2008 Edition

Individual charitable giving continued as the highest portion of the state’s giving, accounting for 78 percent of the total (see Figure A). The remaining 22 percent represented grantmaking by foundations and corporate giving programs. Private foundations and corporate grantmakers gave 10 percent and 9 percent, respectively, and community/public foundations accounted for 3 percent.

Total Individual Giving Down

Individual charitable giving in Minnesota decreased 1.2 percent, from $4.12 billion in 2005 to $4.07 billion in 2006 (see Table 2). Nationally, during the same period, charitable giving was 0.3 percent higher.³

The total number of Minnesotans claiming charitable contributions on tax returns decreased slightly (less than 1%) from 914,303 in 2005 to 913,460 in 2006. Of all Minnesotans who filed tax returns, the proportion who claimed charitable contributions decreased from 37.4 percent in 2005 to 35.7 percent in 2006.

The average contribution per itemized return for Minnesotans in 2006 was $3,652, a 1-percent decrease from 2005 ($3,693). The average size of contributions by Minnesotans in 2006 remained below the national average of $4,403, a long-term trend. This difference has traditionally been related to Minnesotans itemizing at a higher rate than the national average. In 2006, Minnesota ranked 19th in the percentage of its residents’ adjusted gross income given to charity, higher than its 21st-place ranking the previous year.


Grantmakers Give Nearly 14 Percent More

Total Grants Paid
After a slight decrease from 2004 to 2005 (due to several large one-time contributions in 2004), total Minnesota foundation and corporate grantmaking increased by 13.8 percent in 2006, from $1.02 billion in 2005 to $1.16 billion in 2006 (see Table 3). Nationally, foundation giving rose 7.1 percent in 2006.³

Number of Minnesota Grantmakers
In 2006, Minnesota was home to 1,398 active grantmakers, an increase of 1.4 percent from 2005. In 2006, 85 percent of the grantmakers were private foundations, 9 percent were corporate foundations and giving programs, and 6 percent were community/public foundations (see Figure B).

Grants Paid by Grantmaker Size and Type
Most of Minnesota’s total grants paid in 2006 came from a small number of grantmakers. Less than 3 percent of grantmakers (35) provided 69 percent of all grants paid ($801 million), and 10 percent of the grantmakers (143) accounted for 86 percent of all grants paid ($1 billion).

Of the total $1.16 billion granted in 2006, 46 percent was given by private foundations, 42 percent by corporate foundations and giving programs, and 12 percent by community/public foundations (see Figure B).

Although corporate foundations and giving programs make up a small percentage of Minnesota grantmakers, they account for a disproportionally high percentage of the total grants paid. Specifically, corporate grantmakers comprised 9 percent of all grantmakers but gave 42 percent of all grant dollars in 2006. While private foundations made up the vast majority of grantmakers (85 percent), they accounted for just 46 percent of the grant dollars paid. Community/public foundations represented 6 percent of the grantmakers in 2006 and paid 12 percent of the total grant dollars.

Foundation Assets
Minnesota foundation assets grew to $17.07 billion in 2006 from $15.74 billion in 2005, an 8.4-percent increase (see Table 3). Nationally, foundation assets grew 11.6 percent.³ Foundations typically base their future giving on a one- to three-year average of past asset performance. Therefore, it may be several years for asset decreases or increases to be fully reflected in grant levels.


³ Foundation Yearbook: Facts and Figures on Private and Community Foundations, Foundation Center, 2008 edition.