Donor-advised fund (DAF) holders within Schwab Charitable granted more than $4.7 billion to 117,000 nonprofits during the organization’s 2022 fiscal year, which ended on June 30. The dollar amount marks a 27% increase from fiscal year 2021.
The 993,000 grants made also represent a 24% bump compared to the previous year’s level. Three in four participants supported at least one organization to which they had not previous donated.
Last week, Fidelity Charitable reported its donor-advised funds awarded $4.8 billion to nearly 125,000 charities during the first half of 2022, an 11% increase in grantmaking compared to the first six months of 2021. Fidelity Charitable, an independent philanthropic arm of Fidelity Investments of Boston, Mass., paid out $4.3 billion in the first half of 2021 and $10.3 billion in DAFs for the year.
Schwab Charitable fund holders made an average of 13 donations. They are spreading the largess more widely, with donors supporting 11% more charities than in the previous fiscal year. More than half a million made grants focused on organizations within their own states. Donors also increasingly understand the value of unrestricted gifts. During fiscal year 2022, unrestricted grants made up 72% of those made.
Those are not the only changes to the nature of donations during the past year. During the fiscal year, 70% of donors indicated they gave more because of their Schwab Charitable account, and there was a 30% lift in the number of grants made via a mobile device.
Donors are also increasingly aware of the value of recurring grants. Schwab Charitable representatives have stressed the various phases of a disaster’s lifecycle, as outlined by the Center for Disaster Philanthropy: mitigation, disaster preparedness, disaster response and disaster recovery. By highlighting the need for support during each phase, Schwab Charitable representatives have spurred a 37% increase in recurring grants offered by donors during the year.
Supported causes include relief for those impacted by the war in Ukraine, which received 20,000 grants totaling $53 million, and relief efforts within Afghanistan, which received $7.7 million. Donors also recommended more than $200 million to organizations attempting to ameliorate the impact of the coronavirus pandemic.
The mix of contributions to accounts held by Schwab Charitable changed as well. More than six in 10 (61%) of contributions to these funds were of non-cash assets such as publicly traded securities, restricted stock and private business interests. According to a statement from Schwab Charitable, these assets could potentially increase the amount available for distribution by up to 20% over what donors could have offered had they sold the assets first and donated the proceeds.
“The remarkable charitable impact our donors made over the past fiscal year is truly inspiring,” said Schwab Charitable President Sam Kang said in a statement. “We are grateful for the opportunity to provide tools, resources, and education for our donor community as they continue to increase giving to meet rising needs in their communities and around the world.”
Since Schwab Charitable’s inception in 1999, donors have supported more than 216,000 with more than $24.2 billion in grants.