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2020 offers a roadmap for how to rebuild our communities in 2021.

Our community navigated many unexpected hardships in 2020.

In the face of a tough year, you, our fundholders, showed up in ways we never could have imagined, making 2020 a record year for grantmaking. Your support affirmed what we witness daily: how much you care about your communities and strive to make the greatest impact.

Together, with our fundholders and community partners, we granted $101 million to support our community. Many of you accelerated your giving to support COVID-19 efforts through the Minnesota Disaster Recovery Fund (MDRF) for coronavirus and the Frontline Families Fund. Fundholders also shifted their giving to support racial equity after witnessing the tragic murder of George Floyd in Minneapolis.

2021 Requires Continued Support as Nonprofits Face Extraordinary Challenges

Your generous response to urgent community needs is exactly what is required to rebuild in 2021.

This year we expect continued generosity but also anticipate that many nonprofits will need additional, ongoing support as the sector was hit in several ways by the challenges of the past year. According to the Chronicle of Philanthropy, nonprofits saw a 7.4 percent decline in employment since the beginning of the pandemic. That’s nearly 930,000 fewer workers employed in December than in February.

“Minnesota nonprofits put everything on the line in 2020,” said Senior Vice President of Community Impact Pahoua Yang Hoffman. “They had to be more creative, testing new ways to deliver on their mission during an ongoing pandemic and civil unrest.”

While some nonprofits received assistance through government programs, many may still close their doors due to the ongoing effects of COVID-19.

“They stretched their finances and their time to meet increased needs,” continued Pahoua. “What nonprofits need in 2021 is less restrictive financial support such as general operating dollars that will allow them to build back stronger.”

Exploring Ways to Give

Beth*, a Foundation fundholder, is a great example of how your gifts make a difference.

She funded her donor advised fund (DAF) through the unique gift of gold and then made grants to the Community Sharing Fund (CSF). CSF provides small grants to families and individuals facing short-term financial setbacks. Her gift alone will help up to 26 households address their urgent housing, utility and employment or transportation needs.

David and Janet, avid supporters of the arts, expanded their giving in 2020 to support COVID-19 efforts. The couple made it their purpose to donate to organizations that provide essential services to the community such as Second Harvest Heartland and the Midway YMCA.

These are just a couple of the ways your continuous support has helped others. We’ve learned that in the midst of chaos, you, our fundholders, have no problem stepping up and lending a helping hand. In 2020 we witnessed a new level of inspired generosity and our hope is that this trend will continue in the new year.

To ensure this giving continues in 2021, here are a few things you may want to consider.

Figure out which causes you care about need the most support.
Consider adding nonprofits that are important to you to your estate plan.
Set up a recurring gift to provide your favorite causes long-term stability.

To learn more about how your gifts can support funds and causes, contact your philanthropic advisor today.

*Name has been changed to support the donor's privacy.

The Saint Paul & Minnesota Foundation does not provide tax, legal or accounting advice. Please consult your own tax, legal and accounting advisors regarding your individual situation before engaging in any transaction.

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