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You are here: Home / Archives for charitable giving

10 Reasons You’re More Likely to Get Money From a GoFundMe Than A Family Member

May 16, 2025 by Travis Campbell Leave a Comment

Giving money

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When you’re in a financial pinch, it’s natural to think of turning to family first. After all, who knows you better? But in today’s world, more and more people are finding that launching a GoFundMe campaign is actually a more effective way to get the help they need. Whether it’s for medical bills, emergency expenses, or chasing a dream, crowdfunding platforms have changed how we ask for and receive support. If you’ve ever wondered why strangers on the internet might be more generous than your own relatives, you’re not alone. Let’s dive into the top 10 reasons you’re more likely to get money from a GoFundMe than a family member, and what that means for your financial future.

1. Wider Audience, Bigger Pool

One of the biggest advantages of GoFundMe is sheer reach. When you ask a family member for help, you’re limited to your immediate circle. But with a GoFundMe campaign, your story can be shared with hundreds or millions of people. The more eyes on your campaign, the higher your chances of getting donations. Over 100 million people have donated to campaigns worldwide. That’s a much bigger pool than your family reunion.

2. No Awkward Conversations

Let’s face it: asking family for money can be uncomfortable. There’s the fear of judgment, the possibility of being turned down, and the awkwardness that can linger long after. With GoFundMe, you can share your story without the face-to-face pressure. People can choose to give—or not—without any hard feelings or family drama.

3. Emotional Storytelling Works

GoFundMe campaigns thrive on compelling stories. When you craft a heartfelt narrative, complete with photos and updates, you tap into the empathy of strangers. People love to help when they feel emotionally connected to a cause. On the other hand, family members may already know your story and be less moved by it, or may have their own opinions about your situation.

4. No Strings Attached

Family loans often come with expectations—whether it’s paying the money back, doing favors, or dealing with guilt trips. GoFundMe donations are typically given with no expectation of repayment. Donors give because they want to help, not because they expect something in return. This makes the process less stressful and more straightforward.

5. Social Proof Inspires Giving

When people see others donating to your GoFundMe, they’re more likely to chip in themselves. This phenomenon, known as social proof, is a powerful motivator. Family members may hesitate to help if they think others aren’t pitching in, but the momentum of a successful campaign often inspires strangers. Psychology Today explains how social proof can drive generosity in online giving.

6. Anonymity for Donors

Some people want to help but prefer to stay anonymous. GoFundMe allows donors to give without revealing their identity, which can encourage more people to contribute. Family members, on the other hand, can’t really give anonymously, and that can make things awkward, especially if some relatives give more than others.

7. No Family Baggage

Family relationships are complicated. Old grudges, sibling rivalries, or differing opinions about money can get in the way of support. With GoFundMe, you’re reaching out to people with no personal history with you. They’re simply responding to your need, not to years of family dynamics.

8. People Love to Be Part of Something Bigger

Donating to a GoFundMe campaign gives people a sense of purpose and community. They feel like they’re part of a movement, helping someone achieve a goal or overcome a challenge. Family members may see your request as just another obligation, but strangers often see it as an opportunity to make a difference.

9. Easier to Share and Go Viral

Social media makes it easy to share your GoFundMe campaign far and wide. A compelling story can quickly go viral, attracting donations from people you’ve never met. On the other hand, family requests are usually private and don’t benefit from the power of online sharing.

10. Changing Attitudes About Asking for Help

There’s less stigma around asking for help online than there used to be. Crowdfunding has become a normal, even celebrated, way to get support. Family members may still hold old-fashioned views about self-reliance or pride, but the GoFundMe community is built on the idea that it’s okay to ask for help when you need it. According to CBS News, more Americans are turning to crowdfunding for everything from medical bills to education.

Rethinking How We Ask for Help

The rise of GoFundMe and other crowdfunding platforms has fundamentally changed the way we seek financial support. While family will always be important, the reality is that a GoFundMe campaign can connect you with a much larger, more empathetic audience—one that’s often more willing and able to help. If you’re facing a financial challenge, don’t be afraid to tell your story to the world. You might be surprised by how many people are ready to lend a hand.

Have you ever turned to GoFundMe or family for financial help? Share your story or thoughts in the comments below!

