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Science Quickly

Less Well-Off Donate Bigger Income Percentage

Science Quickly

Scientific American

Science

4.31.4K Ratings

🗓️ 13 October 2014

⏱️ 1 minutes

🧾️ Download transcript

Summary

Wealthier people on average gave a lower percentage to charity in 2012 than they did in 2006, while the less affluent increased their giving. Cynthia Graber reports

Transcript

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0:00.0

This is Scientific American 60 Second Science.

0:04.8

I'm Cynthia Graber.

0:05.8

Got a minute?

0:07.4

America's slowly crawling out of the Great Recession.

0:10.0

On average, we're earning more.

0:11.6

Researchers wondered how the increased income affected charitable giving.

0:15.4

So they dove into IRS data from 2006 and 2012.

0:19.3

They broke the data down by State, County, Metropolitan Area and Zip Code.

0:23.6

The results, $180 billion philanthropic dollars in 2012, covered about 80% of individual

0:29.1

donations to charity.

0:30.8

The investigators found that even though wealthier Americans, defined as those making more than $200,000 a year, were making more in 2012 than they did in 2006,

0:40.0

they actually decreased their donations by an average of almost 5%.

0:44.0

Middle and lower income Americans, defined as people making less than $100,000 a year,

0:49.3

increase their charitable giving by almost the same nearly 5%. This increase came

0:54.3

despite the fact that the group was earning less on average than they had in 2006.

0:58.8

The findings are in the Chronicle of Philanthropy. Even though the wealthiest Americans have decreased their donations by percentage

1:05.3

they still gave more than four and a half billion dollars more in 2012

1:09.2

than they did in 2006. That's because the wealthiest Americans captured nearly all of the recession recovery.

1:15.6

They're doing more than a trillion dollars better than they did six years earlier in a rare

1:19.6

case of a rising tide lifting only some boats.

1:22.4

Thanks for the minute for Scientific American. of a rising tide lifting only some boats.

1:23.0

Thanks for the minute.

...

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