Donations decline on "Giving Tuesday" after hitting record highs in 2021
After hitting record highs in 2021, donations on "Giving Tuesday" have dropped as Americans feel the effects of inflation, high interest rates and the stock market decline.
Every time his computer dings, Levine says someone has made a contribution to his faith-based organization. Since his homeless services nonprofit is privately funded, Giving Tuesday is always a big deal, however, Levine said the numbers just weren't there.
"In 2019, we had about $4,000 on Giving Tuesday," said Jeffrey Levine, executive director of Long Beach Rescue Mission. "2020, $9,000; 2021, $11,000; and this year $3,400."
In 2021, donations reached record levels in 2021, bringing in an estimated $2.7 billion but financial experts believe that may have been a wonderful anomaly.
"The economy was absolutely on fire," said Christopher Thornberg, founding partner of Beacon Economics. "Phenomenal build-up of savings all left over from the pandemic and the stimulus — that of course drove a lot of charity and charitable giving."
Experts said the giving spirit has cooled off as inflation and interest rates rose while the stock market declined. With these factors, people simply aren't giving their disposable income to charity.
"It's also an election year," said Levine. "I think people are invested in our country."
Still, the Rescue Mission continues its fundraising efforts.
Levine says this season's slogan, "Hope Can't Wait" reminds him of a drug-addicted woman who finally reached out for help.
"She would tear up, and it was like she was communicating with her eyes, 'I don't want this,'" he said. "And then to see them healthy and clean, and they've been stably housed for four years, again tears in her eyes."
Levine said he was once a meth-addicted teen, who got clean after meeting people who never lost hope in him. Despite a slow start on Giving Tuesday, he's praying that the community still has hope in them.
"For those, who are suffering on the street, what is that hope?" he said. "I think it's believing that people love them, who see them, recognize the intrinsic value and dignity of who they are. They're not a problem they're people."