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Travis Campbell
Travis Campbell

Travis Campbell is a digital marketer/developer with over 10 years of experience and a writer for over 6 years. He holds a degree in E-commerce and likes to share life advice he’s learned over the years. Travis loves spending time on the golf course or at the gym when he’s not working.

Filed Under: charitable giving Tagged With: crowdfunding, family finances, financial help, Go Fund Me, money advice, online fundraising, Personal Finance

Exposed: How Some Charities Pay Their CEOs Like Fortune 500 Execs

May 7, 2025 by Travis Campbell Leave a Comment

homeless man asks for help, on black background close-up

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1. The Charity Compensation Paradox

Donating to a charity means you expect your money to help those in need, not fund lavish executive salaries. Yet many prominent charities now compensate their CEOs at levels rivaling corporate America. According to CharityWatch, dozens of nonprofit executives earn compensation packages exceeding $1 million annually, while the average Fortune 500 CEO makes approximately $15.9 million per year. This growing trend raises serious questions about nonprofit priorities and whether these organizations truly maximize their impact on the causes they claim to serve.

2. The Numbers Don’t Lie: Shocking Compensation Packages

Some charity CEO compensation packages would make even corporate executives blush:

According to CharityWatch’s 2024 update, numerous charity executives earn seven-figure salaries. For example, Ernie Sadau of Christus Health received a staggering $13.4 million compensation package, while Steven J. Corwin of New York Presbyterian Hospital earned over $12.4 million. These figures represent extreme cases, but they highlight a troubling pattern across the nonprofit sector.

The gap between executive pay and average worker compensation in these organizations often mirrors or exceeds the disparity seen in corporate America. While the CEO-to-worker pay ratio at Fortune 500 companies averages around 350-to-1, some charities approach similar levels of inequality despite their charitable missions.

3. How Boards Justify These Massive Salaries

Nonprofit boards typically defend high executive compensation through several arguments:

First, they claim the need to attract “top talent” from the corporate world. They argue that without competitive compensation, charities couldn’t recruit executives with the necessary skills to manage complex organizations.

Second, boards point to “comparable data” from similar organizations. When every charity uses other high-paying charities as benchmarks, it creates an upward spiral of compensation with no natural ceiling.

Third, they emphasize the complexity and scope of managing large nonprofits. Many health-related charities, for instance, manage billions in assets and thousands of employees, requiring sophisticated leadership.

However, critics argue that, as noted by the Economic Policy Institute, these justifications often mask poor governance and conflicts of interest between CEOs and the board members who set their pay.

4. The Watchdogs Are Watching

Charity watchdog organizations play a crucial role in monitoring executive compensation. Groups like CharityWatch, Charity Navigator, and BBB Wise Giving Alliance evaluate nonprofits based on financial efficiency, transparency, and governance.

These watchdogs look for red flags such as:

  • Compensation packages are significantly higher than those of peer organizations
  • Lack of independent board review of executive compensation
  • Missing documentation of compensation decisions
  • Failure to disclose full compensation details on Form 990

According to Carr, Riggs & Ingram, nonprofits must document their compensation process thoroughly, including “terms of the arrangement, approval date, a list of those who were present and voted, comparable data that was considered, and any actions by a member with a conflict of interest.”

5. The Hidden Costs of Excessive Compensation

Beyond the direct financial impact, excessive CEO pay creates several hidden costs for charities:

Donor trust erodes when supporters discover their contributions fund executive salaries rather than programs. A 2023 survey found that 87% of donors consider executive compensation when deciding where to give.

Staff morale suffers when frontline workers—often earning modest salaries due to budget constraints—discover the vast disparity between their pay and executive compensation.

Mission drift occurs as organizations increasingly adopt corporate values and metrics that may conflict with their charitable purpose. CEOs earning corporate-level salaries often bring corporate-style management that prioritizes growth over impact.

6. The IRS Is Taking Notice

The Internal Revenue Service has recently increased scrutiny of nonprofit executive compensation. Under tax law, charities must ensure compensation is “reasonable and not excessive.”

