The Lilly School of Philanthropy has projected that 2021 and 2022 will see positive gains in philanthropy, with a 4.1% increase in 2021 and a 5.7% increase in 2022. Individual/household giving is expected to have a year-over-year increase of 6% in 2021 and 3.9% in 2022. This is in spite of 33% of nonprofit executives expecting a decline in philanthropic giving, according to the CCS Fundraising Survey January Report. However, most of those nonprofits are basing their projections on not being able to host fundraising events.
Furthermore, according to an article in the March 30 Chronicle of Philanthropy, financial experts are also projecting a positive outlook as we head further into 2021 and beyond, based on the following:
1) Strong growth in the Gross Domestic Product
2) The stock market is near an all-time high and remains relatively unscathed by the pandemic
3) Government spending has provided temporary relief for many nonprofits, along with also shoring up states so that support can continue locally
4) February’s jobless rate was at 6.2%. While this recovery has been a “K” recovery – with many people still struggling to recover, having a large percentage of the workforce that has significantly recovered, bodes well for charitable giving and optimistic projections.