Donors are not primarily motivated by taxes when they make their giving decisions. Rich, middle, or poor, we all have other considerations and motivations that trump the tax code’s financial incentives. This New York Times piece by Judith Warner, “The Charitable-Giving Divide” explores those greater influences.
I have always believed the Obama proposal to limit charitable deductions for high earners will not have the devastating impact on charitable giving that many predict. The decrease will be small and temporary.
History has shown that giving rebounds within a few years of depression, recession and tax code changes, then continues its gradual rise.
You summed it up nicely, thanks, Brian.
People don’t give (generously) to an organization because of a “tax benefit.”
People give because they have been inspired, because they have a relationship with your staff and/or board, because they feel like their gift can make a difference, and because they know that their gift will be applied with good stewardship.