The IRS can impose significant penalties on organizations that pay excessive compensation, including:

  • Excise taxes on the excessive portion of compensation
  • Potential loss of tax-exempt status in extreme cases
  • Penalties on board members who knowingly approved excessive compensation

The 2017 Tax Cuts and Jobs Act added a 21% excise tax on nonprofit compensation exceeding $1 million, signaling increased government concern about this issue.

7. Transparency Matters: How to Research Before You Donate

Before supporting any charity, take these steps to ensure your donation aligns with your values:

Check the organization’s Form 990 (available on GuideStar or the charity’s website), which discloses executive compensation and financial information.

Review ratings from charity watchdogs like CharityWatch and Charity Navigator, which evaluate financial efficiency and governance.

Look beyond overhead ratios to understand the charity’s actual impact. While executive compensation matters, it’s just one factor in evaluating a nonprofit’s effectiveness.

Ask direct questions about compensation policies and how the organization determines appropriate pay levels for leadership.

8. Finding Balance: Charities That Get It Right

Not all charities follow the high-compensation model. Many effective organizations maintain reasonable executive compensation while achieving remarkable impact:

Some charity leaders voluntarily cap their salaries at modest levels, recognizing that their work is driven by mission rather than money.

Others tie executive compensation directly to measurable impact metrics rather than organization size or fundraising success.

Transparent organizations openly discuss their compensation philosophy and invite donor feedback on executive pay decisions.

9. The Path Forward: Redefining Nonprofit Leadership

The solution to excessive charity CEO compensation requires action from multiple stakeholders:

Donors must demand greater transparency and reasonable compensation practices from their support organizations.

Boards need stronger independence from executives and clearer guidelines for setting appropriate compensation.

Policymakers should consider additional regulations that prevent nonprofit executive compensation from mirroring corporate excesses.

Most importantly, the nonprofit sector must reconnect with its core purpose—maximizing social impact rather than executive wealth.

What’s Your Experience?

Have you ever researched a charity’s executive compensation before donating? Were you surprised by what you found? Share your experiences in the comments below and let us know how compensation information has influenced your giving decisions.

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Travis Campbell
Travis Campbell

Travis Campbell is a digital marketer/developer with over 10 years of experience and a writer for over 6 years. He holds a degree in E-commerce and likes to share life advice he’s learned over the years. Travis loves spending time on the golf course or at the gym when he’s not working.

Filed Under: charitable giving Tagged With: charity accountability, charity CEO compensation, charity watchdogs, donor transparency, excessive compensation, nonprofit executive pay, nonprofit governance, nonprofit leadership

7 Charity Scandals That Should Have Made Headlines—But Didn’t

May 6, 2025 by Travis Campbell Leave a Comment

charity

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Charitable giving represents one of humanity’s noblest impulses, but not all organizations deserve your generosity. While major charity frauds occasionally make national news, many troubling scandals remain largely hidden. Understanding these lesser-known controversies matters because your hard-earned donations should create a genuine impact, not fund executive salaries or fraudulent schemes. These seven charity scandals reveal critical warning signs that can help protect your charitable dollars and ensure your generosity achieves its intended purpose.

1. United Way’s Silent Executive Compensation Crisis

In 2013, United Way Worldwide faced scrutiny when financial records revealed dozens of local chapter executives earning $300,000-$500,000 annually while maintaining relatively high administrative costs. What made this particularly troubling was the organization’s simultaneous public messaging about efficiency and impact. Internal whistleblowers reported that some chapters were spending as little as 60% of donations on actual programs despite claiming much higher percentages.

The scandal received minimal coverage outside industry publications, partly because United Way’s decentralized structure allowed the organization to argue these were isolated cases rather than systemic issues. However, charity watchdogs noted that the pattern of high compensation across multiple chapters suggested broader governance problems that donors deserved to know about.

2. Feed the Children’s Leadership Deception

Feed the Children, once among America’s most prominent international charities, weathered a leadership scandal that received surprisingly little mainstream attention. Founder Larry Jones was ousted in 2009 amid allegations of misusing funds and storing pornography at headquarters, but the deeper scandal emerged in subsequent years. Financial audits revealed the organization had been dramatically overstating its impact, claiming to feed millions more children than documentation supported.

More troubling was evidence suggesting the charity had known about these discrepancies for years while continuing to use inflated numbers in fundraising materials. Despite these findings, Feed the Children continued operations with minimal media scrutiny, and many donors remained unaware of the controversy.

