US charity giving rebounds from economic slump

Total charitable contributions from American individuals, corporations and foundations rose 3.8 percent to an estimated $290.89 billion in 2010, up from a revised $280.30 billion for 2009.

Adjusted for inflation, the rise was 2.1 percent, but came after steep declines in the prior two years, according to the figures from Giving USA Foundation and its research partner, the Center on Philanthropy at Indiana University.

Total giving, which tends to mirror economic trends, equated to two percent of gross domestic product, or economic output, in line with historical trends.

"Our revised estimates show that 2008 and 2009 saw the largest drops in giving in more than 40 years as a result of the Great Recession, exceeding previous recessions\' impact on giving," said Edith Falk, chair of Giving USA.

"The environment for philanthropy has been admittedly challenging over the past few years, but one message has come through loud and clear: charitable giving remains a central part of the American fabric. Even through a period of economic stress and volatility, Americans have continued to give."

The survey revised downward its estimates for total giving in 2008 and 2009, which were originally estimated at $307.65 billion and $303.75 billion, respectively.

"Giving could have been construed as an unnecessary expense in the average household budget last year," said Thomas Mesaros of the Giving Institute, a consultancy for non-profit groups.

"Charitable donations of $290 billion are very significant in a still-uncertain economy. Our estimates indicate that people across the country continued to care deeply about philanthropy in 2010."

Gifts from individuals, which make up the bulk of contributions, rose 2.7 percent in 2010 to $211.77 billion.

Charitable bequests, which can vary widely with the deaths of wealthy individuals, were up 18.8 percent at $22.83 billion.

Foundation grants fell 0.2 percent to $41 billion and corporate gifts rose 10.6 percent to an estimated $15.29 billion.

The largest recipients were religious organizations, which accounted for 35 percent of gifts, and educational institutions with 14 percent.

An estimated $1.43 billion went to Haiti relief efforts, most of which was part of $26.5 billion in human services gifts.

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