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A donation is a
gift A gift or present is an item given to someone (who is not already the owner) without the expectation of payment or anything in return. Although gift-giving might involve an expectation of reciprocity, a gift is intended to be free. In many cou ...
for
charity Charity may refer to: Common meanings * Charitable organization or charity, a non-profit organization whose primary objectives are philanthropy and social well-being of persons * Charity (practice), the practice of being benevolent, giving and sha ...
,
humanitarian aid Humanitarian aid is material and Humanitarian Logistics, logistic assistance, usually in the short-term, to people in need. Among the people in need are the homelessness, homeless, refugees, and victims of natural disasters, wars, and famines. Th ...
, or to benefit a cause. A donation may take various forms, including
money Money is any item or verifiable record that is generally accepted as payment for goods and services and repayment of debts, such as taxes, in a particular country or socio-economic context. The primary functions which distinguish money are: m ...
,
alms Alms (, ) are money, food, or other material goods donated to people living in poverty. Providing alms is often considered an act of Charity (practice), charity. The act of providing alms is called almsgiving. Etymology The word ''alms'' come ...
, services, or goods such as
clothing Clothing (also known as clothes, garments, dress, apparel, or attire) is any item worn on a human human body, body. Typically, clothing is made of fabrics or textiles, but over time it has included garments made from animal skin and other thin s ...
,
toy A toy or plaything is an object that is used primarily to provide entertainment. Simple examples include toy blocks, board games, and dolls. Toys are often designed for use by children, although many are designed specifically for adults and p ...
s,
food Food is any substance consumed by an organism for Nutrient, nutritional support. Food is usually of plant, animal, or Fungus, fungal origin and contains essential nutrients such as carbohydrates, fats, protein (nutrient), proteins, vitamins, ...
, or
vehicle A vehicle () is a machine designed for self-propulsion, usually to transport people, cargo, or both. The term "vehicle" typically refers to land vehicles such as human-powered land vehicle, human-powered vehicles (e.g. bicycles, tricycles, velo ...
s. A donation may satisfy medical needs such as
blood Blood is a body fluid in the circulatory system of humans and other vertebrates that delivers necessary substances such as nutrients and oxygen to the cells, and transports metabolic waste products away from those same cells. Blood is com ...
or organs for transplant. Charitable donations of goods or services are also called ''
gifts in kind Gifts in kind, also referred to as in-kind donations, is a kind of charitable giving in which, instead of giving money to buy needed goods and services, the goods and services themselves are given. Gifts in kind are distinguished from gifts of ca ...
''.


