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MAJOR FINDINGS
Nearly one quarter (24%) of total dollars donated by Jewish foundations, or $335 million, went to Jewish causes, showing a small (3%) increase from the previous IJCR study.
INTRODUCTION
Following the Money: A Look at Jewish Foundation Giving presents selected findings from the forthcoming Study of Jewish Foundations. The study by the Institute for Jewish & Community Research (IJCR) provides insight into Jewish foundation philanthropy and its impact on Jewish and non-Jewish charitable organizations. This research note focuses on Jewish foundation giving to Jewish causes in America and abroad. Jewish foundations are making their mark on the Jewish philanthropic world. They help to fund the vast network of Jewish communal institutions, while also acting as catalysts for innovative programming and upstart organizations meeting the diverse needs of the Jewish community. The increasing role of foundations is not uniquely a Jewish trend. From 1999 to 2009 the number of grantmaking foundations in America has increased in total number from 50,201 to 76,545, an increase of over 50%.1 Nearly 10,000 foundations have made grants to Jewish causes and of the 100 largest private foundations, 16 were founded by a Jewish donor. The Institute for Jewish & Community Research has provided in-depth analysis of
FOLLOWING THE MONEY: A LOOK AT JEWISH FOUNDATION GIVING ERIK LUDWIG ARYEH WEINBERG
The percent of Jewish foundation dollars donated to Israel related organizations has increased from 32% to 36% since the previous IJCR study.
Israel advocacy, including trips to Israel, accounted for 24% of all dollars to Israel.
The average grant to Israel related organizations was over 60% larger than those to other Jewish organizations.
Thirty-six percent ($119 million) of total dollars donated by Jewish foundations to Jewish causes went to Israel related organizations.
The Institute for Jewish & Community Research is an independent, non-partisan think tank that provides innovative research and pragmatic policy analysis on a broad range of issues including philanthropy, racial and religious identity, and anti-Semitism.
2012 All rights reserved. Institute for Jewish & Community Research.
trends, values and beliefs in philanthropy over the last fifteen years. Our goal is to provide accurate and understandable data on Jewish giving. We are not advocating that foundations give in a specific mannermore Jewishly or less Jewishlyor for what purposes foundations should give. By providing data and analysis that offer a deeper understanding of Jewish giving in America, our intent is to encourage dialogue between foundations, community leaders, and Jewish organizations.
METHODOLOGY
Following the Money: A Look at Jewish Foundation Giving includes 56 foundations with combined assets of just under $20 billion that made grants totalling $1.4 billion according to the most recent year available in IRS 990 filings, either 2009 or 2010. Total giving represented 7% of total assets, an amount above the 5% minimum required by the IRS. Jewish foundations are defined as foundations established by a Jewish donor. While the majority
Jewish causes. The average size of a gift to Jewish causes, excluding Israel related organizations, was $134,000. How much should the Jewish community expect from private Jewish foundations? As Jewish organizations seek to increase philanthropic support from Jewish foundations, it is important to remember that Jewish foundations have historically given to general American causes at exceptional rates, and will likely continue to do so. As a community, American Jewry expresses values and ethics that are simultaneously Jewish and American. Jewish foundations are no different. Jewish foundations are committed to the Jewish philanthropic network as well as the vast American independent sector. Many of these donors believe their philanthropy to health, education, social justice and human services reflect core tenets of Jewish life even when these recipient organizations may not be Jewish.
GIVING TO ISRAEL
One of the unique aspects of Jewish giving in America is the commitment to Israel. While giving to Israel is considered Jewish giving and is included in the total 24% donated to Jewish causes, we have also broken it out so that this category can be better understood. Out of the total $1.4 billion donated, 8% ($119 million) went to Israel related organizations (Figure 2), as did 6% of all grants. Of the total $335 million donated to Jewish causes, 36% ($119 million) went to Israel related organizations (Figure 3), which constitutes 26% (560) of total grants (2,177) to Jewish causes. (Figure 4)
Jewish giving to Israel remains important to foundations. The average gift to Israel related organizations was $212,000, which represents an increase of more than 60% over grants to other Jewish causes. Despite the economic crisis that stressed foundation resources and that could have lead to a more local focus, giving to Israel saw a 4% increase since the last IJCR report. Considering concerns over the declining priority of Israel among younger Jews and next generation donors, continued commitment towards Israel by Jewish foundations is encouraging. It should be noted that consistency in giving to Israel is relative and can fluctuate based on existential threats to the Jewish State.
The number of gifts to non-Israel related Jewish causes is relatively evenly distributed compared to the total dollars given to these causes. The average size of a gift to Federations/Funds was $356,000, and to Human Services was $195,000. In comparison, the average gift to Jewish Life was $95,000, and $81,000 to Religion.
Jewish foundations prioritize centralized giving to Federations/Funds. As general fundraising campaigns decline, this relationship will become increasingly important. It is worth noting that that Jewish Federations/Funds may in the future redistribute dollars to Israel related causes or non-Jewish causes, but are listed here as nonIsrael related Jewish giving. Likewise, Israel Funds, to a lesser degree, also redistribute funds raised to causes outside of Israel.
The second largest giving category, Israel Advocacy (24% of dollars; 8% of grants), was influenced by large grants for trips to Israel. Education accounted for 20% of dollars and 17% of grants. Arts & Culture combined with Public/Society Benefit accounted for 13% of total dollars and 14% of grants. Human Services and Youth Development received less than 5% of dollars each and 7% and 6% of grants respectively. While it is evident that Israel related giving and other Jewish giving share a commitment to Federations/Funds and Education, there are significant differences. Israel related giving does not focus on the categories of Jewish Life, Religion, or Human Services nearly as much as non-Israel related Jewish giving. At the same time, Israel related giving is more devoted to Arts
CONCLUSION
Walk into the boardroom of a Jewish organization and sooner or later, usually sooner, someone will suggest that Jews need to give more to the Jewish community. It is a complicated statement often made in an off-the-cuff manner that frequently fails to take into account the complexity of Jewish philanthropy. Why Jewish foundations give more or less to Jewish causes may be the result of the funding opportunities available, how donors perceive Jewish giving, and how they weigh the needs of the Jewish and non-Jewish communities. What gets lost in this
Endnotes:
1. See www.foundationcenter.org/findfunders/statistics/pdf/02.../2009/03_09.pdf
2. Tobin, Gary A. and Aryeh K. Weinberg, A Study of Jewish Foundations, San Francisco: The Institute for Jewish & Community Research, 2007.