2022 was the worst year for U.S. stock markets since 2008, as the outbreak of war, devastating hurricanes and global humanitarian crises fueled recession fears, the report noted. But, in each month of 2022, donors recommended more grants to charity than in the same month in 2021, Schwab Charitable said.
“Last year showcased the resilience of donor-advised funds at a time when charitable giving has never been more important,” Kaynor said. “Many donors remained in a strong position to grant to charities because of previous contributions of both cash equivalents and non-cash assets to their donor-advised fund accounts. As a result, they were able to meet their philanthropic goals despite the market volatility and economic uncertainty in 2022.”
Schwab Charitable works with The Center for Disaster Philanthropy to provide donors with lists of pre-vetted charities supporting relief and recovery efforts for crises across the world as they occur. In 2022, donors increased the number of grants to organizations recommended by the center by 33% compared to 2021, the report said. “This is an unprecedented level of giving using this very helpful tool,” Kaynor said.
Donors also are making more giving more grants to charities with no restrictions on how the money is to be spent so that charities can use the funds where they are needed most. Seventy-one percent of grants made last year were unrestricted.
“There were a record number of disasters, both humanitarian and natural, that peaked interest in giving in general, but also in giving unrestricted grants. This is historical” because donors are realizing charities need to be unfettered to meet specific disaster needs, Kaynor said.