FaithWorld

Americans gave $291 billion to charity in 2010, more than 1/3 to religious groups

(A man dressed as Santa Claus from the Volunteers of America charity waits for donations near the Saks Fifth Avenue store in New York December 19, 2007/Ray Stubblebine)

U.S. donations to charity rose to $291 billion last year, but it was still more than 6 percent below a 2007 record as the nation struggles to recover from its worst recession in decades.  Americans gave nearly 4 percent more in 2010 compared to 2009, the Giving USA Foundation and the Center on Philanthropy at Indiana University said,  perking up after the recession sparked the biggest giving slump in four decades.

Religious groups accounted for the largest single recipient class by far, receiving more than one third of total donations, according to the study released on Monday.

Revised estimates by the study, which started in 1956, showed that during the financial crisis giving fell more than $10 billion in 2008 to $299.8 billion and then dropped more than 6 percent in 2009 to $280.3 billion.

Patrick Rooney, executive director of the Center on Philanthropy at Indiana University, said that giving in 2010 grew by 2.1 percent after adjusting for inflation. “But the sobering reality is that many nonprofits are still hurting, and if giving continues to grow at that rate, it will take five to six more years just to return to the level of giving we saw before the Great Recession,” he said.

Pope visit costs criticized in austerity-hit Spain

Cost to the taxpayer seems to be the latest target for protesters when Pope Benedict comes to town. After a lively debate about the price the public had to pay for his visit to Britain in September, Spanish protesters have picked up the torch with complaints about the estimated 3.7 million to 5 million euros the state will spend on logistics and security for the pope. And this at a time when Spain is burdened with 20 percent unemployment and is struggling to emerge from recession and austerity measures that have slashed public sector wages.

“I think it’s bad, I mean really bad, to spend so much money on a guy who comes, gives a speech, stays an hour and leaves,” said Pedro Barral Gonzalez, 18, in Santiago de Compostela, the city in northwestern Spain that the pope visited on Saturday.

Spending on papal visits is often controversial, and Spanish spending on the 32-hour visit is dwarfed by other recent trips, but it still drew criticism.

California megachurch seeks bankruptcy protection

crystal one (Photo: Crystal Cathedral, 21 June 2005/Nepenthes)

The Southern California megachurch founded by televangelist Robert Schuller filed for bankruptcy court protection, saying a number of creditors had opted not to prolong a moratorium on debt payments.

Crystal Cathedral Ministries, best known for its weekly “Hour of Power” television program that it claims has 20 million viewers, listed assets and debts of between $50 million and $100 million each, according to documents filed on Monday in U.S. Bankruptcy Court in Santa Ana, California. Its largest creditors include several U.S. television stations.

Hundreds of U.S. churches have defaulted on loans and even filed for bankruptcy as they struggle to pay debts leftover from a historic building boom now that a deep economic downturn has cut into offerings. Financial woes have hit many large congregrations, from Without Walls International Church of Florida to Shore Christian Center in New Jersey, which filed for bankruptcy.

US charities hit by recession’s impact on spending

soup kitchen

Mealtime at the Capucin Soup Kitchen in Detroit, Detroit, 9 Dec 2008/Carlos Barria

Thousands of small U.S. charities are likely to close this year as cautious donors and governments tighten spending and some states consider removing nonprofit tax breaks, experts said during a panel discussion on “The New Nonprofit Reality” on Wednesday.

“States are looking for any opportunity for tax revenue this year and nonprofits are increasingly a very big target,” said Stacy Palmer, editor of The Chronicle of Philanthropy.

Philanthropy outlook upbeat, but not for religious charities

oxfamPhilanthropy does not seem to have been hit by the global economic downturn. Contrary to some initial fears after the stock market plunge last year, giving by the rich to charitable causes seems to be rising as younger donors get more active in the field. But the report by Barclays Wealth, the wealth management arm of the British bank, says faith-based charities face falling donations because they’re not in step with this new generation of philanthropists.
(Photo: donation box in London Oxfam shop, 2 Dec 2008/Simon Newman)

