Types of Next Generation Givers

The Next Generation of donors generally fall into three categories: inheritors; those with earned wealth; and young people who might not be considered wealthy, yet give a large proportion of their time, talent and dollars to their communities.

Inheritors:

Next Generation members who serve on family foundation boards often find that they do not have an equal voice at the table or that the practices of the foundation do not speak to their values. Honest conversations about these values are critical for making Next Generation board members equal participants.

Next generation adults with earned wealth:

  1. Young adults with earned wealth push the edges of traditional philanthropy by bringing their business background and entrepreneurial spirit to their giving. Members of this group contributed to the emergence of venture philanthropy, in which donors engage directly with nonprofits, bringing business models and values to the non-profit sector.
  2. Donors who have earned their wealth often have a greater desire to control how their money is used and ensure that the organizations receiving their donations have the capacity to use it wisely.

Proportionally large givers:

Young adults with a passion for giving back to the community tend to be good organizers. They are well suited for building and growing giving circles and other fundraising activities.