Philanthropy in Australia: Trends, Tax Benefits & How to Give in 2025

Philanthropy is no longer just the domain of billionaires and corporate giants. In 2025, Australians from all walks of life are embracing giving, from workplace giving programs to everyday acts of generosity. With new government incentives, a sharpened focus on impact, and digital tools making donations more accessible than ever, philanthropy is reshaping both community wellbeing and personal financial strategies.

The New Face of Philanthropy: Trends in 2025

The Australian philanthropic landscape is evolving rapidly. According to the Philanthropy Australia Giving Trends Report (2025), giving has surged, with an estimated $14.2 billion donated by Australians in the past year—a record high. This growth is being driven by several factors:

• Rise of digital giving platforms: Apps and online platforms have made it easier to give, track impact, and even automate recurring donations.
• Younger generations stepping up: Gen Z and Millennials are more engaged, seeking transparency and impact from the causes they support.
• Corporate and workplace giving: Major employers now commonly match employee donations or facilitate salary sacrifice programs, amplifying individual contributions.
• Impact investing: Australians are increasingly blending investment with social good, seeking returns that benefit both their portfolio and society.

Notably, the government’s 2025 budget increased support for charitable organisations, with a $200 million boost to the Community Sector Investment Fund and streamlined Deductible Gift Recipient (DGR) processes, making it easier for new charities to gain tax-deductible status.

Financial Benefits: Tax Incentives & Structured Giving

Giving back isn’t just a feel-good exercise—it can be a savvy financial move. The Australian Taxation Office (ATO) allows individuals and businesses to claim tax deductions for donations of $2 or more to DGR-endorsed charities. In 2025, new rules have expanded the list of eligible causes, including more grassroots and environmental organisations.

• Private Ancillary Funds (PAFs): These continue to be a popular vehicle for families and businesses looking to make strategic, long-term contributions. PAFs allow donors to receive an immediate tax deduction while distributing funds over time.
• Workplace giving: Employees can donate pre-tax, reducing their taxable income and making it easier to support causes regularly.
• Bequests and planned giving: Leaving a gift in your will or setting up charitable trusts can have lasting impact and provide estate planning benefits.

For example, a Sydney couple who set up a PAF in 2022 reported not only a sense of satisfaction but also improved tax outcomes, allowing them to support medical research while managing their annual tax liability more efficiently.

How to Get Involved: Making Philanthropy Work for You

Philanthropy is deeply personal, and there are options for every budget and interest. Here’s how you can make a difference in 2025:

• Start small: Micro-donations, such as rounding up purchases or supporting crowdfunding campaigns, add up over time.
• Set up recurring giving: Automate monthly donations to causes you care about, ensuring steady support for charities.
• Join a giving circle: Pool resources with friends, family, or colleagues to fund bigger projects and see tangible results.
• Leverage employer programs: Take advantage of workplace giving and employer matching to maximise your impact.
• Consider impact investing: Look for managed funds or superannuation options that channel investments into social and environmental causes.

Many Australians are also volunteering their time and skills, which, while not tax-deductible, can be just as valuable as financial contributions. From mentoring young people to supporting local environmental projects, hands-on philanthropy is on the rise.

The Road Ahead: Philanthropy as a Financial Strategy

Philanthropy in Australia is more inclusive, innovative, and impactful than ever. With government support, tax incentives, and new ways to give, it’s never been easier—or smarter—to make generosity part of your financial plan. Whether you’re donating a little or a lot, every contribution helps build a stronger, fairer Australia.