Donating statistics

In the
United States The United States of America (USA), also known as the United States (U.S.) or America, is a country primarily located in North America. It is a federal republic of 50 U.S. state, states and a federal capital district, Washington, D.C. The 48 ...
, in 2007, the
Bureau of Labor Statistics The Bureau of Labor Statistics (BLS) is a unit of the United States Department of Labor. It is the principal fact-finding agency for the government of the United States, U.S. government in the broad field of labor economics, labor economics and ...
found that American households in the lowest fifth in terms of wealth, gave on average a higher percentage of their incomes to charitable organizations than those households in the highest fifth.
Charity Navigator Charity Navigator is a charity assessment organization that evaluates more than 230,000 charitable organizations based in the United States, operating as a 501(c)(3) organization. It provides insights into a nonprofit's financial stability, adh ...
writes that, according to Giving USA, Americans gave $298 billion in 2011 (about 2% of GDP). The majority of donations were from individuals (73%), then from
bequests A devise is the act of giving real property by will, traditionally referring to real property. A bequest is the act of giving property by will, usually referring to personal property. Today, the two words are often used interchangeably due to thei ...
(about 12%), foundations (2%) and less than 1% from corporations. The largest sector to receive donations was
religious organizations Religious activities generally need some infrastructure to be conducted. For this reason, there generally exist religion-supporting organizations, which are some form of organization that manages: * the upkeep of places of worship, such as ...
(32%), then education (13%). Giving has increased in 3 out of 4 years since 1971 (with the occasional declines occurring around recession years).
Blackbaud Blackbaud, Inc. is a cloud computing provider that supports nonprofits, foundations, corporations, education institutions, healthcare organizations, religious organizations, and individual change agents. Its products focus on fundraising, webs ...
reports that, in the US, online giving in 2012 grew by 11% on a year-over-year basis. The percentage of total
fundraising Fundraising or fund-raising is the process of seeking and gathering voluntary financial contributions by engaging individuals, businesses, charitable foundations, or governmental agencies. Although fundraising typically refers to efforts to gathe ...
that comes from online giving was about 7% in 2012. This was an increase from 6% in 2011 and is nearing the record level of 8% from 2010 when online giving spiked in response to Haitian earthquake relief efforts. Steve MacLaughlin notes in the report that "the Internet has now become the first-response channel of choice for donors during disasters and other emergency events."The 2012 Charitable Giving Report\", Steve MacLaughlin
Blackbaud's 2015 Charitable Giving report revealed a 9% increase in online donations compared to 2014. In addition, online giving represented 7% of overall fundraising, with 14% of all online donations made on mobile devices. Donations made on the international online giving day #GivingTuesday were up 52% from the previous year. In
Australia Australia, officially the Commonwealth of Australia, is a country comprising mainland Australia, the mainland of the Australia (continent), Australian continent, the island of Tasmania and list of islands of Australia, numerous smaller isl ...
, donation statistics are made available annually by the Australian Taxation Office (ATO), in the form of detailed tables breaking down the items in the individual tax return by
gender Gender is the range of social, psychological, cultural, and behavioral aspects of being a man (or boy), woman (or girl), or third gender. Although gender often corresponds to sex, a transgender person may identify with a gender other tha ...
, age,
income Income is the consumption and saving opportunity gained by an entity within a specified timeframe, which is generally expressed in monetary terms. Income is difficult to define conceptually and the definition may be different across fields. F ...
, and state/territory. In Australia, individuals submit an income tax return based on their personal income levels and source(s). Unlike in other Western jurisdictions, income tax returns cannot be submitted as a couple or household, and standard deductions are not available for donations. The most recent year of available data is 2021–2022. Analysis of the ATO data showed that the total amount donated and claimed as tax-deductible donations in 2021–22 was $4.55 billion (compared to $4.39 billion for the previous income year). This constitutes an increase of 3.66 per cent or $160.58 million. The average tax-deductible donation made to DGRs and claimed by Australian taxpayers in 2021–22 was $1,067.17 (compared to $1,047.27 in the previous income year). This is a slight increase of 1.90 per cent. The ATO data in no way represents all gifts, being limited to giving by individual taxpayers to DGRs. Furthermore, not all gifts will be claimed, either due to forgetfulness or a conscious decision not to claim.  Broadly speaking, those whose income is derived from their superannuation (personal retirement savings) are not required to pay tax or submit a return, so their gifts are not included. Additionally, the data does not include giving from trusts or companies or giving by persons overseas who are not Australian taxpayers.  The ATO dataset also does not examine other forms of giving such as time (volunteering) or goods under $5,000 in value.