3. National Veterans Service Fund’s Fundraising Shell Game

The National Veterans Service Fund (NVSF) operated for years while spending only 20% of donations on actual veteran services. The organization paid millions to professional fundraising companies, which kept 75-80% of all donations collected. Despite this troubling allocation, NVSF continued receiving donations from well-meaning Americans who believed their contributions primarily supported veterans.

This scandal is particularly noteworthy because the organization legally sidestepped transparency requirements by categorizing fundraising costs in misleading ways on financial statements. This practice continued for over a decade with minimal media coverage, allowing millions in donations to be diverted from veteran services.

4. Wounded Warrior Project’s Hidden Spending Patterns

While some coverage emerged about the Wounded Warrior Project’s spending practices in 2016, the full extent of the scandal received far less attention than warranted. Beyond the widely reported lavish conferences, financial records revealed systematic inflation of program spending percentages through accounting techniques that reclassified marketing materials as “educational program expenses.”

Internal documents showed executives knew donor perception would suffer if spending was reported accurately. Despite leadership changes, the organization continued similar accounting practices with minimal scrutiny, demonstrating how charity scandals can fade from public consciousness before meaningful reform occurs.

5. Central Asia Institute’s Fabricated Schools

Greg Mortenson’s Central Asia Institute gained fame through his bestselling book “Three Cups of Tea,” but investigations later revealed many schools the charity claimed to have built in Afghanistan and Pakistan either didn’t exist or weren’t operational. While some media covered these allegations, the deeper scandal involved the organization’s continued fundraising using these same claims even after internal reports documented the discrepancies.

Financial records showed that in some years, the charity spent more on promoting Mortenson’s books and speaking engagements than on actual school construction. Despite these revelations, the organization continued operations with diminished but still substantial donor support, highlighting how charity scandals often fail to generate sustained accountability.

6. Cancer Fund of America’s Family Enrichment Scheme

The Cancer Fund of America and its affiliated organizations collected over $187 million before being shut down by regulators in 2016. What received insufficient coverage was how the founder, James Reynolds Sr., had installed family members as executives across multiple “independent” cancer charities that functioned as a network of shell organizations.

According to Federal Trade Commission findings, these interconnected entities shuffled money between them to create the appearance of legitimate charitable activity while spending less than 3% on actual cancer patient assistance. Despite the scheme’s massive scale, it received only brief national attention before fading from headlines.

7. Gospel for Asia’s $20 Million Headquarters Controversy

Gospel for Asia, a major international Christian charity, faced allegations of misusing over $90 million in donations intended for impoverished communities in India. While some religious publications covered aspects of the controversy, mainstream media largely ignored revelations that the organization had diverted millions to construct a lavish $20 million Texas headquarters while telling donors their contributions were funding specific overseas projects.

Court documents from a subsequent class-action lawsuit revealed systematic deception in fundraising materials about how donations were being used. The charity eventually settled the lawsuit for $37 million without admitting wrongdoing and continued operations with minimal public awareness of these issues.

Protecting Your Charitable Impact

These charity scandals share common warning signs: excessive executive compensation, misleading marketing, minimal transparency, and resistance to independent verification of results. Before donating, research organizations through independent charity evaluators like Charity Navigator or GiveWell, review their financial statements, and look beyond emotional appeals to understand how your donation will be used.

Remember that genuine charitable impact requires both good intentions and responsible stewardship. By demanding transparency and accountability, donors can help ensure charitable giving fulfills its true purpose: creating meaningful change for those in need.

Have you ever researched a charity before donating or encountered an organization that raised red flags? Share your experience in the comments below.

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Travis Campbell
Travis Campbell

Travis Campbell is a digital marketer/developer with over 10 years of experience and a writer for over 6 years. He holds a degree in E-commerce and likes to share life advice he’s learned over the years. Travis loves spending time on the golf course or at the gym when he’s not working.

