Jewish Federation - Fundraising and Spending

Fundraising and Spending

Federations raise money for central "community chests" that support the organizations of the entire local Jewish community. Between 30 and 50 percent of Jewish households in the United States typically contribute to their local federation.

They engage in centralized planning for the needs of the local community, and may provide centralized administrative services for their constituent agencies. Federation spending and efforts have adapted as the need for particular social services has changed—for example, from Jewish orphanage work in the early 1900s to retirement homes in the late 1900s.

More than half of all funds raised by federations are earmarked for various local Jewish social service agencies, with the largest single allocation to Jewish education, typically constituting 25 percent. After education, Jewish community centers, family and child services, homes for the aged, and campus Hillels are the next largest drawers of financial support.