Legal aspects

Donations are given without return consideration. This lack of return
consideration Consideration is a concept of English law, English common law and is a necessity for simple contracts but not for special contracts (contracts by deed). The concept has been adopted by other common law jurisdictions. It is commonly referred to a ...
means that, in
common law Common law (also known as judicial precedent, judge-made law, or case law) is the body of law primarily developed through judicial decisions rather than statutes. Although common law may incorporate certain statutes, it is largely based on prece ...
, an agreement to make a donation is an "imperfect contract void for want of consideration." Only when the donation is made does it acquire legal status as a transfer or property. In politics, the law of some countries may prohibit or restrict the extent to which politicians may accept gifts or donations of large sums of money, especially from business or
lobby group Lobbying is a form of advocacy, which lawfully attempts to directly influence legislators or government officials, such as regulatory agencies or judiciary. Lobbying involves direct, face-to-face contact and is carried out by various entities, in ...
s (see
campaign finance Campaign financealso called election finance, political donations, or political financerefers to the funds raised to promote candidates, political parties, or policy initiatives and referendums. Donors and recipients include individuals, corpor ...
). Donations of money or property to qualifying charitable organizations are also usually tax deductible. Because this reduces the state's tax income, calls have been raised that the state (and the public in general) should pay more attention towards ensuring that charities use this 'tax money' in suitable ways. There have been discussions on whether also a donation of time should be tax deductible. The person or institution giving a gift is called the donor, and the person or institution getting the gift is called the donee.


Donating in the name of others

It is possible to donate in the name of a third party, making a gift in honor or memory of someone or something. Gifts in honor or memory of a third party are made for various reasons, such as holiday gifts, wedding gifts, in memory of somebody who has died, in memory of pets or in the name of groups or associations that no longer exist. Memorial gifts are sometimes requested by their survivors (e.g. "in lieu of flowers, contributions may be made to ABC Charity"), usually directing donations to a charitable organization for which the deceased was a donor or volunteer, or for a cause befitting the deceased's priorities in life or manner of death. Memorial donations are also sometimes given by people unable to attend the ceremony.


Donating anonymously

There are also circumstances when people like to donate funds to their preferred causes by not revealing their names. Many donors such as public figures or philanthropists like to stay anonymous while making generous donations for various reasons such as to not be asked for money from other organisations or their religious beliefs. Many donors like to stay anonymous because of their
religious beliefs A belief is a subjective attitude that something is true or a state of affairs is the case. A subjective attitude is a mental state of having some stance, take, or opinion about something. In epistemology, philosophers use the term "belief" to ...
or simply don't want any notoriety from giving.


See also

*
Crowdfunding Crowdfunding is the practice of funding a project or venture by raising money from a large number of people, typically via the internet. Crowdfunding is a form of crowdsourcing and Alternative Finance, alternative finance, to fund projects "withou ...
& Humanitarian crowdfunding *
Charitable organization A charitable organization or charity is an organization whose primary objectives are philanthropy and social well-being (e.g. educational, Religion, religious or other activities serving the public interest or common good). The legal definitio ...
* Charity (Christian virtue) *
Charity (practice) Charity is the Volunteering, voluntary provision of assistance to those in need. It serves as a Humanitarianism, humanitarian act, and is unmotivated by self-interest. Various Philosophy, philosophies about charity exist, with frequent association ...
* Donation box * Donation (Catholic canon law) *
Effective altruism Effective altruism (EA) is a 21st-century philosophical and social movement that advocates impartially calculating benefits and prioritizing causes to provide the greatest good. It is motivated by "using evidence and reason to figure out how to b ...
*
Generosity Generosity (also called largesse) is the virtue of being liberal in charity (practice), giving, often as gifts. Generosity is regarded as a virtue by various world religions and List of philosophies, philosophies and is often celebrated in cultur ...
*
Gift A gift or present is an item given to someone (who is not already the owner) without the expectation of payment or anything in return. Although gift-giving might involve an expectation of reciprocity, a gift is intended to be free. In many cou ...
*
Gifts in kind Gifts in kind, also referred to as in-kind donations, is a kind of charitable giving in which, instead of giving money to buy needed goods and services, the goods and services themselves are given. Gifts in kind are distinguished from gifts of ca ...
* Micro-donation *
Philanthropy Philanthropy is a form of altruism that consists of "private initiatives for the Public good (economics), public good, focusing on quality of life". Philanthropy contrasts with business initiatives, which are private initiatives for private goo ...


References

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