American charitable giving hit a milestone in 2025, but the record comes with a caveat that worries those who study it: the money is flowing from ever fewer, ever larger pockets.
A record total
Total U.S. giving reached $617.2 billion last year, up 5.7% in current dollars — or 3.0% after inflation — and the first time the figure has crossed $600 billion, according to the Giving USA report produced by the Indiana University Lilly Family School of Philanthropy. It is also the second-highest inflation-adjusted total on record, up from $592.5 billion in 2024.
Where it came from
Giving USA tracks four sources. Individuals remained the largest, at $394.2 billion, or 64 cents of every dollar. Foundations gave $117.2 billion (19%), and corporations $43.7 billion (7%). The standout was bequests — gifts made through a will or estate that take effect after death — which jumped 19.7% to $62.2 billion, the fastest-growing source, the Associated Press reported. One example: a $3.1 billion bequest from the estate of late Microsoft co-founder Paul Allen.
A small number of enormous gifts skewed the total. "Megagifts" of $600 million or more reached $19.2 billion, led by MacKenzie Scott's $6.65 billion — roughly a third of all mega-giving — followed by Michael Bloomberg's $4.3 billion and Bill Gates's $3.7 billion. Strong stock-market gains in 2024 and into 2025 also lifted the asset bases of wealthy donors and foundations, enabling bigger checks.
Where it went
Religion stayed the largest recipient category at $151.6 billion (23%), though its share has fallen sharply over four decades. Human services drew $99.5 billion, while education rose fastest among the big categories, up 11.7% to $92.0 billion, and public-society-benefit groups climbed 11.6% to $72.1 billion.
The concentration problem
Behind the record is a long retreat in everyday giving. Individuals' share of the total has slid from 80% in 1985 to 64% today, as foundations — themselves funded by past private wealth — take up more of the load. Household participation in giving has fallen over two decades, a trend the 2017 tax overhaul accelerated by nearly doubling the standard deduction, which cut the number of taxpayers who itemize and thus have a tax incentive to donate. The result is a charitable economy increasingly dependent on a shrinking pool of very large donors.
Researchers see a possible turning point in the bequest surge. "We may be finally seeing the great wealth transfer in action," said Wendy McGrady, chair of Giving USA, referring to the multitrillion-dollar handover of assets expected as the baby-boom generation ages. Whether that transfer broadens giving or concentrates it further among big estates and foundations is, for now, an open question — and a consequential one for the nonprofits that depend on the flow.
