Donations to Catholic parishes steady, post-pandemic, but by far fewer donors
“People who were less engaged before became more so. Infrequent givers stopped going during covid and haven’t come back. The base of people shrunk significantly. That was the scary part for us from a sustainability point of view,”
Total giving at 989 parishes across the country went from $876 million in the year before the pandemic began — April 2018 to March 2019 — to $840 million during covid-19’s first year before bouncing back to $891 million in the year that ended March 2022, Villanova found. However, once adjusted for inflation, the level of giving was roughly the same as before the pandemic.
. The number of donors fell 26 percent from before the pandemic to mid-2020. The most recent data — up to mid-2022 — shows the number of donors climbed a bit but is still 16 percent lower than the norm before.
Those fewer people, Villanova found, are giving more. Average giving per person at U.S. parishes in 2018 and 2019 bounced around the $600s. During fall 2020 to winter 2021, giving shot up to $851 and was $713 in the spring and summer of last year.
Some general findings for denominations by other researchers
People who could afford to give were giving at higher levels during the pandemic, and Americans in general had more disposable income because of traveling or going out less. The shift to online giving results in many cases in more giving, because people can easily set up a regular donation without having to think about it,
The Indiana University Lilly Family School of Philanthropy in 2021 said that for the first time in its two decades of research, fewer than half of American households had made charitable donations in 2018, the most recent year for which data was available. That was a drop of almost 17 percentage points from 2000.
And the decline in the percentage of households that donate to religious causes outpaced the decline in the percentage of households that donate to secular causes.
An earlier study had found that:
Catholic parishioners gave more money to churches that went online during quarantine than to those that did not
The analysis, which looked at 169 parishes of different sizes, locations and backgrounds, found one in six experienced an increase in donations during the period reviewed. The center’s research looked at the last 15 weeks of fiscal year 2020, which was April through June 2020. The projections extend through June 2021.
The center estimates one in five parishes will see collections drop 50 percent or more by next June — if they don’t adopt changes, in particular offering online worship, Bible study and other engagement.
“The parishes that were able to survive adopted digital technology immediately. … The ones that didn’t are in bad shape — very bad shape,” said Matthew Manion, the center’s faculty director. The center does academic research and also trains church leaders. “For some, you can’t go to Mass, and there isn’t much for you to do online.” But “if there is ministry online and outreach programs,” he added, that’s different.
"The shift to online giving results in many cases in more giving, because people can easily set up a regular donation without having to think about it,"
ReplyDeleteI think this is true. The archdiocese had a system during Covid restrictions where people could set up to donate automatically online to their parish. Which we did. You could also just put your envelope in the slot at the parish office, or mail it. Which some people did, but requires another layer of intention. Eventually after restrictions ended, the archdiocese started charging a fee to continue with their online system. At that point we ended auto donations through them, and set up through our own bank for auto payment. No fee, and very easy to get started. I assumed most people would be doing that. Turns out they were not.
Fast forward to the present. The parish still very much relied on the envelope system. People got envelopes in the mail each month from the publisher. Something happened toward the end of 2022 with the publisher that they didn't get the envelopes sent out in time and won't resume their regular mailing until March. It caused a crisis of sorts. The parish put generic envelopes in the pews, and people could also just use their own envelopes, or set up like we did with their bank.
One of my friends is a volunteer to help count the donation money on Monday morning (three people are required, for audit purposes). So I asked her what percent of the parish are donating automatically. She said only 8 households. There are over 700 registered families. At this point I was kind of "face-palm", how long does it take for people to get in the 21st century?
Up until now the parish hasn't done too badly, donations were nearly, but not quite, pre-covid levels. But the envelope crisis has put a crimp in things. I remembered that we used to just pick up a box of envelopes at the back of church each year. I suggested doing that again to avoid postage and publisher glitches. Was told that the parish was too big, that was old fashioned. Ookay.
Although on-line giving was introduced in my parish before the pandemic, I preferred envelopes. I liked the symbolism of giving during the Mass.
