Generosity, an 'antidote' to fear, division': How to help those in need on Giving Tuesday

Generosity, an 'antidote' to fear, division': How to help those in need on Giving Tuesday

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Donations to nonprofits plummeted in the first quarter of the year as lockdowns began and layoffs skyrocketed, said Rick Cohen, chief communications officer for the National Council of Nonprofits. In May, half of the charities that responded to a survey by the Charities Aid Foundation of America said they expected donations to fall by at least 20% in the next 12 months.

Cohen said that although giving has rebounded in recent months, particularly to health and food security organizations, it has not risen to the level of demand in most places.

Donations generally account for more than 14% of the overall revenue of nonprofits. Nonprofits generally earn more than 80% of their revenue through private fees for services and through government grants and contracts, according to the National Council of Nonprofits. Cohen said that although some charities rely on donations more than others, many groups are nervous because a recession could mean their government funding is also in jeopardy.

"There's so many nonprofits that don’t know if they’re going to make it," Cohen said, adding that it will only get more difficult without relief from Congress and the White House.

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USA Today
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