“That 2-percentage-point reduction [for top earners] might not seem like a big deal, but you have to keep in mind the scale of gifts that are being given among the highest-net-worth individuals in the United States.”
America is home to the most billionaires in the world—and some are putting their mountains of cash to good use with mega-donations.
While billionaires will enjoy their accruing wealth through the bill’s tax breaks, they’ll potentially be turned off from donating these large sums in the wake of Trump’s new philanthropic policies.
But don’t count on the middle-class to be able to bridge the charitable divide; simply put, the cost-of-living is straining the number of average donors. In the two decades between 2000 and 2020, the proportion of Americans who donate fell from 66.2% to 45.8%, according to the Lilly School of Philanthropy. While the total donation amount the typical U.S. donor increased from $3,131 in 2018 to $3,651 in 2020—a 16.6% increase in just over just two years—the trend reflects higher-income philanthropists stepping up to the plate.
