a year-over-year basis, and the number of donors in the first half of the year fell about 7 percent (compared to same period in 2017). Just as importantly, donor retention rates dropped by 4.6 percent. As people start to file their 2018 returns, nobody knows how changes to the tax code will affect giving, but O’Reilly has some sound advice for nonprofits hoping to navigate the next twelve months unscathed.

Giving

Does taking pleasure in giving to others make us selfish? In Psychology Today, Kristin Brethel-Haurwitz, PhD, and Abigail Marsh, PhD, suggest that "it is our fundamentally caring nature that moves us to help others, and that feeling good may be merely a lucky and foreseeable outcome of giving, rather than its purpose — a critical distinction."

Urban Institute vice president Shena Ashley shares three trends in 2018 that could shape/reshape charitable giving in the years to come.

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Weekend Link Roundup (December 8-9, 2018)

December 09, 2018

F2abfbb4-60b6-4641-ae9f-37fc3299453b-Dole_BushA weekly roundup of noteworthy items from and about the social sector. For more links to great content, follow us on Twitter at @pndblog....

Children and Youth

Here on PhilanTopic, the Heising-Simons Foundation's Barbara Chow, and Shannon Rudisill, executive director of the Early Childhood Funders Collaborative, discuss  the results of a joint effort to map the last ten years of philanthropic giving in the field of Early Childhood Care and Education

Climate Change

On the Surdna Foundation site, Helen Chin, director of the foundation's Sustainable Environments program, explains how a recent rethinking of the program was an "opportunity to build community resilience...in partnership with grantees working at the frontlines in communities of color — communities hardest hit by climate change, disinvestment, and racist planning practices."

A caravan of Central American migrants "seeking relief from a protracted drought that has consumed food crops and contributed to widespread poverty," hundreds of millions of people in India at increased risk of not having enough water, prolonged drought in the Horn of Africa that has "pushed millions of the world's poorest to the edge of survival" — all, writes Landesa's Karina Kloos, "are stark reminders that the most severe consequences of climate change are being inflicted upon people living in the Global South...."

Former New York City mayor Michael Bloomberg traveled to Iowa this week to take the temperature of Democratic primary voters and while there vowed to make climate change "the issue" of the 2020 presidential race. Trip Gabriel reports for the New York Times.

Criminal Justice

A new report funded by the Laura and John Arnold Foundation found that the arrest rate for California has dropped 58 percent since 1989, reaching a historic low of 3,428 per 100,000 residents in 2016. The report also found that individuals who are arrested tend to be nonwhite, younger, and male; that racial disparities in arrests have narrowed; that overall declines are mainly due to plummeting arrest rates for juveniles and young adults; and that women account for nearly a quarter of all arrests.

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Weekend Link Roundup (November 17-18, 2018)

November 18, 2018

61ucszqqXOL._SX425_A weekly roundup of noteworthy items from and about the social sector. For more links to great content, follow us on Twitter at @pndblog....

Evaluation

On the Center for Effective Philanthropy blog, Jehan Velji and Teresa Power of the Edna McConnell Clark Foundation share one of the lessons the team there has learned as the foundation pursues its limited-life strategy: the most important goal of evaluation is not to determine whether a program works or doesn't work, but to discover how to make a program work better over time.

Giving

Giving Compass, a nonprofit platform that is "organizing the world's information to make it easier to give well," recently celebrated its one-year anniversary. Interim CEO Stephanie Gillis reflects on what she and her team have learned over the last twelve months.

Guest blogging on the GuideStar blog, the Identity Theft Resource Center shares a few tips designed to help you avoid scammers and keep your personal data safe this giving season.

Health

Inadequate access to quality health care is a big problem in many rural areas. On the Robert Wood Johnson Foundation's Culture of Health blog, Melissa Bosworth, executive director of the Eastern Plains Healthcare Consortium, a five-hospital in Hugo, Colorado, shares five recommendations for anyone interested in improving rural health access and equity.

Nonprofits

Nonprofit leaders need to stop saying "There's only so much money to go around," writes Vu Le on his Nonprofit AF blog. It's "a counter-productive self-fulfilling prophecy" that jeopardizes the future of your organization — and besides, your communities deserve better.