Filed Under: charitable giving Tagged With: charitable giving, charity accountability, charity scandals, donation fraud, donor protection, nonprofit transparency

Stop The Donations: 9 Donations No Charity Wants From You

May 3, 2025 by Travis Campbell Leave a Comment

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Charitable giving is a cornerstone of community support, but not all donations are created equal. Many well-intentioned donors unknowingly burden charities with items that cost more to process than they’re worth. Understanding what donations to avoid can make your generosity truly impactful rather than creating additional work for organizations already stretching limited resources. Before loading up your car with unwanted household items, consider this guide to donations that most charities would prefer you keep or dispose of properly elsewhere.

1. Expired or Nearly Expired Food Items

Food banks and pantries appreciate nutritious, non-perishable donations, but expired food creates significant problems. According to Feeding America, sorting through expired items wastes valuable volunteer time and resources. Food that’s within a month of expiration often can’t be distributed before it goes bad. Instead, donate shelf-stable items at least six months before expiration, or consider making monetary donations, allowing organizations to purchase exactly what they need.

2. Broken Electronics and Appliances

That microwave that “just needs a small fix” or the laptop with the cracked screen might seem salvageable, but most charities lack repair facilities or technical staff. Non-functioning electronics become disposal problems, costing organizations money to recycle responsibly. If your electronics work perfectly, they may be welcome donations. Otherwise, look for electronics recycling programs or manufacturer take-back initiatives in your community.

3. Heavily Used or Stained Clothing

While clothing donations are generally welcome, items with stains, tears, strong odors, or excessive wear create sorting burdens. Up to 25% of clothing donations cannot be resold in their stores. Before donating, ask yourself: “Would I give this to a friend?” If not, consider textile recycling programs instead of burdening charities with clothing they must discard.

4. Obsolete Media and Technology

VHS tapes, cassettes, floppy disks, and outdated computer equipment rarely find new homes through charity shops. These items occupy valuable storage space and eventually require disposal at the organization’s expense. Most thrift stores now decline these donations outright. Consider specialized recycling services for obsolete technology instead.

5. Incomplete Puzzles, Games, and Toys

Puzzles missing pieces, board games with incomplete components, or toys without essential parts frustrate both charities and potential recipients. Volunteers must spend time verifying completeness, and incomplete items ultimately end up in landfills. Count the pieces before donating games or puzzles, and only donate complete sets.

6. Used Personal Care Items

Partially used toiletries, makeup, and personal care products pose hygiene concerns and are almost universally rejected by charities. Unopened items may be declined if they’re not sealed in their original packaging. Instead, consider donating new, unopened personal care products, often in high demand at shelters and community service organizations.

7. Outdated or Damaged Furniture

Large, bulky furniture in poor condition creates significant logistical challenges for charities. Items with rips, stains, pet damage, or broken components require expensive repairs or disposal. Many organizations now charge fees to accept furniture donations or have strict quality guidelines. Before donating, honestly assess if your furniture is in good, usable condition.

8. Recalled or Unsafe Baby Items

Baby equipment like cribs, car seats, and strollers is subject to frequent safety recalls and evolving safety standards. Most reputable charities cannot accept car seats that are over six years old or items that don’t meet current safety regulations. Check the Consumer Product Safety Commission for recall information before donating children’s items, and consider that many baby items have expiration dates for safety reasons.

9. Random Household Miscellany

The miscellaneous category of “stuff” – odd kitchen gadgets, promotional items, random decorative objects, and accumulated knick-knacks – creates sorting nightmares for charity workers. These items rarely sell and often end up discarded. Before donating, consider whether the item serves a practical purpose that would make it desirable to others.

Making Your Donations Truly Helpful

The most valuable donation you can make to most charities isn’t stuff at all – it’s money. Financial contributions allow organizations to address their most pressing needs efficiently. If you prefer donating goods, call ahead to ask what items are currently needed. Many organizations maintain wish lists on their websites, detailing the most helpful donations.

Remember that charitable donations should lighten burdens, not create them. By being thoughtful about what you donate, you show respect for both the organizations you’re trying to support and the people they serve. Quality always trumps quantity when it comes to charitable giving.

Have you ever been surprised to learn that a well-intentioned donation wasn’t actually helpful? Share your experiences or questions about responsible giving in the comments below.

