From Madam C.J. Walker to Mackenzie Scott, Women in Philanthropy

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Philanthropy in the U.S. is an industry with humble beginnings. While many think of prominent business leaders like Andrew Carnegie and John D. Rockefeller as fathers of philanthropy, early charitable efforts in what would become the U.S. date back to colonial times, and women were at the center.

Women’s philanthropy in America had religious roots, with colonial-era nuns, deaconesses and other women of faith providing charitable services to members of their communities in need. As American wealth grew, women began to take on more established roles in philanthropy, often as wealthy donors themselves. A prime example is Madam C.J. Walker, the first self-made female millionaire in the U.S., who used the wealth she made in her successful hair-care business in the early 1900s to fund YMCA facilities, support anti-lynching efforts and further the mission of the NAACP. Women’s role in the social support sector grew in the mid-20^th century, with women entering the nonprofit leadership workforce and the rise of organizations advocating for women’s rights.

Contemporary women’s philanthropy has continued to evolve, with women now making up a majority of the nonprofit and philanthropic workforce. In recent years, women have become increasingly influential in philanthropy, and many are known for their generosity, innovation, and trust-based approach to philanthropy.

MacKenzie Scott has earned a reputation for giving substantial unrestricted grants to nonprofits addressing racial equity, public health and gender equality. Her no-strings-attached approach has been transformative for many organizations, while sparking debate about unrestricted giving. A recent report from the Center for Effective Philanthropy suggests that Scott’s method is working. Grantees receiving funds from Scott reported that the grant strengthened their long-term financial stability, increased confidence in their leadership and strengthened their causes or local communities.

Another pillar in philanthropy is Melinda French Gates, co-founder of the Gates Foundation and currently leading Pivotal, an organization that she founded in 2015 to accelerate the pace of progress and advance women’s power and influence in the U.S. and around the world. During her two decades at the Gates Foundation, French Gates set the direction and priorities of the world’s largest philanthropy. She has cemented her powerhouse status at Pivotal, announcing in 2024 that she would spend $1 billion globally over two years supporting women and families. French Gates has adopted a multi-faceted approach, leveraging not only traditional philanthropy but also high-impact investing, partnerships and advocacy to get more power in the hands of women.

French Gates encourages other philanthropists to join her, even creating $20 million in funds for 12 diverse global leaders to support charitable organizations important to them, including Allyson Felix, a decorated Olympian and advocate for Black maternal health, and Jacinda Ardern, former prime minister of New Zealand and supporter of climate activism.

Before Scott and French Gates, there was Oprah Winfrey. The TV host, actress and producer was the first African-American to be named to Business Week’s list of the top 50 most generous philanthropists. Winfrey’s funding has included millions of dollars towards providing a better education for young people, including establishing the Oprah Winfrey Leadership Academy for Girls in Johannesburg, South Africa. In 1998, she established the public charity Oprah’s Angel Network, which began as a challenge to the viewers of her daytime talk show to collect spare change for scholarship donations. Over more than a decade, the Angel Network raised more than $80 million, establishing schools in more than 13 countries, building youth centers and homes, granting scholarships and supporting women’s shelters.

These are just a few examples of women in the spotlight who have recently changed how the wealthy give. Based on current trends, we can expect more women to give significantly and impact how philanthropy operates going forward. A litany of stats from a recent SSIR article suggests a rising tide of female-led giving. Women now control one-third of all U.S. household financial assets and 40 percent of the world’s wealth. Women are the primary or joint decision-makers in high-net-wealth households, influencing or making 85 percent of a family’s philanthropy-related decisions. According to McKinsey, women will control 70 percent of the estimated $50 trillion asset transfer from baby boomers in the impending wealth transfer.

What can we expect from this growing influence of women in philanthropy? Giving by women tends to be collaborative, leveraging relationships, partnerships and shared goals to drive more impact. They often give to issues with which they have personal experience, like education, health, economic mobility and gender equity. Research has shown that this type of investment in women benefits society as a whole. Girls who receive an education have healthier children and earn higher incomes. Closing the credit gap for women would result in a 12 percent increase in average annual income across genders by 2030. There are scores of other examples that show investing in women benefits all of us.

As Melinda French Gates has said, “Decades of research on economics, wellbeing, and governance make it clear that investing in women and girls benefits everyone.”

As we celebrate Women’s History Month, let us honor the increasing influence that women have had in funding the support and innovations that lift up our society, with hope and excitement for the female philanthropists of the future.