Women, Generation X and Millennials: Emerging Trends and Opportunities 2019 APRA Indiana Skills Workshop Women, Generation X and Millennials: Emerging Trends and Opportunities Dee Metaj, Vice President for Development – Indianapolis IUPUI

Total giving:1977-2017 (in billions of dollars)

2017 Contributions: $410.02 billion by source of contributions (in billions of dollars – all figures are rounded)

2017 Contributions: $410.02 billion by type of recipient organization (in billions of dollars – all figures are rounded)

Total charitable giving graphed with the Standard & Poor’s 500 Index, 1977-2017 (in billions of inflation-adjusted dollars, 2017 = $100)

(in billions of dollars) Giving to Education, 1976-2017 (in billions of dollars)

The number of 501 (c)(3) organizations, 2007-2017

Total Dollars contributed to donor-advised funds, 2008-2014 (current dollars)

Average contributions by type of recipient organization for donor-advised funds, 2015

Women’s Philanthropy and Generational Giving

Women’s Philanthropy Key Findings: Economic Shift Women are now the majority in undergraduate education and increased education results in increased earnings Women hold 52% of managerial and professional jobs in the workplace In 40% of households, women are the primary breadwinners 42% of top wealth holders are women, including more than 3 million women with annual incomes of more than $550,000 Women are projected to control $22 trillion by 2020 Women are marrying later and having fewer children; they have increased discretionary income 85% of household spending is controlled by women Women earn more, inherit more and live longer

Women’s Philanthropy (cont.)   Philanthropic shift Women are at the forefront of philanthropic engagement and impact 93% of high net worth women give to charity compared to 87% of men and 56% volunteer compared to 41% of men 23% serve on the board of a nonprofit 25% support causes of organizations aimed at benefitting women With increased education and earning, women have an increased focus on philanthropy Women are now making or participating in more philanthropic decisions Single women are more likely to give than single men Women give significantly more than men at almost all income levels For every $10,000 the wife’s income increases, total household philanthropy increases by 5% compared to a 3% increase for philanthropic support for every $10,000 the husband’s income increases Increasing number of women’s foundations and funds are being created and supported by women More women (63%) supported #GivingTuesday than men (51%)  

Giving by Generation Key Findings: Millennials will soon surpass Baby Boomers as the largest living adult population cohort in the nation While the Baby Boomers and the Silent Generation are still very active in American society, millennials are already imprinting their own values and priorities on the way wealth is created, used and distributed The future of giving will increasingly rest with the preferences and behaviors of this cohort of younger donors Caucasians, who have long represented a majority of the U.S. population and nonprofit donor base will be a majority only among the Baby Boom and Silent Generation in the coming decades Millennials contain the largest proportions of the nation’s Hispanic, American/Latino, African American and Asian American populations   *source: Pew Research Center tabulations of the 2017 Current Population Survey Annual Social and Economic Supplement (ASEC) from the Integrated Public Use Microdata Series (IPUMS)

Baby Boomers Key Findings: Born between 1946 – 1964; ages 55 - 73 The Baby Boom generation has by far the greatest capacity to give both in terms of disposable income and through their estates More than $30 trillion in intergenerational wealth will be passed from the Baby Boom generation to Generation X and Millennials The ultra-wealthy in the U.S. – those capable of making multi-million dollar gifts - come from this group with a median age of 67 years old Baby Boomers are steadfast in the loyalty to their alma mater and give to higher education at a much higher rate than any other generation, more so than either Gen X or millennials Higher education and nonprofits that have earned their support must create more meaningful stewardship experiences for this group to retain their support  

66 million or almost 27% of the U.S. population are Gen Xers Key Findings:   66 million or almost 27% of the U.S. population are Gen Xers 61% are white (non-Hispanics) 21% are religiously unaffiliated 64% identify as patriotic 44% are not confident about having enough financial resources for retirement Generation X represents 20% of total giving in the U.S. 29.4% volunteer their time   Key Findings: Born 1965 – 1980; age 39 - 54 66 million or almost 27% of the U.S. population are Gen Xers 61% are white (non-Hispanics) 21% are religiously unaffiliated 64% identify as patriotic 44% are not confident about having enough financial resources for retirement Generation X represents 20% of total giving in the U.S. 29.4% volunteer their time

Generation X (cont.) Referred to as the “latchkey” or “neglected generation ” due to reduced adult supervision compared to previous generations, a result of increasing divorce rates and, as a consequence, increased maternal participation in the work force The most recent research conducted on this cohort during mid-life describes them as active, happy and achieving a work-life balance and credits them with entrepreneurial tendencies Given the age range of this generation is late-30s to mid-50s, this cohort is focused on advancing their careers, caring for their children and aging parents Gen Xers value their educational experience, but are carrying a greater financial burden especially as a consequence of the great recession Generation X is interested in supporting a focused number of charities with small and mid-level gifts Gen Xers are more inclined - more than any other generation - to volunteer providing an excellent strategy to engage or reengage them  

Millennial Generation Key Findings: Born 1981 – 1996; ages 23 - 38 Millennials will be the largest demographic, more than half of the American workforce by 2020 followed by Generation X (33%) and Baby Boomers (25%) 84% of Millennial employees gave to charity in 2016, and 70% donated more than an hour to charitable causes They are issue driven when it comes to politics and their philanthropic giving Issues Millennials are most concerned with are education, employment/wages, the economy and healthcare Millennials are engaged with and rely heavily on social media

Millennial Generation (cont.) The focus is on the impact of their giving and requires greater transparency before making a gift, and in clearly understanding how their gift was actually used Universities and nonprofits have discovered that crowdfunding and “giving days” attract a significant number of first-time gifts from this generation This generation also prefers to make the majority of their gifts on line yet do extensive research before making a gift The Millennial generation will be the largest benefactor of the more than $30 trillion of intergenerational transfer of wealth within the next few decades

Neil Armstrong, Astronaut Research is creating New Knowledge Neil Armstrong, Astronaut Research is formalized curiosity. It is poking and prying with a purpose Zora Neal Hurston, Author SOURCES: Giving USA Foundation|GIVING USA 2018 The 2018 U.S. Trust Study of High Net Worth Philanthropy