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Travis Campbell
Travis Campbell

Travis Campbell is a digital marketer/developer with over 10 years of experience and a writer for over 6 years. He holds a degree in E-commerce and likes to share life advice he’s learned over the years. Travis loves spending time on the golf course or at the gym when he’s not working.

Filed Under: charitable giving Tagged With: charitable giving, charity donations, donation etiquette, donation guidelines, responsible giving, thrift store donations

6 Life-Changing Organizations You’ve Probably Never Donated To (But Should)

February 14, 2025 by Latrice Perez Leave a Comment

Hands on top of hands

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Who doesn’t love donating money to a good charity, yet oftentimes we only give to the larger charities that we hear about in the news or on social media. Why this isn’t necessarily a bad thing, there are many other organizations that are doing great work as well. Supporting these underfunded groups can lead to meaningful change and often ensures that your donation reaches those who need it most. Here are six such organizations that are doing remarkable work but may not be on your radar.

1. New Incentives

New Incentives is a non-governmental organization operating in Nigeria, focusing on increasing infant vaccination rates through conditional cash transfers. By providing financial incentives to caregivers who vaccinate their children, they aim to reduce vaccine-preventable diseases in regions with low immunization coverage. Their approach has been recognized for its effectiveness in improving public health outcomes.

This model has been highly effective, helping increase immunization rates in some of the hardest-to-reach populations. Their transparent approach has earned them recognition for being one of the most efficient organizations working in global health, particularly in regions struggling with vaccine access and health education. Support for this organization can have a direct impact on improving public health in some of the world’s most vulnerable communities.

2. Fistula Foundation

The Fistula Foundation is dedicated to treating obstetric fistula, a childbirth injury that causes incontinence and profound social stigma, particularly in low-income countries. They provide life-changing surgeries to women in over 30 countries in Africa and Asia, offering free repair surgeries and follow-up care. The foundation works with local partners to ensure that women not only receive medical attention but are also rehabilitated and reintegrated into their communities.

Fistula is often preventable, yet millions of women still suffer from the condition due to inadequate access to maternal health care. The Fistula Foundation’s efforts not only provide critical surgery but also empower women by restoring their dignity and independence. This organization is highly regarded for its focused, cost-effective interventions and its profound impact on maternal health and gender equality.

3. Asha for Education

Asha for Education is a volunteer-driven organization that supports educational initiatives for underprivileged children in India. They work with over 180 projects across 22 states, focusing on providing quality education to children who would otherwise lack access. Since its inception, Asha for Education has disbursed over $45 million to various educational projects, making a significant impact on children’s education in India.

Asha’s projects go beyond just providing books and classrooms; they emphasize holistic education, focusing on life skills, health, and personal growth. With over 180 projects across India, the organization has a proven track record of success, having reached more than 1.5 million children since its inception. Donating to Asha for Education ensures that your contribution is directly empowering the next generation of leaders in India.

4. GiveDirectly

GiveDirectly is a nonprofit that provides unconditional cash transfers to individuals living in poverty. By sending money directly to recipients, they empower people to make decisions that best suit their needs, whether it’s investing in a business, education, or healthcare. Their approach has been shown to stimulate local economies and improve recipients’ well-being.

Unlike many aid models that dictate how funds are spent, GiveDirectly trusts recipients to make decisions based on their needs, whether that’s improving housing, investing in businesses, or covering medical expenses. Studies have shown that cash transfers can lead to improved economic outcomes, such as increased income, savings, and better access to education. The simplicity and effectiveness of this model make GiveDirectly a standout in poverty alleviation efforts.

5. Against Malaria Foundation

The Against Malaria Foundation (AMF) focuses on distributing insecticide-treated mosquito nets to reduce malaria transmission in sub-Saharan Africa. Malaria remains one of the leading causes of death in many countries, and AMF has committed to addressing this issue by providing affordable, sustainable solutions. Their direct approach ensures that resources are used efficiently, with nets reaching those in most need.

AMF’s focus on high-impact, cost-effective solutions has earned them recognition from organizations such as GiveWell, which rates them as one of the top charities for malaria prevention. By funding the distribution of mosquito nets, AMF helps reduce malaria-related deaths and improves the overall health of communities. Supporting AMF means you are directly contributing to the fight against one of the world’s deadliest diseases.

