Empowering Impact: The Role of Women in Philanthropy

Women have long been catalysts for positive change in society, and their role in philanthropy is no exception. As a woman who has devoted her career to philanthropy and in honor of Women’s History Month, I want to explore some of the ways that women are leading the charge as donors, volunteers, fundraisers and nonprofit leaders.

The Rise of Female Philanthropists: In recent years, there has been a noticeable surge in the number of female philanthropists wielding influence and resources to address pressing social issues and shape the philanthropic landscape.

• Just last week, MacKenzie Scott announced $640 million to be given to 361 nonprofits through her foundation Lever for Change.
• According to the IUPUI Women’s Philanthropy Institute at the Lilly Family School of Philanthropy, women’s share of wealth has risen considerably over the past 50 years, and today we hold around 40% of global wealth.
• The 2023 Bank of America Study of Philanthropy found that the vast majority (85%) of charitable giving decisions among high-net-worth households are made or influenced by women.

Leadership and Advocacy: Beyond financial contributions, women are also taking on leadership roles in the nonprofit sector, giving their time and talent to drive systemic change.

• ​In recent reports, women compose about 77% of those employed in the nonprofit sector and 70% of fundraisers. U.S. Bureau of Labor Statistics (Data from the Census Bureau ACS PUMS 5-Year Estimate).
• When serving on boards, a BoardSource survey of nonprofit chief executives found that 48% of nonprofit board members and 42% of nonprofit board chairs are women (BoardSource, Leading with Intent: 2017 National Index of Nonprofit Board Practices).
• However, though women are well-represented as employees throughout the nonprofit workforce, they are less common in positions of leadership, especially at the larger nonprofits. Women make up 56% of chief executives at nonprofits with annual budgets of less than $1 million but make up just 22% of chief executives at nonprofit organizations with annual budgets of more than $50 million. GuideStar, Nonprofit Compensation Report (Washington: GuideStar, 2017).

Investing in Women and Girls: One significant area of focus for women in philanthropy is addressing gender inequality. Research indicates that investing in women and girls yields large returns, not only benefiting individuals but also contributing to the overall well-being and prosperity of communities and nations.

• To promote the power of women, United Way Worldwide has created a Women’s Leadership Council within its existing framework. With more than 55,000 members around the country, Women United mobilizes women to advocate for issues important to them, take on leadership roles, and make personal financial commitments. We are proud of our work with six United Ways across the country and how they are driving social change!
• The Women’s Funding Network has united women’s funds, foundations, grantmakers, nonprofits, corporations, and individuals spanning 14 countries to advance the well-being of marginalized genders internationally.
• Leveraging the shared experiences of women leaders, Women Moving Millions has nearly 400 members and provides ongoing learning and training opportunities for women to grow in their philanthropy and leadership and to build a more equitable world.

Women’s involvement in philanthropy is not only reshaping the landscape of giving, but also redefining notions of leadership, empathy and social responsibility.

To make sure that your nonprofit is focused on building a powerful and diverse force of female leaders, consider these questions:

• How can you use creative and innovative ideas to better engage women?
• Are you focused on relationships with your donors and getting to know them personally? Are you thoughtfully communicating impact to your donors?
• Is your database able to acknowledge a woman’s gift individually?
• How could you institute a women’s focused program into your existing fundraising efforts?
• Are women well-represented in your donor recognition efforts, in photos, stories and other materials?
• Are you involving women in leadership positions on your staff and your board?