In the same vein, Nell Edgington shares some thoughts about how nonprofits can break through the financial glass ceiling — a level above which the money just won't grow —  that seems to exist for so many of them.

Looking for a good read this holiday season? Check out this list from Beth Kanter of books that should be on every nonprofit professional's reading list.

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Impact Investing and Donor-Advised Funds

September 11, 2018

Inv.env.650pixAs interest in (and assets dedicated to) impact investing grows, institutional investors, foundations, and philanthropists alike are looking for an entry point into the rapidly growing field. At the same time, growing numbers of social entrepreneurs are looking to savvy investors and high-net-worth individuals as a potential source of funding.

Both groups have identified a compelling intersection of interests in the form of donor-advised funds (DAFs) that specialize in impact investment management and distribution. Charitable assets in donor-advised funds totaled $85 billion in 2017, and awareness of DAFs has grown significantly over the last five or six years. In fact, today there are three times as many donor-advised funds in the U.S. as there are private foundations.

While still just a fraction of the total, a handful of impact-focused donor-advised funds are seeking to bridge what Ayesha Khanna of the Points of Light Foundation calls "the pioneer gap" — by which she means a lack of funding for early-stage impact ventures, supply and distribution constraints, growing demand for expertise and new talent, and the role of partnerships as a lever for scale.

Thanks to the still-nascent but growing philanthropic impact infrastructure built by organizations such as RSF Social Finance, Tides Foundation, ImpactAssets, and others, savvy donors are finding it easier than ever to make impact investments in social enterprises and early-stage social entrepreneurs. Here are six things they are learning along the way:

DAFs can multiply the impact of their philanthropic dollars: Grants are a critical tool for social change, but once grant dollars are deployed, they are gone. Capital that is deployed to an impact investment — either as a loan, equity, or debt — has the potential to be redeployed to meet changing needs.

Donors appreciate that as investment gains are returned to a donor-advised fund, those gains can be recycled into future investments or deployed as grants.

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Congress Introduces Bill to Revolutionize Philanthropy

August 27, 2018

When Americans picture a "philanthropist," they typically imagine a very wealthy individual — someone who gives billions of dollars away or establishes their own foundation.

Unfortunately, our tax code reinforces this stereotype by providing only the wealthiest Americans with tax benefits for giving back. Only taxpayers who itemize their deductions — those typically in the highest tax brackets — can lower their income taxes by giving to charity. Currently, about 30 percent of taxpayers fall into this category, but with the recent tax reform this number could drop to as low as 5 percent.

That would leave 95 percent of Americans who are denied the opportunity to lower their taxes by giving to charity. A bipartisan group of U.S. representatives has set out to prevent that.

FGA_image_0

On July 26, 2018, Rep. Erik Paulsen (R-MN) introduced a bill along with five co-sponsors that would help redefine the way America gives back by empowering a new class of Everyday Philanthropist.

The Everyday Philanthropist Act (H.R. 6616) seeks to empower working Americans to give back through a Flexible Giving Account (FGA). An FGA is a pre-tax payroll deduction for employee giving. Non-itemizers and itemizers alike would be able to set up an FGA through their employer, set aside a portion of their paycheck pre-tax to be donated to the charity of their choice, and immediately see their taxable income reduced. The employer would benefit as well from a reduction in its payroll taxes.

By empowering millions more Americans to give back, the legislation would dramatically increase charitable giving in the U.S. But the Everyday Philanthropist Act offers more than that.

The legislation represents a chance to initiate a major shift in the way America gives back. The FGA would encourage a culture of shared responsibility in the workplace, one in which employers assume a more impactful role in empowering their employees and the workplace is transformed into a community where employees at every income level feel inspired to give and engage.

With an FGA, tax-deductible giving would no longer be a privilege reserved for a select few. Instead, it would be an opportunity, attainable by all working Americans, to come together and create a positive impact in the communities they care about.

As a champion of the Everyday Philanthropist Act, The Greater Give will continue to work with members of Congress to encourage them to join Representative Paulsen in supporting this legislation and the millions of charities, businesses, and Americans who would benefit from it. The legislation has already garnered public support from many in the charitable sector, including Community Health Charities, America's Charities, and the Wisconsin Philanthropy Network.

