The holiday season brings an opportunity to give to others and support nonprofit organizations you care about. Nonprofits are especially in need of assistance as the lingering physical, mental and economic effects of the pandemic continue to impact vulnerable populations. Now is the time to talk to your family about charitable donations by sharing your passion with them.
If you have a charity you donate to regularly, share with your family why you want to give again and what about the charity speaks to you, so they understand why this is important to you. If you’re searching for a nonprofit to give to on your own or with a group, consider searching within a website like charitynavigator.org‡ to narrow down your options and connect with reputable nonprofits.
If your family thinks they are unable to donate due to finances, they’re not alone. According to the Giving USA 2023‡, monetary donations in the U.S declined 3.4% in 2022 (10.5% after adjusting for inflation). However, once you break down your budget to discover how much you are actually spending on a monthly basis, you may find that becoming a donor is within reach. If donating is already a part of your budget, walk your family through your budgeting process and share any tips you may have.
Another way to give back to a cause in addition to donating, is volunteering. Giving back with your time can also help you develop a meaningful connection with the cause your charity supports. Show your family how your donation will make an impact on the nonprofits by spending a few hours volunteering with the group.
Once you’ve talked to your family members and friends about donating, it’s time to act. Encourage every member of your family to pick a charity they would like to donate to and share why they are excited to support the organization. You can also try creating a donation pool or ask loved ones to donate to your charity of choice in lieu of traditional gift giving.
The giving spirit you feel during the holiday season doesn’t have to stop after Jan. 1. Once you decide on an appropriate budget for your charitable giving, consider setting up a monthly, automatic withdrawal with your chosen charity so you can continue giving throughout the year.
Top tips for planning for charitable giving
Plan for charitable giving this holiday season with a proactive approach to donating. Here are some financial tips for this season.
Choose a charity
Seek out reputable nonprofits by searching websites like Charity Navigator. Financial fraud often occurs through ill-intended fundraisers and donation requests.
Budget for donations
Use the spend, save and share budget method by allocating 50% of your take-home pay to your spending funds, 30% to savings and 20% to sharing or donating*.
Consider how much to give
Gifts of any size are appreciated by nonprofits, so don’t fret the dollar amount. The intention behind donating speaks volumes.
Volunteer rather than donate
If you’re low on funds, giving personal time or volunteering, engaging in advocacy, or giving material goods are all equally meaningful ways of contributing to a cause
Combine funds
Join financial forces with family and friends to pool your funds for a group gift.
*Your budget allocation percentages may differ based on your financial situation.
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