Making a charitable donation is a great idea when you’re doing things that help other people, but it’s often tough to know if your money is going towards a good cause. It would help if you did your research before donating. We have a few tips that will help you make sufficient charitable donations.
Choose Wisely
It would help if you chose your charity wisely. If not, your money could go into a black hole. There are a few organizations that review and rate each charity. They will tell you how the charity will spend your donation. You’ll get to know exactly where all of your money goes. You also need to understand how each charity pays for administrative costs. Some charities spend a lot of money on administrative costs, meaning your money isn’t going as much towards programs and services. It’s also essential that you know your charity is legitimate. If a solicitor approaches you, do your research. If you give your personal information to them, it could mean bad news. If a charity is legit, they won’t hit you over the head for donations. Ask them to send you information so you can make a decision.
Keep Records
Though most people don’t give to charity to get a reward, you might get a little back if you keep records. Most donations can be deducted from your taxes each year. It’s essential to keep your copies of receipts, checks, and bank statements about your contributions.
Automatic Donations
Making automatic donations is the easiest way for many people to give to charity. You can set your contributions to monthly or bi-monthly, etc. This also lowers fundraising costs by establishing a foundation of donors that provide regularly. You benefit because you don’t have to think about giving your donations every year. This helps with your records and simplifies your books.
Don’t Always Give In Cash.
Cash donations are significant, but you don’t always have to give in the form of money. You can give items, gifts from your IRA, contributions from stock, or real estate. Ask the charity what they need the most at this time. Cash goes far, but open your mind to other options.