How COVID Has Impacted Charitable Giving This Year

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Covid-19 has caused confusion and chaos across the globe. This pandemic has impacted basically every person on the planet. Certain areas have been feeling the effects more than others. The arts, sports, schools to name a few. One area that has been forced to rapidly adjust to changing times and lower funds is philanthropy.

Non-profits and charities have been hit hard with the impact of the Coronavirus. While some places have had the opportunity to step up and help those who have been struggling in the wake of Covid-19, other charities are desperately trying to maintain their funding and continue their good work. Across the globe, charities are doing good work to help people in need and make the world a brighter place. This pandemic will not end that good work, it just may look different for a while. Let’s explore just a few of the ways Covid-19 has impacted charitable giving and how you can continue to help your favorite organizations at this time.

Facing more demands with less money.

When Covid-19 hit, a massive amount of people were suddenly unemployed. Demands for resources skyrocketed. Charities that provide food, clothing, housing, rent assistance, and other funds for individuals in need suddenly had more demands for their services than they can provide. Just over 40% of charities were able to provide services for individuals that were directly impacted by Covid-19. While this assistance is desperately needed, almost 100% of non-profits reported a loss of funding during the pandemic. It has been a balancing act of trying to help those impacted by the Coronavirus with less money to do so.

Likewise, much of the research, funding, and emergency assistance has been focused on helping victims of Covid-19, whether that be with health or financial needs. But during this time, other charities are still needing assistance. For example, an Alzheimer’s research foundation continues to work and research a cure for dementia and Alzheimer‘s disease even in the midst of Covid. One public health crisis does not stop the great work of researchers working to find a cure or prevention treatments for Alzheimer’s. Unfortunately, these great organizations have been losing funding as well due to lowered funds from their regular donors.

The opportunity to hold events and reach people has decreased.

A good philanthropist asks for money to help the world, but they often provide something in return. Donors at big organizations enjoy fundraising events, galas, and special perks. With many places shut down to stop the spread of the Coronavirus, these events and services have been canceled or moved to a virtual platform.

Not only has fundraising been impacted, but charities that provide entertainment and activities haven’t been able to follow through on that mission. Groups like Howard Fensterman Charities that focus on providing community have been impacted. The Chabad in Port Washington strives to create an environment to learn and engage with Jewish culture. Thanks to Covid-19 closures, the opportunities to reach the community are lesser.

Businesses are stepping up, while individuals have to step away.

The impact of Covid-19 on charitable giving hasn’t all been bad. While a majority of charities have reported a lessening of funds from individual donors, several businesses have been able to step up in a big way. In an attempt to help their community and foster some good PR, many businesses have increased their donation numbers. So even when individual giving is down due to rising unemployment numbers, corporations have been stepping up.

What can you do to help?

If you are passionate about philanthropy but are suffering from financial hardship due to the pandemic, there are still ways for you to help. Reach out to your favorite organization to see if you can volunteer, donate your time, talents, and old possessions rather than money, or see if there are ways to move your own finances around. A little extra research may open your eyes to many ways you can help.