How The Chronicle Measured Generosity of America’s Largest Corporations

The Chronicle of Philanthropy’s annual report on charitable contributions made by the nation’s largest companies is based on financial information from 70 of the most profitable companies in the United States. The report was produced using a combination of survey data and information reported to the Internal Revenue Service.

The Chronicle queried the 150 highest-ranking corporations on the 2014 list of the Fortune 500, Fortune magazine’s annual compilation of the top companies by revenue. The analysis reflects information received from those who responded or that otherwise could be found in public reports.

Corporate giving includes cash and product donations distributed in the United States and abroad. Cash totals include money donated by corporations to charities in the United States and grants awarded by company foundations. However, to avoid double-counting, the figures do not include money that companies transfer to their foundations.

The figures do not include the value of paid time off for employees who volunteer. Product giving captures the fair-market value of goods donated (unless otherwise noted).

Although companies are required by law to disclose their profits and losses, they are not required to disclose data about their giving practices. Company foundations must follow the same disclosure rules as all other private foundations, providing details on their tax forms to the IRS about how much money they give each year. The Chronicle has included giving figures for nine companies based on these tax forms.