There are many things to consider before making a charitable donation. What’s the best way for you to donate? It’s good to weigh your options carefully and think about where on the spectrum you want to make a difference. First, take into account who you are and what matters to you most. Then, tailor your nonprofit giving accordingly.
Where Do You Fall on the Nonprofit Giving Spectrum?
Nonprofit Giving Demographics
Greatest Generation (or G.I. Generation). 11.8% of the US population is made up by the Greatest Gen and 88% of this group gives to charity. In addition, they donate an annual average of $1,367 across 6.2 organizations.
Baby Boomers. Making up 23.6% of the US population, 49% of Baby Boomer donors are enrolled in a monthly giving program. 72% of Boomers give to charity, donating an annual average of $1,212 across 4.5 organizations.
Millennials. 25.9% of the US population is Millennials and 40% of Millennial donors are enrolled in a monthly giving program. In fact, 84% of Millennials give to charity, donating an annual average of $481 across 3.3 organizations.
Gen Xers. Generation X makes up 20.4% of the US population. 49% of Gen X donors are enrolled in a monthly giving program. Additionally, this group is most likely to fundraise on behalf of a cause, make a pledge or volunteer time to an organization (Nonprofit Source).
Choosing the Right Charity
Specify your preferences. What’s important to you? The environment? Helping sick children? Do you want to give to a local charity? Or perhaps a national or international charity? Decide where you’d like to direct your efforts and make an educated decision based on your interests.
Do your research. It’s important to verify the legitimacy of a charity before donating. A reputable organization will be transparent about its mission, goals and achievements. Above all, you want to be sure that your money is being spent where you intend for it to be spent.
Make comparisons. There are many charities to choose from. Take time to compare and look into the finances of charities in the same field you’d like to donate to. In fact, when comparing nonprofits, social media can be an incredibly helpful tool (GuideStar).
Ways to Donate
Crowdfunding. Online giving or crowdfunding is the fastest growing method of nonprofit giving. Especially if you have limited funds, you can make a bigger difference when you join your funds with other like-minded people.
Give cash. Writing a check is a great way to donate to a charity. This reduces your tax reliability while pledging support. Additionally, you can specify where you want them to spend your cash or make a no strings attached contribution.
Go to a fundraiser. You can have fun and support your favorite charity at the same time. Fundraisers come in many forms so it’s possible to find one that appeals to your interests.
Through a donor-advised fund. These charitable giving accounts are becoming increasingly popular. Offered by a sponsoring organization, this is a less expensive alternative to private foundations. You simply let the sponsoring institution manage your contribution and make a donation to the cause of your choice.
Give supplies. Consider a charitable donation of furniture, clothing, household goods, food or even vehicles in some cases.
Volunteer your time. Everyone has something to offer. Think about what talents, services and expertise you may be able to contribute to your selected cause. This is a hands-on way to help out. Folks in the nonprofit sector always appreciate volunteers.
Through an event. Holding an event can bring in lots of support. The idea is to recruit people to participate in the event and then the participants are responsible for enlisting financial support from donors.
Set up a private or family fund. There are approximately 80,000 private foundations in the US. Some are big and people know them but most are small and have less than $1 million in assets. This is a great way to direct your money toward a specific cause (LoveToKnow) (the balance).
Fundraising for a Nonprofit? Contact CRA Today
For over 25 years, Computer Resources of America has provided consulting services and solutions for all types of organizations. We can assist your nonprofit with fundraising solutions and productivity-enhancing information technology while maintaining a streamlined budget.