There are other practical as well as personal factors which influence on charitable giving. Obviously, the ability to give, is one. The growth of the economy, says Philanthropy Magazine, is a vital factor in charitable giving. The federal tax code, fresh in the minds of those who recently completed their taxes, is another major factor. Taxes, along with the economy, determine how much wealth can or will be given away.
Taxes also affect who receives gifts and what time of the year they are bestowed.
It stands to reason that expanded economic resources, leading to more money in the system, can equal increased giving when combined with appropriate tax and other incentives. The right combination of these factors should prime the pumps for fundraisers. Expanding financial opportunities have helped create a new corp of the wealthy. According to the Treasury Department, the number of new millionaires in New York City has tripled in the past decade. These individuals, naturally, may be much sought after by arts organizations hit hard by cuts in federal and, in most cases, state cultural funding.