DeleteI particularly dislike the idea of automatic bank payments; it turns the parish into just another utility.
Most of the money that I contribute to the parish goes to the Saint Vincent de Paul Society and the Foodbank. However, since I don't like automatic payments except for utilities, it is difficult to remember to mail my envelopes in quarterly.
I like the automatic bank withdrawal because it doesn't depend on me to remember where I put the envelopes, and then remember to put it in the basket before Mass, if I'm in choir. It also ensures that the donation goes in if we are gone for the weekend. I do use the envelopes for things like the retired religious fund, and Catholic Relief Services, etc.
DeleteMany things are going on here.
ReplyDeleteThe pandemic introduced many Catholics to virtual worship. They worshiped on-line not only with their own parish but other parishes and even other denominations. Most said they planned to return to parish worship.
Obviously, that has not happened for a substantial number of Catholics. What has happened to those that have not come back to their former parishes? Perhaps many are now engaged in virtual worship at other parishes. Parishes that offered virtual ministry not only retained parish members they also increased revenue. Some likely increased effective parish membership by attracting on-line views.
Saint Cecilia’s parish in Boston which puts a lot of effort into its on-line presence now has about 8000 viewers each week from all over the country, and even the world. They are trying to figure out how to serve their distant congregation. They have a very good liturgy which features good congregational singing led by a quartet of cantors. Those cantors embellish the liturgy without confusing the congregation. The parish has excellent audio-visual equipment with multiple camera shots, and someone who knows how to use them. For example, when a cantor does a descant, the camera fixes in on him or her. They have excellent homilists.
This parish has been able to rival the National Shrine which has excellent audio-visual equipment, a superb backdrop of mosaics, a well-known choir that records, and a good production crew to integrate everything. Their homilists are not so excellent. They also get about 8000 viewers a week.
During the height of the pandemic when people were not shopping and going out as much, there was obviously money accumulating in bank accounts. Some of that went to parishes which marketed themselves online and/or had programs to benefit the needy, e.g., the homebound. Now we have the situation in which people have resumed shopping. However, inflation has increased prices. Now parishes are competing with more alternatives in a world where the consumer has reduced buying power.
Lots to slice and dice here.
ReplyDeleteWhat Katherine said about the envelopes is fascinating. Raber uses envelopes, and the location of the envelope box is the only thing he never gets forgetful about or loses. He is a creature of habit, and no envelopes, no donation.
During the pandemic, when the parish was not holding live services, he mailed small payments in once a month or so. He gave more money to CNEWA, his favorite charity.
The diocese bills him for his pledge amount, so they made their nut off him.
We both gave hefty (for us) tips to the local grocery store, which would send someone out to get your grocery list and fill it for you while you waited, in those days when covid was scarier and there were no vaccines. Bless them, they set this deal up for seniors and cancer patients before Kroger or Meijer even had online ordering in our county.
I don't know what Raber's giving levels are now, but I see by the parish bulletin that they're raking in twice as much $$ as they used to because of Father's Trad Fan Club. It also helped the bottom line that most of those folks are anti-maskers who believe that God would not strike them sick at Mass. They crowded back to church as soon as services were offered again.
Anecdotal and local info, but I do wonder if it reflects larger trends about who the financial mainstays in the American Church are.
“The diocese bills him for his pledge amount”
DeleteDioceses also tax parishes for the support of the diocese. Sometimes it is a flat rate for parishes, but more often it is a percentage of their receipts. In our diocese, there is a lessor rate for parishes with schools than those without. Schools are not taxed. Also, in our diocese special collections and one-time donations are not taxed.
In addition to taxing parishes, dioceses raise money by a variety of appeals, some of them are annual (our diocese has a Catholic Charities annual appeal); some of them are one time appeals in which pledges are paid off over a number of years. What gets supported by taxes, annual appeals and one time appeals varies from diocese to diocese.
