How to Navigate the 18 Trillion Dollar Wealth Transfer with Strategic Giving

A new wave of donors is coming, and they are poised to reshape the philanthropic landscape. Armed with purpose, wealth, and a desire for real impact, donors in their 30s and 40s are beginning to inherit and deploy more than $18 trillion in generational wealth. But despite this potential, many nonprofits are missing the mark.

Why?

Because these donors are not engaging the way previous generations did.

Meet the Next-Gen Donor

(Spoiler: They have little interest in galas!!!)

Younger donors are values-driven, tech-savvy, and short on time. They care deeply about social justice, climate action, and equity, but their lifestyles look different:

• They are juggling careers, caregiving, and young families

• They do not have time or interest in traditional engagement like board seats or fundraising dinners

• They expect transparency, measurable impact, and digital ease

  
  

This does not mean they are not ready to give and support. It means nonprofits need to adjust their approach.

What This Means for Nonprofits

If you are waiting for these donors to “get more involved,” you may miss your moment.

Instead, nonprofits should:

• Offer flexible ways to engage, such as low-pressure advisory councils, virtual volunteerism, or family-friendly events

• Show impact with clarity by demonstrating exactly where money goes and what it achieves

• Build relationships early and start conversations before the wealth fully transfers

  
  

Meeting donors where they are is not just smart. It is essential.

Resources to guide those new wealth holders

Many people in this situation understandably rely on their financial advisors to guide major financial decisions. Tax law and financial tools can be complex and overwhelming, and advisors play a key role in setting clients up for both short- and long-term stability.

However, most financial advisors avoid offering philanthropic guidance—sometimes because their firm prohibits it. As a result, decisions are often made solely based on tax advantages, and that’s where the story ends.

Take this recent example: we were speaking with a large financial organization in Boston that proudly shared how they helped clients save on taxes by setting up donor-advised funds (DAFs). But when asked what happened to the money in those funds, in their discussion he realized one specific client’s DAF had grown by millions over the past decade—while the donor continued giving the same $400,000 annual gift to the same organization, and nothing more.

The Role for Philanthropic Advisors

To be clear, it’s not a financial advisor’s job to direct charitable giving. That’s where a skilled philanthropic advisor comes in—to help donors understand how to use their funds for real impact, both today and in the future. They help individuals and families to: 

• Clarify their values and giving goals

• Structure strategic, long-term giving plans

• Vet nonprofits and assess impact

• Navigate family dynamics and legacy conversations

  
  

Remember, next-gen donors are so busy. Financial decisions can be overwhelming in and of themselves. Many put off their philanthropic decisions till later… 

The Opportunity for Impact

“Impact” being the key word here. Nex-Gen donors don’t like just writing checks. Donors want to see innovation alongside impact, dumping traditional fundraising practices altogether. 

Today, donors are building “impact portfolios,” launching family foundations, and funding startups focused on social change. This type of strategic thinking requires advisors who can guide conversations, create collaborations between organizations, and sometimes even between sectors. There is a real call to think outside the box. 

Those who prioritize flexibility, clarity, and authentic relationships will thrive in this new landscape.

Now It’s Over to You, Nonprofits

Next-gen donors are ready to give, but on their terms. They want giving to feel efficient, meaningful, and aligned with their values.

Organizations successfully engaging this demographic are thinking big—finding ways to make it easier for next-gen donors to connect with their mission. That means speaking their language, using their communication tools, and meeting them where they are, in ways that match their interests and capacity.

If you want to be part of their journey, start now. Collaborate with advisors. Update your engagement strategies. Show your impact clearly.

In this new era of giving, nonprofits that are proactive, transparent, and donor-aligned will not just survive. They will lead. If you’re looking for support in creating a philanthropic strategy for yourself or your family, Wright Collective can help. We work with many high-net-worth individuals to develop both short- and long-term giving plans that create lasting impact on the causes that matter most to you. Let’s chat about how we can help you turn your values into meaningful action.