Weekly insights on donor behavior, industry trends, and what’s shaping generosity
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The K-Shaped Giving Economy Just Got Wider

Consumer sentiment crashed to its second-lowest reading in recorded history this month, hitting 50.3 on the University of Michigan’s Index of Consumer Sentiment, a level not seen since the inflation crisis of June 2022. Year-over-year, confidence has plummeted nearly 30%, with Americans expressing deep pessimism about their personal finances (down 17%) and business conditions ahead (down 11%). The ongoing government shutdown and economic uncertainty have created widespread anxiety across all demographics.

But here’s the paradox: wealthy donors are feeling great. Consumers with large stock holdings saw their sentiment jump 11% this month, buoyed by the S&P 500’s continued strength at 6,743 points, up 14.42% year-over-year. This creates what economists call a “K-shaped recovery,” where high-income households thrive while lower-income families struggle. For nonprofits, this means your donor base is splitting into two distinct groups with radically different giving capacity and motivations.

What this means for you: Your year-end strategy must be segmented. Wealthy donors are riding portfolio gains and ready to give through appreciated securities before December 31st. Approach them with confidence, not crisis language. Middle and lower-income donors are feeling squeezed by inflation, tariffs, and job insecurity, they need to see tangible impact and accessible giving options (think monthly giving at $10-25/month rather than $300 year-end asks). One-size-fits-all appeals will fail in this environment. The organizations that win will master dual messaging: opportunity for the wealthy, accessibility for everyone else.

💡 Pure Charity’s recurring donor management tools & ability to facilitate gifts of stock,
making it easy for donors to give monthly & with appreciated assets.

📊 Sources: University of Michigan Surveys of Consumers, CNBC: Consumer Sentiment Nears Lowest Level Ever, Trading Economics: United States Stock Market

Midlevel Donors Are Your Secret Weapon in This Environment

While the fundraising world obsesses over major gifts and worries about small donor attrition, midlevel donors ($1,000-$10,000 annual givers) are quietly becoming the backbone of sustainable nonprofit revenue. According to new research highlighted by the Chronicle of Philanthropy, midlevel giving programs can provide 30% or more of an organization’s annual budget. With federal funding shrinking and foundation grant competition intensifying, nonprofits are actively “turbocharging” their midlevel programs as the most efficient path to revenue growth.

This donor segment occupies a sweet spot: they have real capacity but don’t require the intensive, one-on-one cultivation that major donors demand. They’re relationship-driven but scalable. A well-run mid-level program can manage over 200 donors with a single dedicated staff person, generating over $500,000 annually. The retention rates are higher than those of small donors, the lifetime value approaches major donors, and the conversion potential to major giving is significant. Approximately 15-20% of midlevel donors eventually move into your major donor pipeline.

What this means for you: If you don’t have a dedicated midlevel program, December is your planning month to launch one in January. Segment your donors between $1,000 and $10,000 into a separate track. Give them personal (but not custom) touchpoints: handwritten notes, quarterly impact calls, exclusive behind-the-scenes access, and recognition that feels personal without being high-maintenance. The ROI on midlevel programs consistently outperforms both mass fundraising and major gifts when you measure cost-per-dollar-raised. In an uncertain funding environment, this is your ballast.

📊 Source: Chronicle of Philanthropy: Ready to Level Up Your Midlevel Giving Program?

💡 Pure Charity’s integration with Salesforce can help identify and automate these donor segments.

Why Donors Give:  Loss Aversion and Why “Don’t Let This Happen” Beats “Make This Happen”

Donors are roughly twice as motivated to prevent a loss as to create an equivalent gain. Behavioral economist Daniel Kahneman proved losses feel about twice as powerful, a finding called “loss aversion.” Example:  “Without your gift, 50 children may go without meals” consistently outperforms “Your gift will feed 50 children,” even though they’re the same outcome.

Try This:

• Frame urgency around what’s at risk: “Budget cuts mean 50 program slots could disappear”
• Use matching gifts as loss prevention: “Don’t leave $50,000 on the table, every dollar DOUBLED by December 31st”
• Show the cost of inaction: “Last year: 1,000 families served. We are at risk of that being 600.”