6. Pure Earth

Pure Earth

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Pure Earth is committed to eliminating lead exposure in children by addressing environmental toxins, particularly in low-income areas. Lead poisoning, often due to contaminated water, soil, or paint, affects millions of children worldwide, leading to irreversible brain damage and developmental delays. Pure Earth works by identifying and remediating sources of lead, as well as educating communities on prevention.

The organization’s comprehensive approach includes providing medical care to children already affected by lead poisoning, as well as working with governments to implement long-term policy changes. Pure Earth’s efforts in tackling this largely invisible health crisis have helped millions of children live healthier, more productive lives. Donating to Pure Earth helps eliminate one of the most significant environmental threats to global public health.

Supporting Underfunded Charities

While large organizations often receive the majority of donations, smaller, underfunded charities are making significant impacts in their communities and beyond. By supporting these organizations, you can contribute to meaningful change and help address critical issues that might otherwise be overlooked. Consider researching and donating to these and other lesser-known charities to make a difference where it’s needed most.

Have you ever heard of any of these organizations? Would you donate to any of them? Why or why not? Let’s discuss this more in the comments.

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Latrice Perez

Latrice is a dedicated professional with a rich background in social work, complemented by an Associate Degree in the field. Her journey has been uniquely shaped by the rewarding experience of being a stay-at-home mom to her two children, aged 13 and 5. This role has not only been a testament to her commitment to family but has also provided her with invaluable life lessons and insights.

As a mother, Latrice has embraced the opportunity to educate her children on essential life skills, with a special focus on financial literacy, the nuances of life, and the importance of inner peace.

Filed Under: charitable giving Tagged With: Against Malaria Foundation, Asha for Education, Education, Fistula Foundation, GiveDirectly, global health, New Incentives, poverty alleviation, Pure Earth, underfunded charities

9 Reasons to Rethink Giving to Goodwill

February 13, 2025 by Latrice Perez 1 Comment

GoodWill

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Donating used items to Goodwill has long been a popular way for people to clear out their homes while doing a good deed. However, as more people look for ways to ensure their charitable contributions are truly helping those in need, it’s important to rethink whether Goodwill is the right destination for your donations. While Goodwill may seem like an obvious choice, there are several reasons why you might want to explore alternatives that have a more direct and positive impact. Here are 9 reasons to reconsider giving your used items to Goodwill.

1. Unclear Profit Motive

Despite its nonprofit status, Goodwill operates in a way that mimics for-profit businesses. The organization relies heavily on reselling donated goods, with some locations turning a significant profit. In fact, many Goodwill executives earn six-figure salaries, which raises questions about where the money actually goes. If your goal is to help people in need, you might want to reconsider where your donations are going, especially when you learn that much of the revenue from sales doesn’t necessarily directly support the local communities in need.

2. Minimal Impact on Local Communities

Goodwill does offer employment and job training programs, but much of its revenue is derived from selling donated items in bulk or shipping them overseas. This limits the direct impact of your donation on the local community. If you’re looking to make a more immediate difference in your own neighborhood, consider donating to local shelters, food banks, or organizations that focus on helping people in your area. These smaller, more community-driven groups ensure that your donations directly benefit those who need it most in your region.

3. Profit-Driven Resale Model

One of the main ways Goodwill generates revenue is by selling donated items at a markup, which doesn’t always benefit low-income families. Many donors believe they’re giving to those in need, but often, items are resold at prices that are not affordable to the very people the charity is supposed to be helping. If you want your donations to reach those in need without a profit margin attached, look for local organizations or initiatives that provide goods for free to individuals who can’t afford to purchase them.

4. Environmental Concerns with Waste

Environmental Waste

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Though donating to Goodwill might seem like an eco-friendly option, much of what they receive often ends up in landfills. Due to the sheer volume of donations, Goodwill sometimes can’t process or sell all the items it collects, resulting in waste. Donating to smaller, environmentally conscious organizations that focus on recycling, repurposing, or upcycling can ensure that your donations are used in a way that reduces waste and benefits the environment. These alternatives often have more targeted goals in sustainability.