To learn more about the Everyday Philanthropist Act and what you can do to support it, visit thegreatergive.org or follow The Greater Give on Twitter, Facebook, and LinkedIn.

Headshot_dan_rashke2_for_philantopicDan Rashke is the Founder of The Greater Give, a 501(c)(6) formed to increase charitable giving by cultivating a movement of shared responsibility between employers and their employees. Rashke also is the CEO of TASC, a third-party benefits administrator based in Madison, Wisconsin.

Weekend Link Roundup (July 21-22, 2018)

July 22, 2018

Trump_putin_afp_getty_yuri_kadobnovOur weekly roundup of noteworthy items from and about the social sector. For more links to great content, follow us on Twitter at @pndblog....

Animal Welfare

Nonprofit Chronicles blogger Marc Gunther reports on the return of Wayne Pacelle, the former Human Society of the United States CEO who was forced to step down from his position six months ago after "a flurry of accusations of sexual harassment led to revolts among donors and staff."

Civic Engagement

In the Stanford Social Innovation Review, California Endowment president Robert K. Ross argues that what America disparately needs is a "shared vision for [the] nation that is born from our communities and [a] new social compact to support that vision."

Education

Researchers from Northeastern University have put numbers to something many of us suspected: geography largely determines access to quality schools. In Boston, where the research was conducted, a lack of good schools in predominately minority neighborhoods means that students in those neighborhoods had "fewer top schools from which to choose, had greater competition for seats in those schools, were less likely to attend them, and had to travel longer distances when they did attend them." Sara Feijo reports for Northeastern News.

Diversity

On the Center for Effective Philanthropy blog, CEP's Ellie Buteau shares findings from a new CEP report, Nonprofit Diversity Efforts: Current Practices and the Role of Foundations, that was based on a survey of nonprofit leaders that asked them about diversity at their organizations and how foundations can be most helpful in this area.

Environment

The William and Flora Hewlett Foundation, a leading funder of conservation efforts in the American West, has announced a refresh of its grantmaking strategy for the region that includes a couple of new imperatives: listen more to grantees, partners, and communities; prioritize equity, inclusivity, and diversity; and take a systemic approach to policy change. Click here to learn more.

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'Skin in the Game' and the Importance of Board Giving

June 19, 2018

Skin_in_the_gameWhen we engage with new clients, we always begin with the imperative — up front and with clarity — that in order for a campaign or fundraising project to be successful, 100 percent board participation is required. Board members, as the legal stewards of an organization, must lead by example. And the impact of their participation goes well beyond the individual gifts themselves.

Nonprofit organizations rely on their boards for many things: governance and budgeting, guidance, community involvement and, of course, fundraising. Though some boards downplay the fundraising aspect, we believe it's essential that each board member be an active participant in ensuring the financial health of the organization on whose board they serve. The boards that waffle on this target by not articulating a clear expectation upfront are the ones that most often fall short of their fundraising and leadership goals. In fact, the majority of successful organizations report high board giving rates, while studies have found that board giving is more positively correlated with overall fundraising success than any other single factor.

Many boards have mandatory giving policies. According to a recent BoardSource survey, 68 percent of nonprofit organizations have a policy requiring board members to make a personal contribution on an annual basis. Some boards have a "give or get" policy that allows board members to either give a personal gift or to raise funds from family and friends equal to the amount of the required gift. We prefer a "give and get" approach, obligating a board member to lead with a personal investment and inspiring others by saying "join me," rather than outsourcing that responsibility to others.

Not every board has a policy that requires board giving. For those that do, the process is straightforward and requires a simple call to remind board members of their obligation. The process of new board member recruitment and orientation should include an early and candid conversation about fundraising expectations and financial obligations. Board leadership must set a good example by giving first and publicly announcing their gift as a way to encourage others.

Of course, board members may feel unmotivated to give, for any number of reasons. They might not understand why their contribution is necessary. Compared to major gifts, annual gifts from individual board members might seem inconsequential. If board giving is not a precondition of board membership, some board members may feel uncomfortable broaching the topic and will avoid asking because they feel embarrassed; they don't want to feel like they're pressuring their fellow board members, or stretching them beyond what they are able to do. Others may feel that contributing their time is sufficient and a gift isn't necessary. (While time is valuable, the giving of actual dollars by board members is important to the financial health of nonprofits and creates a culture of giving that may not develop otherwise.) 

