(image from fepreports.org)
There was continued strength in charitable giving through the third quarter of 2025, with total dollars raised increasing an estimated 3.7% year-over-year (YOY) after adjusting for late data.
Data in the new Fundraising Effectiveness Project (FEP) reports showed the overall rate of donor decline slowed compared with previous years, and once late adjustments and the margin of error are factored in, the total number of donors appears to have remained largely stable through the third quarter. Donor retention also improved slightly, rising by 0.15 percentage points — a modest gain in sustaining engagement.
Fundraising growth continues to be driven primarily by large and frequent donors, who account for a disproportionate share of total giving, according to the report’s authors. However, the authors emphasizes the need for nonprofit leaders to diversify their donor base by reactivating lapsed supporters and cultivating new donors into long-term contributors to strengthen the sector’s resilience in the year ahead. The initial data shows:
- Second quarter 2025 trends continued through the third quarter. The rate of decline in donors decelerated relative to previous years, potentially remaining flat after factoring in late data adjustments and the margin of error.
- The retention rate through the third quarter increased slightly by 0.15 percentage points (p.p.). Adjusting for late data, the FEP analysts estimate that dollars raised increased 3.7% year-over-year (YOY).
- Large and frequent donors are driving the current increase in fundraising. However, to diversify and grow the donor base, nonprofits should focus on activating new donors and cultivating them into long-term supporters.
The data shows losses but improvement with Mico donors ($1 to $100) and Small donors ($101 to $500). Despite remaining negative, the declines represent an improvement compared with the year-to-date third quarter of 2024. In the third quarter of 2024 report, Micro donors were estimated to have declined by 12.4% and Small donors by 7.2%. This year, the estimated declines are smaller, 10.3% for Micro donors and 4.8% for Small donors, according to FEP data. These estimates are not adjusted for late-reported data at each point in time, meaning the true magnitude of the declines might be somewhat smaller.
As nonprofits approach 2026, these data points reveal both critical challenges and strategic opportunities. Leaders can mitigate dependencies on larger donors by prioritizing small donor acquisition and tailoring retention strategies to smaller donor segments. With a focus on these areas, nonprofits can position themselves for the 2026 giving year.
The Fundraising Effectiveness Project (FEP) is a collaborative project of the Association of Fundraising Professionals (AFP) Foundation for Philanthropy and GivingTuesday. It is a collaboration among fundraising data providers, researchers, analysts, associations, and consultants to track and evaluate trends in giving. The FEP releases quarterly findings on those giving trends, released both via downloadable reports at www.fepreports.org and in a free online dashboard.
The full Q3 2025 report is available here.
