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Equity in philanthropic giving refers to the fair distribution of resources and support to address social issues and improve the well-being of communities. It includes the importance of considering historical disadvantages that certain groups have faced and addressing the larger systemic issues, such as access to education or the health of the environment.
As our donors seek to prioritize equity in giving, gaps continue to exist and are not always well known, and donors can help fill them.
There remain persistent disparities in support for vulnerable populations, specifically people of color, women and girls, LGBTQ+ people, and people with disabilities. Yet, often the nonprofit organizations led by or in close proximity to the people they are trying to serve are not as well known or as well funded, even though they can often be the most impactful. Understanding and considering these disparities, as you think about your giving priorities, could help you achieve your philanthropic goals in a more impactful way, while helping to close some of these gaps.
Women and girls
Charitable giving to women’s and girls’ organizations represents a small share – 1.8% – of overall charitable giving.
(As of 2019)
From the The Women & Girls Index 2023
LGBTQ+
For every $100 awarded by U.S. foundations in 2020, only 23 cents specifically supported LGBTQ+ issues.
From Funders for LGBTQ Issues’ 2019-2020 Tracking Report (PDF).
People with disabilities
Almost half of nonprofit leaders whose organizations primarily serve people with disabilities reported that no foundations provided new funding to support this community in 2020.
From the Center for Effective Philanthropy’s 2021 report, Foundations Respond to Crisis (relative to organizations serving those with disabilities)
People with disabilities
Almost two-thirds of foundation leaders say that they provide no grant dollars to organizations serving people with disabilities or that only a small percentage of their grant dollars is directed to these organizations.
From the Center for Effective Philanthropy’s 2021 report, Foundations Respond to Crisis (relative to organizations serving those with disabilities)
People of color
White-led nonprofits are also more likely to receive corporate donations 71% vs. 58% for Black, Indigenous, and People of color nonprofits.
From Nonprofit Finance Fund’s 2022 State of the Nonprofit Sector Survey (relevant to POC-led nonprofits and funding)
People of color
Among promising early-stage nonprofits, the revenues of Black-led organizations are 24% smaller than the revenues of their white-led counterparts.
From Bridgespan and Echoing Green research (PDF) (2020)
People of Color
The unrestricted net assets of these Black-led organizations are 76% smaller than white-led organizations.
From Bridgespan and Echoing Green research (PDF) (2020)
As you begin to refine your philanthropic strategy, the following are more advanced readings and resources.
Learn more with advanced resources
Refine your philanthropic strategy with advanced reading.
Discovering Your Philanthropic Identity (PDF)
Read our new primer to reflect on and help clarify your philanthropic identity and, learn how to apply it to effective approaches and practices.
Our guide sheds a spotlight on using an equity-based approach to consider nonprofits that historically have not been able to access funding and the ways that philanthropists can work to better understand and lend their support.
This is a one-stop shop for individual donors to learn about issues, get involved, and give to organizations; resources include Racial Equity in Philanthropy and Donor Stories: Centering Equity.
The Center for High Impact Philanthropy’s Choosing Change Guide
The Choosing Change toolkit can help donors identify grants and teams whose work addresses the structural inequalities that prevent people from surviving, let alone thriving.
Reflect on your giving
Think about your core values, motivations, and aspirations for giving.
Are the organizations you support proximate to the issues on which they work, with staff and board members who live in the communities served and/or who have faced some of the same issues themselves?
Are you using a wide range of external resources to educate yourself on potential nonprofits to fund, rather than only funding organizations with which you’re familiar?
Keeping in mind that small and community-based organizations, often with leaders from the community they serve, are also those that have historically had less access to funding and training, how can you add flexibility to your funding?
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