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Weekend Link Roundup (June 9-10, 2018)

June 10, 2018

Justify_belmontOur weekly roundup of noteworthy items from and about the social sector. For more links to great content, follow us on Twitter at @pndblog.... 

Advocacy

On the CEP blog, Tim Delaney, president and CEO of the National Council of Nonprofits, wonders how "the 501(c)(3) community expect[s] different policy results if [it] continue[s] to ignore the urgent need to protect our common interests through defensive policy work? That's not an academic question," adds Delaney. "Right now, serious policy threats loom over foundations and nonprofits and demand immediate and aggressive pushback...."

Fundraising

Facebook -- remember them? -- has made it easier for people, companies, celebrities, and others to raise money on its platform. Fast Company's Melissa Locker explains.

Can nonprofits use design thinking to improve their fundraising results? Absolutely. Kathleen Kelly Janus, a social entrepreneur, author, and lecturer at the Stanford Program on Social Entrepreneurship, explains.

Giving

"Regrettably, [it is still common to] hear researchers and media equate generosity with individuals' or groups' formal charitable giving — that is, giving in, to, through, or for a charitable organization," writes Paul Schervish, retired founder and director of the Center on Wealth and Philanthropy at Boston College. But, adds Schervish, "[f]ormal giving is just one aspect of generosity — and when looked at historically and globally, not the most pronounced."

Health

In a post on the Commonwealth Fund's blog, Timothy S. Jost, an emeritus professor at the Washington and Lee University School of Law, explains how a new Trump administration court filing could lead to denial of coverage or higher premiums for the estimated 52 million Americans with preexisting conditions.

Higher Education

Is higher education in a bubble? And what does the future hold if higher ed's trajectory is "less of a sudden pop and more of a long, slow slide, and we are already on the way down?" Adam Harris reports for The Atlantic.

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Weekend Link Roundup (March 31-April 1, 2018)

April 01, 2018

Easter-eggsOur weekly roundup of noteworthy items from and about the social sector. For more links to great content, follow us on Twitter at @pndblog....

Arts and Culture

"Attaching a donor’s name to a building, courtyard, hallway, gallery or even a restroom in return for a significant contribution has been a growing practice since the 20th century, primarily influenced by the philanthropy culture of the [United States]." And today the practice is pervasive. But what does it mean to put a wealthy donor's name on a museum's door? Linda Sugin, associate dean for academic affairs and professor of law at Fordham Law School, explores the question.

In The Politic, Jack McCordick looks at how recent changes in the admission policies of New York City's Metropolitan Museum of Art may be changing it's role as "a place of refuge, a sanctuary in a city that also pledges to be one.”

Congratulations to Thelma Golden, director and chief curator of the Studio Museum in Harlem; Agnes Gund, president emerita of the Museum of Modern Art (MOMA); and sculptor Richard Serra, winners of this year's J. Paul Getty Medal.

Giving

Forbes Nonprofit Council member and Give.org president/CEO Art Taylor explains the benefits of spreading your giving efforts over the full calendar year.

We promise you'll enjoy this conversation between Marc Gunther and fundraising consultant (and DAF critic) Alan Cantor about whether giving is an affair of the head or the heart.

Inequality

Inequality won't solve itself. "Societies tend to become more unequal over time, unless there is concerted pushback," writes Sarah van Gelder in Yes! magazine. "Those who accumulate wealth — whether because of good fortune, hard work, talent, or ruthlessness — also accumulate power. And over time, the powerful find ways to shift the economic and political rules in their favor, affording them still more wealth and power...."

How much does luck have to do with the "logic and morality of inequality"? More than you think, argues Kaushik Basu, former chief economist at the World Bank, in an opinion piece on the Project Syndicate site.

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Weekend Link Roundup (March 24-25, 2018)

March 26, 2018

March for our lives_900Our weekly roundup of noteworthy items from and about the social sector. For more links to great content, follow us on Twitter at @pndblog....

