7 Emerging Trends Reshaping Philanthropy Today

What donors and advisors need to know to stay ahead in an evolving philanthropic landscape.

In the span of five years, the world has undergone an unprecedented amount of change, starting with a global pandemic that set into motion a series of rapid-fire transformations. These shifts have affected just about every aspect of our lives, from the way we work, how we learn, and our use of modern technology. The philanthropic community is no exception.

By embracing innovation, staying flexible, and thinking long-term, nonprofits and foundations have been able to evolve right in line with the shifting norms of everyday life. Now, charitable giving represents a lot more than supporting a certain cause; it’s also a catalyst for driving positive social impact and opportunity.

At Nevada Community Foundation (NCF), we understand the critical need to keep pace with today’s rapidly evolving world, and we’re constantly developing our practices to better reflect this new reality. From our research, we’ve unearthed seven emerging trends taking place in the nonprofit sector that are driving genuine impact across communities worldwide.

 1. Personalized giving

According to Giving USA’s annual report, donors today favor a more personalized approach to charitable giving, and they’re far more willing to work with organizations that understand and respect their personal values and support their financial goals. More importantly, donors want to ensure their charitable gift will be the initial stepping stone in building a family legacy.

For philanthropic organizations, this means going beyond the one-to-one transactional model of charitable giving and actually building personal connections with their donors. Clients want financial advisors to acknowledge their personal interests and create customized paths for their planned giving.

This tailored strategy pays in dividends, as donors feel more comfortable making continued contributions with the help of an understanding advisor leading the way.

 2. Leveraging appreciated assets

These days, cash isn’t the only option when it comes to charitable contributions. According to Fidelity’s Charitable Giving Trends report, 67% of donors made investments in the form of cashless assets, like stocks, real estate, private equity, and cryptocurrency. In fact, interest in cryptocurrency donations surged over the last year, as donors have become keen to the major tax benefits they provide.

Still, these types of gifts can be complicated, which is why donors should rely on the expert advice and guidance of philanthropic advisors to navigate the legal, financial, and logistical steps involved in turning complex assets into charitable support.

 3. Fast-tracking benefits through donor-advised funds

This trend is interesting, and it’s a clear indication of how economic volatility directly influences donors’ approach to charitable giving. According to a recent donor-advised fund (DAF) report from the National Philanthropic Trust, individual contributions decreased over the past fiscal year; however, grantmaking from DAFs remained a sustainable source for good. The reason? Experts say DAF grantmaking provides donors an ideal vehicle for charitable giving, even in shaky economic times. They receive immediate tax deductions for their contributions to a DAF, plus tax-free growth of assets held within the fund. These perks allow donors the flexibility to create a long-term investment plan with continual contributions made over time.

Nonprofit organizations, therefore, should respond accordingly, offering donors stronger stewardship, strategic counsel, and ongoing support to help them expand the charitable impact of their DAF, despite economic turmoil.

 4. Collective giving

Many drops make a mighty ocean, which is why donors have adopted collective giving as a means to maximize charitable impact.

Collective giving groups, often referred to as giving circles, offer donors the all-important benefit that an individual contribution just can’t: a sense of community. Collective giving also allows participants to donate at any level while still being part of a larger, strategic effort.

From local crowdfunding campaigns to formal donor collaboratives, collective giving is a powerful way to address complex social challenges and create new opportunities for community engagement. So for those looking to take a more collaborative approach to planned giving, try partnering with a nonprofit organization that’s able to support community-driven initiatives with strategic guidance and expertise.

 5. Mobilization of next-gen donors

Millennials and Gen-Zers are on a mission to make philanthropy a change agent for the masses. Their increased involvement in charitable giving isn’t just driving fresh energy into the nonprofit space; they’re also using philanthropy as a means to expand advocacy for the causes they care about most.

In contrast to older generations who tend to favor more traditional methods of philanthropy, Millennials and Gen-Zers prefer taking bolder approaches to amplify impact, like dabbling in venture philanthropy. It’s a shift that exemplifies how younger generations see planned giving not as a legacy-building transaction, but as a way to address greater social challenges, like systemic inequality and climate change.

Many high-net-worth families are even increasing their engagement with younger generations by involving them in the giving decision process right from the start.

With the help of a seasoned financial advisor or nonprofit organization, young donors can develop their own unique giving strategies to drive meaningful change.

 6. Understanding tangible impact

Today’s donors have become increasingly curious about the tangible impact of their charitable gifts. Instead of donating to just any old cause, donors need a concrete understanding of how their funds will be used to drive measurable results. Even research shows that without this understanding, donors are less inclined to give.

To beef up contributions, organizations need to showcase the real, measurable outcomes of their work and give donors something concrete to support. By sharing program success stories and allowing full transparency into fundraising results, donors will be more encouraged to sustain, or better yet, increase rates of charitable giving.

 Need for effective stewardship

With deliberate, mission-driven philanthropy on the rise among today’s donors, the need for effective stewardship has become even more indispensable. Donors aren’t just looking for someone to manage their assets; they want a partner who will prioritize their charitable objectives, provide strong governance structures, and ensure their gifts drive continued impact over time.

This fiduciary oversight provides critical reassurance to donors and demonstrates an organization’s commitment to accountability—two essential criteria for encouraging future contributions.

 How to future-proof planned giving

Philanthropy is more dynamic, more intentional, and more personalized than ever before. Donors today think strategically, engage across generations, and expect greater transparency from partners they trust. By tapping into these emerging trends, nonprofit organizations can give donors the strategic guidance necessary to boost charitable impact.

At Nevada Community Foundation, we’re here to help you navigate this evolving landscape. Whether you’re ready to explore donor-advised funds, contribute complex assets, or plan a multigenerational legacy, our team is ready to support your goals.

Ready to build a giving strategy that reflects your personal values? Reach out to NCF to get started.