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The Recovery of Higher Education Philanthropy
      Five reasons why 2013 will be the year colleges and 
         universities 鍖nally rebound from the recession
Following a painful drop in 2009 and 2010, higher
education philanthropy is on a positive trajectory.




     Source: Council for Aid to Education, Voluntary Support of Education Survey;Giving USA,
     Annual Report on Philanthropy, 2011
Million dollar gifts are back, growing 
               signi鍖cantly since 2010.

                    Total Number of $1M+ Gifts, 2006-2012

                  506
  460
                                   379                                   404
                                                                  375
                                                   284
                                                           231




  2006            2007            2008             2009    2010   2011   2012
Source: Chronicle of Philanthropy, Americas Top Donors
The largest driver of million-dollar gifts  the stock
market  has rebounded. In July 2012, the Dow Jones
  closed up 100% from its bottom in March 2009.




     Source: Center for Philanthropy, Million Dollar List
The tax environment is encouraging giving 
                   for the following reasons: 

≒ Charitable	
 deduc.on	
 rates	
 (and	
 the	
 corresponding	
 tax	
 rates)	
 were	
 raised	
 
     on	
 high-足income	
 earners,	
 providing	
 more	
 incen7ve	
 to	
 give	
 to	
 charity	
 in	
 
     2013	
 
	
 
≒ The	
 IRA	
 charitable	
 rollover	
 returns.	
 	
 Good	
 news	
 for	
 the	
 growing	
 number	
 
     of	
 our	
 more	
 seasoned	
 donors	
 who	
 like	
 making	
 tax-足free	
 giEs	
 directly	
 
     from	
 the	
 IRA,	
 in	
 a	
 surprise	
 addi7on	
 to	
 the	
 ATRA	
 legisla7on	
 these	
 giEs	
 
     have	
 been	
 extended	
 through	
 Dec.	
 31,	
 2013.	
 	
 

≒ Estate	
 tax	
 deduc.on	
 changes.	
 Permanent	
 extension	
 of	
 the	
 estate	
 tax,	
 
   exemp7ng	
 the	
 鍖rst	
 $5	
 million	
 of	
 an	
 estate	
 and	
 taxing	
 the	
 remainder	
 at	
 a	
 
   40%	
 rate,	
 indexed	
 for	
 in鍖a7on.
Unemployment, and other economic concerns, are
         becoming less of a factor.

                                 Unemployed, Looking for Work

                                                                                              7.8%	
 




                                                                  4%	
 
                                      3%	
 
           2%	
 



    Current	
 Donor	
         Lapsed	
 Donor	
      Long-足Lapsed	
 Donor	
    Na7onal	
 Unemployment	
 
                                                                                                 Rate	
 
Source: Eduventures Alumni Pulse Survey: Trending Drivers of Higher Education Philanthropy 2013
Want more? 
                   
Read the full article on the subject at
   http://bit.ly/higheredrecovery

More Related Content

The Recovery of Higher Education Philanthropy

  • 1. The Recovery of Higher Education Philanthropy Five reasons why 2013 will be the year colleges and universities 鍖nally rebound from the recession
  • 2. Following a painful drop in 2009 and 2010, higher education philanthropy is on a positive trajectory. Source: Council for Aid to Education, Voluntary Support of Education Survey;Giving USA, Annual Report on Philanthropy, 2011
  • 3. Million dollar gifts are back, growing signi鍖cantly since 2010. Total Number of $1M+ Gifts, 2006-2012 506 460 379 404 375 284 231 2006 2007 2008 2009 2010 2011 2012 Source: Chronicle of Philanthropy, Americas Top Donors
  • 4. The largest driver of million-dollar gifts the stock market has rebounded. In July 2012, the Dow Jones closed up 100% from its bottom in March 2009. Source: Center for Philanthropy, Million Dollar List
  • 5. The tax environment is encouraging giving for the following reasons: ≒ Charitable deduc.on rates (and the corresponding tax rates) were raised on high-足income earners, providing more incen7ve to give to charity in 2013 ≒ The IRA charitable rollover returns. Good news for the growing number of our more seasoned donors who like making tax-足free giEs directly from the IRA, in a surprise addi7on to the ATRA legisla7on these giEs have been extended through Dec. 31, 2013. ≒ Estate tax deduc.on changes. Permanent extension of the estate tax, exemp7ng the 鍖rst $5 million of an estate and taxing the remainder at a 40% rate, indexed for in鍖a7on.
  • 6. Unemployment, and other economic concerns, are becoming less of a factor. Unemployed, Looking for Work 7.8% 4% 3% 2% Current Donor Lapsed Donor Long-足Lapsed Donor Na7onal Unemployment Rate Source: Eduventures Alumni Pulse Survey: Trending Drivers of Higher Education Philanthropy 2013
  • 7. Want more? Read the full article on the subject at http://bit.ly/higheredrecovery