New GVSU report details major changes and future possibilities for family philanthropy

A new report from the Johnson Center for Philanthropy at Grand Valley State University describes how family giving is facing major changes, and presents ways that families can adapt their philanthropy to take advantage of these transformations. 

“The Future of Family Philanthropy,” a brief prepared by Michael Moody, the Frey Foundation Chair for Family Philanthropy at the Johnson Center, explains that while dramatic changes are taking place both in the nature of families and the nature of philanthropy itself, new generations and populations of donors, and emerging innovations in practice, could actually improve family giving in ways few would have predicted.

The report is based on candid peer conversations and insights from thought leaders that were offered during two national summits on family philanthropy, organized by the Johnson Center.

“There is little dispute that philanthropy is undergoing a profound change,” Moody said. “Traditional foundation grantmaking, and giving from perpetually endowed advised funds are now just two options among a growing array of methods that family donors and social entrepreneurs can use to create impact.”

Some donors are also shifting away from traditional donor-recipient relationships in favor of devising new ways of deeply engaging with, supporting, and learning from their funded partner organizations. 

“These donors are providing time and talent, as well as treasure,” Moody said. “We are seeing a generational shift away from donors who just write the checks and seeing more donors wanting to get involved and share in the work of doing good. Personal investment is becoming more important than financial investment alone.”

Along with demographic changes that are literally changing the face of family giving across the country, the report cites the inevitable generational shift as a source of constant change, leaving families with a challenge to find a balance between honoring their family’s legacy and improving their family’s impact.

Several suggestions are provided to help families effectively adapt to these changes and improve their giving, including focusing on long-term outcomes to increase the impact of giving; connecting past generations to future generations by providing opportunities for all members of the family to participate in the philanthropic process; and collaborating and learning together by identifying new innovations that work and those that don’t, and sharing those lessons with others.

A copy of the full report is available at johnsoncenter.org

For more information, contact Michael Moody at (616) 331-9032 or [email protected].