Corporate Social Responsibility

In a post on Tech Crunch, Benetech founder Jim Fruchterman applauds BlackRock founder Larry Fink's decision to call out corporate America for its profits-only mindset. In a letter delivered to the CEOs of some of America's largest companies, Fink warns that record profits are no longer enough to garner BlackRock’s support. Instead, "[c]ompanies must benefit all of their stakeholders, including shareholders, employees, customers, and the communities in which they operate.” And two ways they can start to do that, adds Fruchterman, is to 1) put people before algorithms, and 2) treat diversity as their greatest asset.

Fundraising

Is perfectionism hampering your organization's fundraising efforts? "Instead of pursuing perfection," writes Forbes contributor David King, "set your sights on recognizing when good enough is good enough, and start making real progress on your [next] campaign."

What's the best way to get donations from millennials? Moceanic's Sean Triner shares some tips designed to help you "get them while they're young."

Giving

"Charitable giving is not like buying shares of stock or being a venture capitalist," writes Alan Cantor in a new essay on the Philanthropy Daily blog. Whereas "[i]Investors want to know about market conditions, debt ratios, and market share," it is "fiendishly difficult to come up with those kinds of measures for charitable organizations...."

With the federal deductability of state taxes a thing of the past, should high-tax states like New Jersey start thinking about creating a state charitable deduction? The Community Foundation of New Jersey's Hans Dekker thinks so.

Grantmaking

Have you ever taken the time to think about how your funding portfolio might look if your RFP process was designed to be more equitable and inclusive? On Foundation Center's Transparency Talk blog, E.G. Nelson, community health and health equity program manager at Blue Cross and Blue Shield of Minnesota's Center for Prevention, explains how a recent equity scan conducted by the center led to changes in its RFP process.

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Weekend Link Roundup (February 10-11, 2018)

February 11, 2018

Market_3275653kOur weekly roundup of noteworthy items from and about the social sector. For more links to great content, follow us on Twitter at @pndblog....

Corporate Social Responsibility

What if boycotts — punishing companies for perceived anti-social or -environmental practices by refusing to buy their products or services — isn't the most effective way to change corporate behavior? A new report from public relations firm Weber Shandwick suggest that "buycotts" — in which consumers actively support companies that model pro-social behavior — are overtaking boycotts as the preferred mode of consumer activism. Eillie Anzilotti reports for Fast Company.

Economy

In the New York Times, Kevin Roose profiles self-declared 2020 presidential candidate Andrew Yang, who tells Roose, "All you need is self-driving cars to destabilize society....[W]e're going to have a million truck drivers who are out of work [and] who are 94 percent male, with an average level of education of high school or [a] year of college. That one innovation will be enough to create riots in the street. And we're about to do the same thing to retail workers, call center workers, fast-food workers, insurance companies, accounting firms."

Giving

The 80/20 rule, whereby 80 percent of charitable gifts come from 20 percent of the donors, seems like "a quaint artifact of a simpler time," writes Alan Cantor in Philanthropy Daily. These days, the more accurate measure is probably closer to 95/5  and, according to the authors of a new report on giving, it's headed toward a ratio of 98/2. What's a nonprofit leader to do? "[G]o where the money is. Try not to sell your souls to your top donors, and do your best to maintain a broad constituency of supporters. "

In the Stanford Social Innovation Review, Heather McLeod Grant and Kate Wilkinson argue that, with a new generation of donors arriving on the scene, "we need to pay more attention to how values around philanthropy pass from one generation to the next and how that initial spark of generosity awakens — factors that most nonprofits can’t influence but should heed to as they cultivate donors."

Broadening access to college and increasing college completion are imperative, but they are not enough, argues Peter McPherson, president of the Association of Public and Land-grant Universities and president emeritus of Michigan State University, if students who complete a degree are not ready for employment.

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Weekend Link Roundup (February 3-4, 2018)

February 04, 2018

AP-Groundhog-Day.3Our weekly roundup of noteworthy items from and about the social sector. For more links to great content, follow us on Twitter at @pndblog....

African Americans,

"It's obvious," writes Andre Perry on the Hechinger Report site, "that black history is needed all year long. But white history as we know it can no longer be the standard in a multicultural society, which is supposed to maximize the potential of all of its members."