The report, entitled Tomorrow’s Philanthropist, is upbeat about charitable giving based on the bank’s survey of 500 “high net worth investors in the UK and US.” As it said in a summary of the report: “Despite the global downturn, three quarters (75 per cent) have not decreased their contributions, whilst more than one in four (26 per cent) have increased their giving in the last 18 months.”Buried in the report is a sobering angle for churches and religious charities: “The future is less certain for the traditional recipients of charitable donations, such as the arts and religious organisations. On balance, high net worth donors stated that these causes had become less important to them over the past ten years, and that this trend would accelerate over the next decade if the causes in question failed to engage in a meaningful way with the next generation of givers.”In a report graphic, religious charity seems set for the biggest reduction in donations, -16%, while health and medical charities should see a +58% rise in gifts. The other losers are the arts (-14%) and animal causes (-6%) while the number two and three growth leaders are children (+41%) and environment (+35%).These results could be skewed by the sample group that Barclays Wealth used. The report did not analyse the expected drop in faith-linked donations any further, so it’s not clear whether a wider survey of donors below the report’s rarified donor group might show better support for religious charities.Do any readers have recent information about how religious charities are doing in the downturn? (UPDATE: please read the first comment below for more information on this)Here is the PDF file of the report and Barclay Wealth’s summary of it. Below is a short video on it by Hayley Platt of Reuters Television. Since video clips are short and reports like this long, the report’s main points are copied below the video.The report’s main points are:• We are at the beginning of a new age of philanthropy – A new breed of wealthy philanthropists is emerging who are more socially aware and more motivated to give back to the communities they came from, as well as global causes.• The wealthy are still giving despite the downturn – The recession has failed to dampen philanthropic spirit; the commitment of those who already give will remain resolute, and some wealthy individuals are actually increasing the levels of their funding in order to ensure that their charitable goals are met.• The wealthy will play an increasingly important role, compared to governments, in funding welfare projects – The recession will potentially increase the role of the wealthy philanthropist on a broad basis, as governments around the world become more constrained in the causes they can fund. High net worth givers will become an invaluable source of innovation and investment for charities.• The wealthy prefer to fund projects directly – Respondents increasingly feel that they can make a bigger impact and drive change more effectively by giving directly to charities, rather than supporting causes indirectly through taxation.• High net worth donors are becoming increasingly active philanthropists and now seek to solve rather than simply to support – Historically, high net worth individuals have donated money and time to charities to support their endeavours. Now, however, the wealthy are far more ambitious in their philanthropic aims and are wanting to see visible or measurable change.• The worlds of charity and business are converging – Smaller, nimbler and more accountable charities are becoming increasingly attractive to donors compared to the large, traditional charities. This will have a knock-on effect and in the future, we will see the emergence of more commercial ventures which have a philanthropic aim at their core.

Recession-hit Asians pray for jobs, luck, recovery

ASIA-RELIGION/ As companies shed jobs and governments inject funds to stimulate economies, recession-hit believers in once-booming Southeast Asia are flocking to temples, churches and mosques to seek solace in religion — and pray for a quick economic recovery.

Meditation centres have also seen an upswing in attendance and people seek peace and calm amid the economic downturn. (Photo: Hindus pray in a Singapore temple, 24 May 2009/Vivek Prakash)

Reuters correspondent Nopporn Wong-Anan has a feature here looking at how people seek spiritual solace at a time of material loss in Asia, home to all the major religions and any number of minor ones.

Is recession good for church attendance? Pew finds no link

Are more Americans seeking the comfort of faith amid the “Great Recession?

A new analysis by the Pew Forum on Religion & Public Life suggests not. You can see their analysis and graphic here.

USA-AUTOS/CHURCH

“… while the Dow Jones Industrial Average has shed over half its value since October 2007, there has been no increase in weekly worship service attendance during the same time period,” Pew said.

It said  its findings were “contrary to recent media reports suggesting that the country’s economic troubles have led to higher levels of church attendance.” You can see an example of such reports here .

from UK News:

‘We are all to blame for financial crisis’ – archbishop

Bankers, auditors, money-market speculators and regulators all came in for criticism at the Church of England's General Synod during a discussion on the implications of the financial crisis and the recession.

The City had lined its pockets, regulators had not done their job properly and auditors had signed off financial deals that should not have seen the light of day, the synod heard at its meeting in London.

The result is a deep recession, the first since the early 1990s, with Britain suffering a shrinking economy, rapidly rising unemployment and falling output.

from Reuters Editors:

Keeping the faith: Connecting the dots with religion and ethics coverage

dean-150Dean Wright is Global Editor, Ethics, Innovation and News Standards. Any opinions are his own.

Some years ago, an American reporter who covered religion was at Tel Aviv airport leaving Israel.

As she was subjected to the usual questions from Israeli security, she was asked what she did for a living. “I write about religion,” she replied. “Which one?” the security officer responded. “Well, all of them,” the reporter said.