Five tips to guide your gifts

If you itemize rather than take a standard deduction, you probably think about last-minute charity donations. Even if you don't itemize, holidays are about giving; Thanksgiving to New Year is the biggest time of year for the millions of Americans who give billions of dollars to charities at year-end.

There are so many needy and worthwhile nonprofits; some have greater tax benefits or may be closer to one's heart and experience. And for those whose budgets can't afford the monetary kind, time is as precious a currency and most local charities need volunteers year-round.

It can be tough to make choices. To help, and to remind those who can give that the need is year-round, Charitynavigator.org - which independently rates thousands of large charities - offers five tips:

1. Follow your philanthropic passions: Don't settle for an organization that isn't a match for your beliefs and goals. So many exist that no matter what cause you support, there's a charity out there to match it, and odds are good that it's local (who else will support them if not the community they serve?). Take the time to find it, then confirm it offers the programs and services assumed.

2. Ensure efficiency, ethics and effectiveness: Before giving money or time, check that the charity is fiscally healthy, accountable and transparent, and gets the results pursued by its mission. Charities that share financial and governing information publicly are less likely to engage in unethical or irresponsible activities (even unintentionally). Donors may peruse news reports (searchable at CdaPress.com) and the nonprofit's website, perhaps call and talk to staff about their impact. Go beyond heartwarming stories and consider the quality and depth of the work. Look for charities that measure their performance and report to their supporters. When they don't meet targets they have set for themselves, they should be showing that they adapt, learn, and improve.

3. Recognize that 100 percent of your gift cannot go toward programs: In an effort to build donor confidence in their work, some charities claim all monies donated go toward their mission. Yet however it's calculated, most have administrative and fundraising expenses, basic infrastructure, postage, and insurance expenses, etc. Efficiency and reasonable overhead (which can vary by nature of the work) generally leaves about 75 percent of budget to programs and services. There are exceptions, though, like Press Christmas for All, where the Hagadone Corp. pays for all expenses and volunteers handle the rest.

4. Share your intentions and make a commitment: One-time donations help of course, but charities always need reliable incomes and partnerships with which they can budget in advance. So, once you have found an efficient charity that matches your passion, consider making a monthly, quarterly, or annual commitment with the understanding that you are a partner in the charity's efforts to bring about real change, especially in your own community.

5. Follow your investment: Annually review your giving portfolio. You're not looking for a list of itemized expenses, but instead a progress report. Your chosen charity should be able to tell you what kind of results it created from your investment.

Americans have steadily given an average 3 percent of their incomes to charity, a figure that has not changed much through the years. However, while 25.4 percent of adults in the United States volunteered about 8 billion combined hours in 2013, representing approximately $163 billion worth of work, fewer individuals volunteered in 2013 than in 2012. Let's reverse that trend.

Sholeh Patrick is a columnist for the Hagadone News Network who has served on several local nonprofit boards. Contact her at [email protected].