fpanneSubscriber Exclusive
Growing criticism, the absence of visible peers and a lack of knowledge about giving channels are stymieing philanthropy from the rich. F&P’s Fiona Atkinson talks to Jack Heath to find out more
There’s an identity crisis in the major giving space, and high net worth individuals (HNWI) are eliminating themselves from the philanthropic pool as a result, says Jack Heath, CEO of Philanthropy Australia. The rise in billion-dollar gifts has obscured the perceived value of smaller, but still large and needed, donations. We have a cultural problem with philanthropic imposter syndrome. And there is a broad lack of understanding about giving channels for major gifts.
This is a worry for nonprofits, because gifts from HNWI are an opportunity to secure funds in the face of a shrinking donor pool. Over the past 10 years, the percentage of people claiming tax deductions from charitable giving has been on the decline. The only group experiencing a proportional increase is people earning over $1 million per year. Put simply, a smaller number of people are giving more dollars.
There is mind-boggling potential for a $2.6 trillion wealth transfer in Australia by 2040. Get the approach right, and nonprofits…
