Americans Gave Record $617 Billion Despite Rising Costs

While grocery bills climbed and wallets felt thinner, Americans opened their hearts wider than ever in 2025.

U.S. charitable giving hit an all-time high of $617.2 billion last year, according to new research from Indiana University's Lilly Family School of Philanthropy. Individual donors contributed $394 billion of that total, up 1.4% from the previous year even after accounting for inflation.

The numbers tell a powerful story about everyday generosity. While billionaire wealth surged 16% in 2025, regular Americans continued finding room in their budgets to support causes they care about.

Foundation giving climbed nearly 3% to $117 billion. But the real surprise came from bequests, which jumped 17% as people included charitable giving in their estate plans.

That spike in planned giving signals something bigger on the horizon. Roughly $124 trillion is expected to transfer from Baby Boomers to younger generations by 2048, according to UBS, and the next wave of donors is already rewriting the rules.

Millennials and Gen Xers are taking a different approach to giving. They prefer unrestricted donations that let nonprofits decide how money gets used, trusting organizations to know what their communities need most.

Their priorities lean toward systemic challenges like climate change and racial justice. Traditional grantmaking is giving way to impact investing and venture-style philanthropy that tackles root causes.

MacKenzie Scott exemplifies this new era. The philanthropist gave away $19.2 billion in 2025 alone, including an $80 million unrestricted gift to Howard University, accounting for roughly one-third of all megagifts tracked that year.

Not everyone agrees on the best way to give at scale. Elon Musk has called meaningful philanthropy "very hard," arguing that appearances of goodness come easy while actual impact requires careful strategy.

Liz Baker, CEO of Greater Good Charities, acknowledges the challenge. Deploying large donations means navigating complex questions about community needs, avoiding dependency, and understanding geopolitical realities.

Why This Inspires

The real story isn't about billionaires debating strategy. It's about millions of Americans who chose to give despite feeling financial pressure themselves.

When times get tough, the easiest choice is keeping every dollar. These donors proved that generosity isn't just for when we have extra, it's about making room for what matters most.

The Great Wealth Transfer will bring new approaches and bigger checks, but 2025 showed that the heart of American philanthropy beats strongest in everyday choices to help others.