Think a career track means only one destination? Well… you’re wrong. Listen to how Maryann Fernandez arrived at Philanthropy Indaba:
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(photo credit: Kei!)
When something really bad happens in the world, we all feel hurt. And helping each other out is one of the best ways to alleviate that pain. But that common sense advice about not shopping when you’re hungry and not investing when you’re anxious also applies to giving.
Saundra Schimmelpfennig at the Chronicle of Philanthropy shared some advice on how to give smart in an urgent time of need. She encourages “disaster philanthropists” to think carefully before pledging their money to an emotionally compelling cause.
Here are some of her points that we think are especially important:
Ready to make an impact? Text a friend and ask them to donate with you. With two researchers on the job, you can probably find a perfect organization – and double your donation in the process!
If you ask some politicians, they are. And they’re mucking up the whole political system, dag-nabbit. According to a Washington Post article, some lawmakers have had it up to here with whipper-snappers voting with their feelings.
Average taxpayers in college towns, [Sorg] said, are having their votes “diluted or entirely canceled by those of a huge, largely monolithic demographic group . . . composed of people with a dearth of experience and a plethora of the easy self-confidence that only ignorance and inexperience can produce.”
Their “youthful idealism,” he added, “is focused on remaking the world, with themselves in charge, of course, rather than with the mundane humdrum of local government.”
– New Hampshire State Rep. Gregory Sorg
The solution? Proposals differ from state to state, but basically every voter would be required to show ID or proof of residence in order to vote. That would mean anyone without an appropriate ID would have to get one.
But identification costs money! That’s unconstitutional! It’s akin to the poll tax used to disenfranchise African-American voters in the 19th century!
What does this have to do with me and my money, you say? Well, since state governments can’t legally force people to buy the right (or the ID) to vote, taxpayers would have to absorb the costs.
And according to one estimate, the state of Wisconsin alone would have to pony up $2.7 million just to provide valid identification cards to voters who do not currently have them.
What do you think? Do you want to pay for that? Or are you too foolish to know?
“It’s time for us to stop lying to ourselves about this country.
America is great in many ways, but on a whole host of measures — some of which are shown in the accompanying chart — we have become the laggards of the industrialized world. Not only are we not No. 1 — “U.S.A.! U.S.A.!” — we are among the worst of the worst.” (from the original opinion piece)
Are we as bad as the chart says? Where do you see room for improvement?
How can you, as a philanthropist, help the U.S. improve its standing?
credit: keithusc
Under 50? Then you’re not likely to be donating to your alma mater in 2011.
“I can think of no less needy charity than Harvard. I have to struggle to think of anyone in my age group who has given big money to a traditional charity.” – Philanthropist Whitney Tilson on the new generation of philanthropy
Do you support the same causes as your parents? Do you give to the same organizations as your friends?
Welcome to our new series, showing you how the changes you want to see in the world actually happen.
Check out our other SfC shorts:
Strategies for Change: Introduction
Strategies for Change, Part 2: Advocacy
Strategies for Change, Part 3: Direct Service
Strategies for Change, Part 4: Education
“Anytime I hear that somebody’s really rich, the first question is ‘Do you do anything with it? Or do you, like, chill? You just sit on it?’” She is thinking carefully, strategically, about how best to put her own contribution to use, and has a plan—inspired by her researches for the role of a runaway in the sex trade—to set up a network of halfway houses to help those who want to recover and get back on their feet. “That would be amazing,” she says. “Right now it’s the thing I feel most connected to.”
Does this impact your view of Stewart? Do you agree that having money obligates you to “do something with it?”
It’s holiday giving time! People who – oops – forgot to donate to charity all throughout 2010 are now scrambling to give away enough money to score some sweet tax breaks before the end of the year. But according to some lady at the Wall Street Journal, there are a lot of stupid things you can do when you engage in last-minute philanthropy.
credit: howard dickens
Let us count the things you should not do, according to Ms. Shelly Banjo:
1. Give impulsively. Newsflash: Charities are falling over themselves trying to get your attention. Good for them, but don’t be a philanthropic sucker. Think about what’s really most important to you, decide how much you want to donate, and engage in some thoughtful charity.
2. Donate stock you’ve held for less than a year. Did you know you can donate stock to some organizations? Did you also know that you can only get a tax deduction for doing it if you’ve owned the stock for more than a year? Now you know.
3. Donate stock that’s lost a lot of value. You can actually claim the money you lost on that stock as a tax deduction, which might lower the taxes you have to pay on the investments that did make you money. If you hold onto the stock and donate cash instead, you get double the deductions!
4. Think you can claim the cost of a fundraiser ticket as a charitable donation. Okay, actually you can do this. But you can only claim the cost above what the ticket is actually worth. (So if you bought $1,000 Knicks tickets to benefit a charity, but the tickets are actually worth $200, you only get to claim the $800 as a donation.)
5. Donate stuff (instead of money) to an organization that won’t use it. This is something only your accountant understands. Basically, the amount you can write off on stuff donations depends on the mission of the organization you’re donating it to.
6. Donate something called a “gift annuity” when interest rates are really low (i.e. right now). Gift annuities are basically donations to charities that earn you a little money on the side. The charity keeps the money you’ve given them, but they pay you interest every year on the amount you donated. So low interest rates mean your payments will also be low.
7. Obsessively stick to charity ratings. Rating sites like CharityNavigator.org and GuideStar.org are helpful when it comes to sorting through the jillions of charities out there. But they can basically only give you numbers. (And numbers liiiiie!) It’s up to you to get the full picture before you shell out for a particular organization.
8. Give to a charity that rents or sells your personal information. (duh)
9. Donate to the wrong donor-advised fund. Donor-advised funds are a complicated way of pooling your money with other investors so that you all save big on taxes while your money or investments go to organizations you all believe in. You don’t have much control over where the money goes after you put it in the fund, so make sure you’re a believer before you join a specific donor-advised fund.
10. Don’t get insurance if you’re on the board of an organization. Congratulations! You’re on the board of an organization. Now you’re partially responsible if that organization does something stupid. Directors and officers insurance exist for a reason.
Now that you’re paying attention, here’s a picture of two Christmas cats hugging to get you in the philanthropic mood:
credit: tuija2005
Aww.
Why wait until you’re dead to make your mark on the world?
“Wealth is an advantage, but it also is frankly a responsibility.” – Nicolas Berggruen, Investor, recently signed on to The Giving Pledge