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Philanthropy: It’s a Marathon, Not a Sprint

As 2025 continues to unfold with economic uncertainty and potential tax policy shifts, it’s more important than ever to keep philanthropy at the center of your client conversations. Charitable giving isn’t just a response to the moment—it’s a long-term strategy that builds legacy, strengthens communities, and offers meaningful tax advantages.

Here are three key trends to watch—and how they can inform your guidance for clients navigating philanthropy in unpredictable times.

Clients Still Want to Give

Even in times of economic stress, clients with a philanthropic mindset remain committed to supporting the causes they care about. While overall giving may decline slightly during downturns, it tends to rebound quickly as the economy recovers.

Donor-advised funds (DAFs), in particular, provide a valuable buffer. These accounts have shown remarkable resilience in times of volatility, allowing clients to make tax-deductible contributions when it’s financially advantageous and distribute funds to nonprofits over time.

As demand for nonprofit services increases during economic instability, your clients’ giving can be a stabilizing force. Partnering with the community foundation gives your clients access to insight into where their dollars can make the greatest local impact—both now and in the years to come.

The Policy Landscape Is Evolving

Tax legislation continues to evolve, and it’s important to stay informed. With the Tax Cuts and Jobs Act (TCJA) set to sunset at the end of 2025, clients may face changes in deduction limits, income tax brackets, and estate tax exemptions. These shifts could significantly impact charitable planning strategies.

In addition, new proposals could reshape giving rules. For example:

• The Death Tax Repeal Act of 2025, introduced in February, would eliminate the federal estate tax and generation-skipping transfer (GST) tax if passed. This would dramatically change the planning landscape for ultra-high-net-worth clients.
• Proposed updates to Qualified Charitable Distribution (QCD) rules would allow clients aged 70½ or older to make QCDs to donor-advised funds. This is a notable shift, as current law limits QCDs to designated, field-of-interest, or unrestricted funds.

Staying ahead of these changes—and knowing how to pivot when the time comes—is essential to your client’s success. The community foundation can help you interpret and apply these developments in a charitable context.

Long-Term Giving Is Gaining Momentum

Short-term generosity is important, but sustained, strategic philanthropy is where lasting change happens. More clients are beginning to explore “big bet” philanthropy—long-haul giving that seeks to address the root causes of systemic issues.

This type of philanthropy requires partnership, vision, and a deep understanding of the nonprofit landscape. The community foundation is uniquely positioned to support these goals, connecting your clients with local needs, convening funders, and helping structure long-term charitable plans.

Whether your client wants to seed an endowment, fund a multi-year initiative, or tackle generational issues, we can help build the right structure and strategy.

Let’s Keep the Conversation Going

In times of uncertainty, philanthropy remains a steady, forward-looking force. It’s a powerful way to meet today’s needs while shaping a better future. Reach out to the community foundation team anytime to explore how we can support your clients’ giving goals—no matter the economic climate.