"Every Dollar Makes a Difference." We've all heard it before, but most of us do not even know where to start.
If you are thinking that philanthropy is something that is only accessible to the wealthy, think again. While the wealthy do their part, an average of 80 percent of all U.S. households donate to charity in a given year-typically totaling between $ 2,000 and $ 3,000, or the equivalent of 3 percent to 10 percent of household income. It's also worth noting that
This Giving Tuesday, think about what you can do today. Whether you're just starting out as a budding philanthropist on a tight budget, or you're continuing on your career with more flexible spending, it's critical to creating a plan to maximize your impact. With a little planning, it is rather a simple thought-out, strategic philanthropist.
No matter where you are on your financial journey, there are a few simple steps you can take to transform your approach to philanthropy and give more thoughtfully and frequently.
Find your ideal match.
Think back to the last donation you made. What is it planned? Or what about a track-of-the-moment decision? In today's digital age, it's becoming easier to make our passions.
With a dizzying array of options, "Creating a strategy is key to ensuring your giving remains impactful and within your financial means.
What causes you to feel passionate about? Try to be as specific as possible. For example, if you care about education, what are you looking for? Do you want to see more arts programming for kids? Or would you rather see more STEM education within your community? Take time to think about where you want to create real-world impact, and then research organizations accordingly. local databases that sort and rate charitable organizations.
Rather Throwing your money at a scatter plot of non-profit organization or charitable causes, giving a deal to you.
Choosing one or two causes does not mean you have to worry about other issues-it just means you're making a concentrated effort
Scale your approach so it fits your budget, and a charity's needs.
Every organization has different financial needs. Donations to fit both your budget and the needs of an organization. Not everyone is going to Melinda Gates level of wealth. But, many nonprofits want tell you, changing someone's life does not require a multimillion dollar check.
First, determine what you can afford to give in a month. Reflect on how your budget is performing. Is it flexible? Are there areas where you can reduce your "fun" spending? Consider replacing your daily latte habit with a $ 20 monthly donation. Or skip that fancy indoor cycling class once a month and donate the funds to your favorite organization.
Once you have established a monthly allowance, the next step is to scale your donation to a cause. If you're giving $ 250 or less a month, the difference you make might be clearer at a local level. For example, a high-profile, national women's health organization
At the end of the day, the easiest way to see how your money is Being used is to ask. Do not be afraid to meet with the local nonprofits you are interested in. Give them a call if you're not in the area.
For those with a small or inflexible budget, get creative with new forms of microfinancing. Many organizations change lives by making a donation in favor of a loan. For as little as $ 25, you can lend money to global entrepreneurs who would either be financially excluded from traditional loans or are directly creating social impact in their community. Kiva which has a historical repayment rate of 97 percent.
A donation is not the end of your giving plan. After you feel comfortable with the cause or handful of nonprofits you support, consider connecting in other ways. board positions .
Board positions ] Putting your money where your mouth is "it's a path that can open doors to your professional and personal future. Your donation is usually just beginning.
Regardless of your financial background.
Linda Davis Taylor is the CEO and Chairwoman of Clifford Swan Investment Counselors in Pasadena, Calif., And a champion for women's economic independence and strength. She is a frequent speaker on wealth transition, family governance, and philanthropy, and author of The Business of Family .