Tips for charitable giving

On the heels of Black Friday and Cyber Monday comes Giving Tuesday, a reminder to support local charities. Their oft-overlooked role in supporting communities fills the gaps between government and individual resources. Need has increased since the Recession, but so has giving; Americans donated a record high $373.25 billion in 2015, according to Giving USA’s annual report.

Donations are concentrated at year-end, coincident with the holiday spirit, and yes, tax deductions. Worthy causes are too many to mention; some have greater tax benefits or may be closer to one’s heart and experience. For tighter budgets, time is as precious a currency. Volunteers are a hot commodity, and that human-to-human connection does both hearts good.

With so much need, it’s tough to choose. Consider these tips from nonprofits and Charitynavigator.org:

1. Follow your philanthropic passions: Not every worthy organization matches individual priorities. Dozens of causes include abuse (e.g., CASA, Safe Passage, ICARE); homelessness and poverty (St. Vincent de Paul, food banks); 3Cs (cancer and more). With hundreds of nonprofits in North Idaho, no matter the cause you support, there’s likely a charity to match, hopefully local. Who else will support those if not the community they serve?

2. Ensure efficiency and accountability: Is the charity fiscally healthy? Transparent? Does it get the results the mission pursues? Those which publicly share financial and governing information seem less likely to have problems, even unintentional. Donors may peruse news reports (searchable at CdaPress.com), the nonprofit’s website, perhaps call and talk to staff about their impact. Beyond heartwarming stories, consider the work’s quality and depth. Do they measure performance, report to supporters, and track progress? No one is perfect, but healthy boards adapt, improve, and learn from identified problems.

3. Recognize it won’t all go to programs: To build donor confidence, some charities say 100 percent donated goes toward the mission. Yet however calculated, all have some administrative, infrastructure, or fundraising expenses. Cases vary, but such expenses (which vary by nature of the work) on average leave about 75 percent of budget to programs and services. An exception is Press Christmas for All, where all the money raised does go to needy Kootenai County residents.

4. The IRS gives back. While charity isn’t all about tax benefits, some offer more than others. All qualified charitable giving offers deductions. However, local schools and colleges (public or private), and other educational programs, such as that offered locally by Tesh to empower people with disabilities, have additional tax credits — which collectively mean up to 75 percent of contributions may come back to donors at tax time.

5. Share your intentions and make a commitment: One-time donations help, but charities need reliable incomes so they can better budget. Once you identify the charity that matches your passion, consider a monthly, quarterly, or annual commitment, thus becoming a partner in the charity’s efforts to effect real change in your own community.

If you can’t find the charity you’re looking for, contact me at Sholeh@cdapress.com. I’ll be glad to help.

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Sholeh Patrick is a columnist for the Hagadone News Network who has served on several local nonprofit boards.