The “Preferred Five”: How To Become a Charity That Donors Want to Give to Again and Again

Data from the 2025 Bank of America (BOA) Charitable Giving by Affluent Households study determined that, on average, affluent donor households gave to 5 organizations. The BOA study continued that affluent donor households gave an average of $33,219 to charity. In comparison, donor households in the general population gave only $3,116 on average.

It’s easy to see the value of an affluent donor. So, if you are an executive director or development professional at a nonprofit, how do you become part of the “Preferred 5?” How do you get on and remain on this short list as a cause that an affluent giver wants to support year in and year out?

By understanding these donors better and how/why they give can put a nonprofit on the path to reliable gifts from a donor who champions the charity through their ongoing financial support.

How can your charity become part of the "Preferred 5?"

The Affluent Donor

Of no surprise, the higher the net worth of a donor household, the greater average amount of giving that they engage in. A household with a net worth of $5M-$20M donates $21,035 while a household with less than $1 million gives $7,490.

But what are the reasons for making a gift? Affluent donors are driven by a variety of factors, but two rise to the top: the belief in the organization's mission (58 percent) is the primary reason. 40 percent of donors are moved to action when they feel their gift can genuinely make a difference.

Demographic Differences

While these core reasons apply broadly, various demographic groups show distinct tendencies in what compels them to give. The following groups were significantly more likely than their counterparts to prioritize the listed factors:

• Black/African American Donors: Highly responsive to prompts, spontaneous appeals, and giving where they can make a difference. They show higher likelihood across nearly all motivations, including mission belief, community giveback, addressing personal/affecting issues, global issues, tax benefit, and racial justice aims.

• Women: More likely to give when asked, spontaneously, and for personal satisfaction, enjoyment, or fulfillment. They also show stronger alignment with mission belief, efficacy of their gift, community giveback, and racial justice aims.

• LGBTQ+ Individuals: Stronger likelihood of giving driven by belief in the mission, addressing global issues, and supporting racial justice aims.

• Younger Individuals: Significantly more focused on addressing global issues and supporting racial justice aims compared to older individuals.

• Older Individuals: Significantly more likely to give purely because they believe in the mission of the organization compared to younger individuals.

• Asian American Donors: More likely to give to address global issues.

• Hispanic/Latino Donors: More likely to give in order to receive a tax benefit.

Challenges That Affluent Donors Have

Wealthy donors face challenges that go beyond simply affording the gift; they are often tied to strategy, time, and discovery. Their top reported obstacle to charitable giving is surprisingly basic: identifying what they care about and deciding exactly where to donate (37 percent).

Beyond this primary hurdle, donors cited two other important challenges:

• Understanding how much they can afford to give (a challenge for 31 percent).

• Allocating time to volunteer or get more involved in the organizations they support (23 percent).

The Growth of Giving Vehicles

Nearly a quarter (24 percent) of affluent individuals in 2024 either used or planned to use at least one charitable giving vehicle( such as a private foundation, charitable LLC, giving circle, endowment funds, or donor advised funds.)

• The most common vehicle is a will with specific charitable provisions, held by 14 percent of affluent households.

• Older individuals were significantly more likely to have or plan for wills with charitable provisions and Qualified Charitable Distributions (QCDs) from an IRA compared to younger individuals.

Over the last 5+ years, donor advised funds (DAFs) have grown rapidly in popularity, solidifying their growth as one of the fastest-growing charitable vehicles in the US. The amount of charitable assets has grown over 100%, from a $122 billion in 2019 to over $251 billion in 2023. This growth has generated more grants to charity, rising from $27 billion to nearly $55 billion during the same time. The National Philanthropic Trust estimates that there are over 1.7 million individual DAFs today

A DAF holder is a person who not only prioritizes charitable giving but, due to the nature of a DAF, has dollars set aside specifically for charitable use. For many charities, recognizing who among their donors are using DAFs can provide insight into targeting the best affluent donors who are always ready to give.

Conclusion

To secure your place among an affluent donor's "Preferred Five" , you must understand their motivation and reducing friction. Recognize that 58% of affluent giving is driven by mission belief and 40% by the feeling their gift makes a difference. Use this insight to tailor your storytelling.

Finally, reduce the common donor challenge of "deciding exactly where to donate" by providing clear, compelling reasons to choose your cause. Adapting to the rise of giving vehicles like donor advised funds (DAFs) and recognizing how to recognize your current donors who use them, can build the lasting relationships that lead to reliable support year after year.

At Generosity Nexus, our deep experience in charitable planning and gifting strategies can help your charity become part of the “Preferred Five” among the donors who matter most. Don’t hesitate to schedule an appointment to learn more about how we can help you.