Key takeaways on the public perception of nonprofits

Fewer than one in three respondents were aware of cuts to federal funding for charities in 2025, according to the Give.org Donor Trust Report: Public Awareness of Challenges Facing the Charitable Sector in 2025. Based on a survey of more than 1,500 adults across the United States conducted in September 2025, the report examines public perceptions of charities, awareness of changes in federal funding and DEI (diversity, equity, and inclusion) policies, and the potential effects of those changes. Here are some of the key findings:

1. The majority of Americans see charities as promoting social causes, not political agendas.

At least half of respondents agreed (30%) or strongly agreed (20%) with the statement that charities are “primarily engaged in promoting social good causes rather than political agendas.” About three in 10 respondents, however, agreed (20%) or strongly agreed (11%) with the statement that they are “primarily engaged in political agendas rather than promoting social good causes.”

Older respondents were significantly more likely to say nonprofits were primarily engaged in promoting social good causes rather than political agendas. One-third (33%) of matures (age 80 and up), 24% of boomers (age 61-79), and 21% of Gen X (age 45-60) strongly agreed, compared with 15% each of millennials (age 28-44) and Gen Z (age 21-27) and 13% of Gen Alpha (age 18-20).

2. Three in five say charities are more engaged in political issues today.

That said, 61% of respondents agreed (40%) or strongly agreed (21%) that charities are more engaged in political issues today than they were 10 years ago. This perception was consistent across generations, with at least half of respondents in each group saying they agreed or strongly agreed, ranging from 68% of Gen Z and 66% of millennials to 55% of matures.

3. Only about a third are aware of federal DEI policies affecting charities.

As with federal funding cuts, only 32% of all respondents were aware of guidance linking federal funding to a charity’s DEI-related programs or policies.

Among those who were aware, 55% viewed the guidance negatively and 44% viewed it positively. Younger generations were more likely to see it positively, including 53% of millennials, 57% of Gen Z, and 50% of Gen Alpha. By contrast, older generations were more likely to see it negatively, including 57% of Gen X, 65% of boomers, and 80% of matures.

4. Only about a third are aware of federal funding cuts to charities.

Only 32% of respondents knew charities received less government funding in 2025. While 17% believed there were no significant changes, 29% said federal funding to charities increased. The reality is that at least one in five nonprofits (21%) reported losing government funding in just the first four to six months of 2025, and more than a quarter (27%) reported experiencing a delay, pause, or freeze in government funding, according to the Urban Institute. Yet, just under a third of respondents were aware of these funding cuts.

Boomers (42%) and Gen X (36%) respondents were most likely to be aware of federal funding cuts to charities in 2025; only 17% of boomers and 24% of Gen X believed funding increased. Younger respondents, however, were far more likely to believe charities received more federal funding, including 39% of millennials, 37% of Gen Z, and 43% of Gen Alpha.

5. More than a third would be more likely to support charities if they knew of federal funding cuts.

While two-thirds of respondents were unaware of last year’s federal funding cuts to charities, 36% said they would be more to donate to a charity if they knew it had lost significant government funding.

“This gap between awareness and willingness to act suggests communicating about funding challenges could help strengthen public support for affected organizations,” the report’s authors note.

6. Three in five expect federal funding cuts to charities to affect the most vulnerable populations.

Sixty-two percent of respondents agreed (34%) or strongly agreed (28%) the cuts in federal government funding for charities would impact the most vulnerable populations in the U.S. Just over half (51%) said the cuts would primarily affect vulnerable populations, with limited impact on others, while 47% said they would affect all Americans.

As for the impact on nonprofits, 60% said the cuts would change the types of causes that can endure or thrive. However, only 43% thought they would make charities more agile and independent by reducing government requirements, and 36% said they would reduce bureaucracy in the charitable sector.

“These differing perspectives suggest the importance of clear, value-based communication from charities,” the authors conclude. “By emphasizing transparency, mission alignment, and shared values, organizations can help strengthen trust across diverse donor audiences.”

The data in this report underscores the need to change the narrative and raise public awareness of the wide-ranging impact nonprofits make and the challenges they’re up against, including cuts to government grants.

This article is part of a regular feature where Candid insights shares key takeaways from a new research report to encourage a more data-driven approach to the sector’s work. Please email insights@candid.org to recommend a report for an upcoming feature. 

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