Go Deeper: Thinking, Fast and Slow by Daniel Kahneman & Predictably Irrational by Dan Ariely

Bottom Line:

With wealthy donor confidence up 11% and portfolios strong, nonprofits should be intentional with major gift conversations before end of the year.

Finalize your GivingTuesday campaign (matching gifts, mobile flow, content calendar) before November 25th.

Shift your year-end messaging to tax-smart giving strategies, your donors are meeting with financial advisors right now, and you need to be part of those conversations. Focus on QCDs for older donors and appreciated stock for investors.

GivingTuesday Is 15 Days Away, Final Prep Time

December 2, 2025 is here. Last year: 36.1 million people donated $3.6 billion (16% increase over 2023). Predictions for 2025: $4.01-4.2 billion.

Why it matters: This is your last week to finalize: (1) Matching gift partnerships, (2) Mobile-optimized donation flow, (3) Social media content calendar. Organizations that execute well see 4-6x their normal daily volume, and 20-30% of first-time GivingTuesday donors convert to monthly givers.

📊 Sources: GivingTuesday.org

💡 Pure Charity fundraisers are built for GivingTuesday: mobile-first, real-time tracking, 5-minute setup.

Year-End Tax Changes Create New Urgency for Donor Conversations

With just 45 days until December 31st, donors are beginning their year-end tax planning, and 2025 brings specific considerations. The standard deduction remains high ($14,600 for individuals, $29,200 for married couples), meaning most donors won’t itemize. However, donors over 70½ can still make Qualified Charitable Distributions (QCDs) directly from IRAs up to $105,000 (increased from $100,000 in 2024), which counts toward Required Minimum Distributions and reduces taxable income even for non-itemizers.

Why it matters: You can expand your messaging to include your mission-focused appeals and tax-smart giving strategies. Create simple one-pagers explaining QCDs for older donors, appreciated stock gifts for donors with investment gains, and bunching strategies for donors near the itemization threshold. The donors most likely to make year-end gifts are actively meeting with financial advisors right now, your job is to be part of those conversations. Consider hosting a “Tax-Smart Giving” webinar in early December or sending targeted emails to donors 65+ about QCD strategies. December gifts aren’t just about generosity; they’re about smart financial planning.

📊 Sources: IRS: Charitable Contributions, Chronicle of Philanthropy: Tax Law Changes Forum

The Pastor Who Chose Generosity Over Going Viral

A small church in Somerset, Kentucky, is making worldwide headlines for what happened when their pastor thought he was helping a mother in crisis.

It started as a TikTok experiment. A content creator posed as a “mom in need” and messaged churches to see how they’d respond. Most churches sent generic replies, prayer offers, or resource links to government assistance. But Pastor Justin at Somerset Christian Church reacted differently. Within minutes, he offered practical, immediate help: “What do you need specifically? How can we get it to you today?” He offered to meet her personally, bring groceries, connect her with ongoing support, no questions asked, no sermon attached, no qualifying hoops to jump through.

When the TikToker revealed it was a test, Pastor Justin’s response went even more viral: “I’m just glad you’re okay. And if you ever actually need help, the offer still stands. We’re still here.”

The video exploded across social media. Thousands of people reached out wanting to donate to the church. Donors from around the world sent money specifically because they witnessed generosity without conditions. The church didn’t pivot their mission to capitalize on virality. They didn’t launch a branded campaign. They just kept doing what they’d already been doing: showing up for people who need help, whether cameras are watching or not.

Why this matters:

The best fundraising isn’t strategic positioning or perfectly executed viral campaigns. It’s boring consistency in living your values until the moment arrives when that consistency becomes extraordinary. Pastor Justin didn’t help because TikTok was watching. He helped because that’s what his church does every single day. The generosity that followed wasn’t a reward for clever marketing, it was the world recognizing authentic mission in action.

Your year-end donor appeals will be more effective if they’re not really “appeals” at all. They’re invitations to join something you’re already doing with or without them. Donors don’t want to fund your budget gap. They want to be part of a community that shows up and does the right thing consistently, reliably, beautifully, whether anyone is watching or not.

(Source: SunnySkyz Good News, November 13, 2025)

The State of Good Report is published by Pure Charity to help nonprofit leaders understand donor behavior, sector trends, and giving patterns. We’re here to help you raise more, retain better, and build sustainable funding.

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