The more sophisticated of these one- time diocesan appeals now have a provision that the parish has a certain goal to meet. If they meet that goal, they get a certain percentage of the goal plus a larger percentage of anything over the goal. Parishes get the money from the diocese only as pledges are actually met.
Meeting the parish goal is often managed in a very sophisticated way. Parishes suggest to parish members how much money they should contribute based on their history of giving to the parishes. The pastor then goes to the highest givers on his list to personally arm twist them. For example, in our parish the widow of a doctor was asked for $30,000 when I was asked for only $3,000. Using this arm twisting of high donors, the parish can quickly advertise to its members that people are really supporting the fund drive when it is really the wealthy members who are supporting the drive.
One bishop of a neighboring diocese who got promoted to another diocese went around the diocese personally soliciting funds from his wealthiest donors before he left.
The there are all sorts of personal gifts to pastors and bishops: cars, vacations, etc.
Don't know about incentuve gifts, but what you describe sounds like Bishop Boyea's one-timr Witness to Hope appeal. The diocese offered an expected amount for the parish, and individual payments were suggested for each family. Raber couldn't afford it up front, but, not to worry, the diocese set him up with a convenient monthly payment plan that he is still paying off. I do worry that after I'm gone, he will be imprudent about the amount of money he gives to the Church.
Delete"The pastor then goes to the highest givers on his list to personally arm twist them." That tactic can backfire. No one wants to be though of primarily as a check-book with legs. 20 or so years ago we had a priest (who has left the priesthood) who raised funds like that. The next priest had a lot of smoothing over to do. I think it's better when they encourage everyone to give according to their means.
DeleteI used online giving during the pandemic and do it when I'm indisposed and can't attend. I prefer putting it in the basket but there is one strong advantage to online. Here is an article about what happened to MY Church.
ReplyDeletehttps://www.pahomepage.com/news/woman-sentenced-for-stealing-1-5-million-from-church/
Stanley, yikes! That's a pretty big sum of money. We've had some instances in the archdiocese, fortunately not that big. It seems like a gambling addiction is often at the bottom of it.
DeleteMy older son works in the compliance department of an online brokerage firm. He said entities such as non-profits and churches are a soft target for embezzlement.ecause of lax security and oversight.
Did they figure out where the money went? I think I'd have a hard time spending a million and a half bucks. I don't think I made that much over the entire course of my working life.
I'd be less concerned about whether she spent time behind bars than how she was going to make restitution.
Katherine, I think she spent some on home improvement. Originally, the sum was $500k but I guess the forensics uncovered more. I'll have to ask some of the cognizenti if they know how it turned out. I doubt she could recover enough funds to pay it back. The pastor who was leaving due to early onset dementia told the new pastor to keep an eye on her. He sniffed something. But she was working under him for almost all those 17 years. At least, this time, it wasn't a priest.
DeleteEmbezzlement of large amounts by laity, especially at diocesan levels is not unusual. That happened in Cleveland, Philadelphia and New York in recent decades. All the cases were discovered by outside entities when red flags were raised by unusual transactions.
DeleteWhat about the clergy and the bishop himself? I suspect that laity learn to embezzle by observing or hearing about clergy who do it. Insiders have said that if we knew the full extent of the financial scandal that it would be worse than the sex abuse scandal.
This case got a lot of coverage in DC. But he didn’t get off nearly as lightly as the woman at Stanley’s parish.
Deletehttps://www.ncronline.org/news/va-pastor-serve-time-embezzlement
This IS America where Mammon is the god just about everyone worships. I suppose some might be inspired by clergy but I think a lot of cases are spontaneous. Possible whenever anyone is handling lots of cash. Whether or not the Church has enough if it, it has a lot, and where there's money, there's theft.
DeleteTwo priests in this diocese: https://www.lansingstatejournal.com/story/news/2017/09/22/5-years-prison-priest-who-stole-thousands-owosso/693997001/
DeleteFr Fisher was priest in the parish where The Boy went to Catholic school.