Five Giving Trends in Today’s Church

Much about church giving is changing. Worship attendance, conversions, and baptisms are often the most scrutinized metrics, but giving trends are close behind. Below are five macro trends that are affecting most churches in the United States.

Trend 1: Millennials will have less giving potential than their parents. Unless an unexpected economic shift occurs, Millennials will continue to be poorer than their parents. Numerous reasons are the cause. Tuition at colleges has tripled since 1980, even after adjusting for inflation. Household income has risen four times more quickly with the older generations than with Millennials. The federal government now spends almost $7 on programs for seniors for every $1 spent per capita on programs for children. The young poor are getting poorer. The chart below demonstrates that poverty was largely among the older generation prior to the 1970s. Now poverty is largely among the younger generation. The Millennials will make less—perhaps much less—than previous generations, which means their giving capacity as a whole will be less.

Trend 2: Giving will be more concentrated at the largest churches. The biggest 10% of churches hold about 50% of all monies given to congregations, and this concentration is intensifying as more and more people are going to larger churches. In the future, larger churches will continue to garner more of the total resources given to churches. Many will bemoan, if not outright condemn, this trend. I understand the sentiment. However, I believe any church—large or small—can be a resource giant.

Trend 3: Independent funding mechanisms will increase in popularity. The ubiquity of the Internet creates a climate in which anyone can be connected to everyone. Smart phones make this connectivity mobile. Churches no longer need a denomination to create a system of connectivity for funding ministries and missions. Are there reasons a church should stay with a denomination for funding missions or other ministries? Yes, but needing a system of connectivity is no longer one of them.

The problem is many leaders within denominations have continued to champion “the system” of funding even though churches don’t need it any more. At the same time, denominational loyalties are in decline, which exacerbates the declines in giving to denominational work. Additionally, operating costs are increasing in local congregations—it’s more expensive to run a church than it used to be. The result of these factors converging is the rise of independent funding mechanisms. I can more easily support my friend serving in Rwanda than I can my denomination, and I have more of a personal connection to her anyway. I like her Facebook page, not my denomination’s Facebook page (actually, my denomination doesn’t even have one!). I get personal emails from her, not leaders in my denomination.

Trend 4: Giving patterns in churches are becoming less consistent. People are still giving, just not asconsistently to churches. In fact, churches are getting less of total charitable giving. Overall, charitable giving is on the rise in the United States, but churches are receiving a smaller portion. In 1987, religious organizations received 53% of all charitable donations. In 2014, religious organizations received only 32% of all charitable giving, a 30-year dramatic downward slide.

Trend 5: Digital giving is the future. Mobile devices now account for over half of all Internet traffic. Digital giving is the future. And to some degree, it’s a discipleship issue. The spiritual discipline of giving will become completely digital in the future. Gifts of pure gold became coinage. Coinage became paper money. Paper money became checks. Checks are already going digital, especially with younger generation. Digital giving tools help people with the spiritual discipline of giving.

Many pastors feel a shift occurring in their churches. Their intuitions tell them the future of church giving will be different. Perhaps your instinct leads you to believe giving patterns are changing in your church. Most likely, your instincts are correct. These five macro trends, in particular, are affecting many churches and will continue to do so in the future.

This post is an excerpt from a research article I wrote for Church Answers. It’s part of a premier coaching ministry with Thom Rainer.


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ABOUT THE AUTHOR

Sam Rainer III

Sam serves as president of Rainer Research. His desire is to provide answers for better church health. He also serves as senior pastor at Stevens Street Baptist Church Cookeville, TN. Sam is the co-author of the book, Essential Church. He is a theological review editor at CrossBooks and regular contributor to Church Executive magazine. He has written dozens of articles on church health for numerous publications, and he is a frequent conference speaker. Before submitting to the call of ministry, Sam worked in a consulting role for Fortune 1000 companies. Sam holds a B.S. in Finance and Marketing from the University of South Carolina and an M.A. in Missiology from Southern Seminary. He is currently working on his Ph.D. in Leadership Studies at Dallas Baptist University.

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If someone wants entertainment they're going to the wrong place. Church is not a place for entertainment...or in my opinion a barrage of coffee and donuts. Why are churches today bringing the world INTO them? Then there's the thing with children...age appropriate??? These little guys can pick stuff up in service. Besides Jesus said Suffer little children, and forbid them not, to come unto me: for of such is the kingdom of heaven. Mt. 19:14.
 
— Laurie
 
I love the intentionality here as well as the challenge to look at the data. That's missing so many times. I would like to offer a contrarian's take. Church members and regular attenders have so many ways to get information: Announcements, bulletins, social channels, relationships, and email being among the options. But brand new people are likely going to check out the website and that's it. It might be wiser for churches with limited time and resources to focus their website almost exclusively to guests. This group of people isn't looking for a calendar of events but wants to know about regular programs. They probably aren't interested in watching all of the messages but instead may want to preview one of the services. For the times we need church members to go to websites (sign up for camp, join a group, etc), we're probably better off designing and promoting a specific page rather than cluttering up the homepage.
 
— Michael Lukaszewski (@mlukaszewski)
 
A great question! Unfortunately, the Church Unique Kit is no longer available in print form. We are working on revising it and updating it into an online experience, but that project is at least six months out. An alternative is to come to an upcoming certification class. There is one May 15-18 in Houston, and October 23-26 in Atlanta.
 
— VRcurator
 

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