Generousity redefined

Generousity has long been a defining American characteristic. But how generous are we, really? A study by a new advocate for more charitable giving, New Tithing Group, has taken a somewhat novel approach to this measurement. Their surprising conclusions are reported by the New York Times in Philanthropy From the Heart of America.

New Tithing Group analyzed tax returns reporting high incomes and itemized deductions. They inferred liquid assets from reported dividend and interest income, then added this amount to reported taxable income to create a denominator. Total charitable gifts were the numerator. Although "tithing" means dedicting a tenth of one's income to charity, adding liquid assets to the computation obviously changes the formula. Given this unusual approach, the most generous live in Utah—they give 1.63% of their assets away each year. The rich states of California and New York fall near the median, tied for 21st place with Maryland and Wisconsin, with a giving rate of .74%.

Look for Nebraska, ranked third this year, to zoom to the top of the list next year. Warren Buffett's extraodinary gift to the Bill and Melinda Gates Foundation wasn't included in the calculations.