Arts and Culture

Janet Brown was named executive director of Grantmakers in the Arts in December 2008 and retired from that post in December. On his blog for the Western States Arts Federation, Barry Hessenius talks with Brown about what has changed in arts philanthropy, GIA's racial equity work, and the current status of creative placemaking efforts in the U.S.

Civil Society

We look to civil society for many things and benefits, but do we appreciate and understand the critical role it plays in our democracy? In an excerpt from Philanthropy and Digital Civil Society: Blueprint 2018, philanthropy scholar Lucy Bernholz lays it out for us:

Majority-run democracies need to, at the very least, prevent those who disagree with them (minorities) from revolting against the system. Civil society provides, at the very least, the pressure-release valve for majority-run governments. Positioned more positively, civil society is where those without power or critical mass can build both and influence the majority. It serves as a conduit to the majority system and a counterbalance to extreme positions. It also serves as an outlet for those actions, rights, and views that may never be the priority of a majority, but that are still valid, just, or beautiful. When it exists, civil society offers an immune system for democracy — it is a critical factor in a healthy system, and it requires its own maintenance. Immune systems exist to protect and define — they are lines of defense that "allow organism[s] to persist over time."...

Corporate Social Responsibility

The UNHCT, the UN Refugee Agency, estimates that it will only reach 1 out of every 4 Syrian refugees at risk this winter. And with 200,000 displaced families in Syria, 196,000 in Iraq, 174,000 in Lebanon, 115,000 in Turkey, and 83,000 in Jordan, the global refugee crisis isn't likely to be resolved simply or quickly. Writing for Inc., Anna Johansson has a nice list of companies that are stepping up to help refugees.

Perhaps in an effort to appeal to socially aware millennials, Hyundai and Anheuser-Busch InBev will be running cause-based marketing spots during this year's Super Bowl. A harbinger of things to come or just business as usual? E. J. Schultz reports for AdAge.

Education

Here's another (bittersweet) milestone of note: DonorsChoose Just funded its millionth project. Fast Company's Ben Paynter has the details.

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[Review] Putting Wealth to Work: Philanthropy for Today or Investing for Tomorrow?

January 24, 2018

At some point in their lives, high-net-worth individuals with philanthropic inclinations must answer an age-old question: Do I commit all (or most of) my resources to charitable causes in my lifetime, or should I create a giving vehicle that exists in perpetuity?

Book_putting_wealth_to_workIn Putting Wealth to Work: Philanthropy for Today or Investing for Tomorrow?, social sector veteran Joel L. Fleishman, director of the Center for Strategic Philanthropy and Civil Society at Duke University, examines the two sides of the question, finding strengths — and weaknesses — in both approaches and ultimately concluding that the correct answer is not either/or but both/and. In arriving at that conclusion, he also provides readers with an overview of modern American philanthropy, including the fairly recent advent of the Giving Pledge and the growing popularity of funder collaboratives; a brief history of limited-life foundations (i.e., foundations that have decided to "spend down" their corpus by a specific date); and a framework for critically evaluating this ever-green conundrum.

In the book (a follow-up to his well-received The Foundation: A Great American Secret; How Private Wealth Is Changing the World), Fleishman carefully deconstructs the arguments commonly made by "anti-perpetuity" critics and in the process does his best to separate fact from fiction. For example, anti-perpetuity critics often cite Henry Ford II's resignation from the board of the Ford Foundation in 1976 as evidence that foundations created to exist in perpetuity inevitably depart from their founding donor's intent. Fleishman, however, debunks the "myth" that Ford "should be regarded as the poster child for departure from donor intent," arguing that "no donor intent had been embodied in the legal instrument that created the…[f]oundation." He goes on to attribute the persistence of the myth to the conservative-leaning Philanthropy Roundtable, which has "kept alive a questionable interpretation of Henry Ford II's role in, [and] resignation from, the Ford Foundation," as well as other similarly inclined think tanks for "imputing departure from donor intent specifically to liberal foundations." The reality, writes Fleishman, is that "thousands of foundations that were founded by now-deceased donors do not appear to have wavered to any significant degree in trying to fulfill the intention of their founders."

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    — Martin Luther King, Jr. (1929-1968)

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