Donations That Give 100-percent

'Tis the Season, again, to celebrate our bountiful and beautiful blessings by giving to others less fortunate than ourselves.  Last year I made this an annual column in support of charity and good will toward men (and women).  In that spirit, here are some tips on how best to donate.

It is just the beginning of December and I've already seen the urban legend that details the salaries of all those 'greedy CEOs' of some of our largest and most known charities.  Well, be advised that the message is not only false, but horribly outdated. The people named in the message have long since gone their separate ways, and the salaries cited are far from what they actually earned while they were heads of those charities. 

However,there certainly are a lot of expenses involved with some well known charitable organizations that eat up our donations before they ever get to the intended recipients. If you care to see what percentage of donations get to those in need, charitynavigator.org is one of several online sites that rate them. Another one is the Forbes website, and a third, and possibly the best of the three is Guidestar.org because it actually has its own tips for choosing a charity. 

Here are some neat ways to provide for those in need and feel good about doing it on a personal, hometown level.  You don't even have to donate through a charity, so there is no middle man in many cases.

Most department stores have a layaway plan that enables people to pay for Christmas gifts in increments.  However, people who have to purchase in that fashion are likely doing so because they aren’t able to afford payment in a lump sum. 

You can aid people anonymously on a selective basis to pay off their layaway purchases.  Don’t just blindly pay on someone’s layaway account, but try to do some investigation (perhaps with the department manager) as to what is on layaway and to whom the gifts will go.  Maybe the manager will have some useful input as to the financial situation of some of the people who have gifts on layaway.  In one case cited in an article I read, the person in need was one of the store employees who had recently lost her husband and was providing for several kids.

Of course, there are other ways that you can donate so that some little boy or girl will get a gift.  The best ones I can think of are the United States Marines’ Toys for Tots program and the Angel Tree (Salvation Army) that is usually in the vestibule of Wal-Mart, Kmart or Target stores. And there is always the red kettle and bell ringer of the Salvation Army. Donate to these programs if you want to donate but cannot afford a large amount.

Another way to make your donation count is available at most grocery stores.  The local food banks that feed the homeless and needy have suffered from the economic woes we’ve experienced in recent years. When you check out with your food items, you can also donate in increments to the food banks.  For as little as $5 you can provide a full meal to someone who might otherwise have slipped through the cracks and either isn’t eligible or has not applied for assistance. A lot of our disabled vets are in this category for one reason or another.

If you go to McDonalds and get change for your purchase, put it in the glass box in front of the cash register and it will go to the Ronald McDonald House, another worthy cause. The proceeds are used to give comfort and care to sick children and their families and provide temporary living quarters for those who do not reside in the area where hospital care is given.

Don't forget that all donations to qualified non-profit charitable organizations can be used as deductions from your taxable income if you use Schedule A for itemized deductions. (Get a valid receipt from the organization, if the donation is $250 or over.)  My wife and I do not use Schedule A anymore, so that means we are not able to take advantage of that tax break.  It doesn't make us less willing to give, but it is an incentive for some people.  We've even found a way to bestow the tax break on our children.

I give each of my adult kids a cash gift with the suggestion that they pass that gift on to their own favorite charities.  Since both of them do itemize deductions, they will also be able to use the deduction to reduce their taxes for 2014.  Those charitable gifts will give three ways:  1) I know that I've given a significant sum to charity, 2) My children have also donated and, 3) There is a tax break for them on April 15th of 2015.  It is a win-win for all and it is perfectly legal.

Whatever the gift, if you are blessed with some spare cash and want to make a difference, I cannot think of a better way to do it than to use one of these vehicles to donate and get the biggest “bang for the buck.”

And remember that charity doesn’t have to be a Christmastime activity. As the song, The Secret of Christmas concludes, “...it’s not the things you do at Christmas time, but the Christmas things you do all year through.”