5. Lack of Transparency

Goodwill operates as a nonprofit, but its operations often lack transparency. Donors are typically unaware of how much money goes toward charitable programs or what impact their contributions have on local communities. Without a clear breakdown of where the money goes, it’s hard to know if your donations are truly benefiting the people you intend to help. If you’re looking for a charity that provides clear reports on how funds and donations are used, consider supporting organizations that prioritize transparency and give you detailed information on their operations.

6. Inefficient Logistics and Overwhelming Supply Chain

With its vast network of stores and donation centers, Goodwill often faces logistical challenges in handling the sheer volume of donations it receives. This can lead to inefficiencies, where items aren’t processed in a timely manner or are ultimately discarded. Supporting smaller local charities or grassroots organizations can ensure that your donations are handled more efficiently and directly benefit the community. These smaller organizations are typically more agile and can get your items into the hands of those in need faster.

7. Supporting Local Communities Directly

When you donate to local charities or community-based initiatives, your contributions have an immediate, direct impact on people in your area. Smaller nonprofits or community groups may have fewer resources than larger organizations, but they work tirelessly to help individuals in need. Redirecting your donations to these smaller organizations can have a more profound effect on your local community, ensuring that your generosity reaches those who are closest to home.

8 Alternative Donation Options for Specific Needs

Not all donations are equal. Many of the items you give to Goodwill might be better suited for specific charities. For example, if you have professional clothing, donating it to organizations that assist job seekers in entering the workforce can have a much more significant impact. Similarly, household goods can be more useful if donated to shelters for survivors of domestic violence or homelessness. Giving your items to causes that directly align with the needs of specific groups ensures that your donations reach the people who will benefit most.

9. Online Donation Platforms Offer Direct Giving

Online donation

Image Source: 123rf.com

The rise of online platforms like Freecycle, Nextdoor, and Buy Nothing groups allows you to directly connect with individuals in need in your community. By using these platforms, you can offer your items to people who are specifically looking for them. This personal connection makes your donation feel more impactful, as you’re directly helping someone nearby. Online platforms also allow you to target specific needs, from furniture to clothing, ensuring that your donation goes to the right person at the right time.

Think Beyond Goodwill

While Goodwill may have been your go-to donation spot for years, there are many reasons to reconsider where your items are going. By donating to smaller, local organizations, being more transparent about where your goods are going, and finding new ways to donate, you can make a far more significant and direct impact. Whether it’s through local shelters, online platforms, or more specialized charities, your donations have the power to do so much more when they are given with intention.

Have you ever donated your used items to Goodwill? Have you ever purchased anything from Goodwill? Let us know in the comments below.

Read More:

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Latrice Perez

Latrice is a dedicated professional with a rich background in social work, complemented by an Associate Degree in the field. Her journey has been uniquely shaped by the rewarding experience of being a stay-at-home mom to her two children, aged 13 and 5. This role has not only been a testament to her commitment to family but has also provided her with invaluable life lessons and insights.

As a mother, Latrice has embraced the opportunity to educate her children on essential life skills, with a special focus on financial literacy, the nuances of life, and the importance of inner peace.

Filed Under: charitable giving Tagged With: charitable giving, charity options, community support, donating to charity, donation alternatives, giving back, goodwill donations, impact-driven donations, local nonprofits, sustainable giving

How You Spend and Give Your Money: The Impact of Charitable Donations on Your Finances

July 26, 2024 by Latrice Perez Leave a Comment

123rf

Charitable donations are a meaningful way to support causes you care about while also potentially benefiting your financial situation. Understanding the impact of charitable giving on your finances can help you make informed decisions and maximize the benefits of your generosity. Here’s how charitable donations can influence your financial health.

Emotional and Social Benefits

Giving to charity provides emotional and social benefits that go beyond monetary value. Donating to causes you care about can enhance your sense of purpose and fulfillment. Additionally, charitable giving fosters a sense of community and connection, knowing that your contributions are making a positive difference in the world.

Tax Deductions

One of the financial benefits of charitable donations is the potential for tax deductions. In many countries, donations to registered charities are tax-deductible, which can reduce your taxable income. To take advantage of these deductions, ensure you keep accurate records of your donations and understand the specific tax laws in your region.

Impact on Budgeting

Including charitable donations in your budget is essential for maintaining financial stability. Allocating a specific percentage of your income to charitable giving ensures that your donations are planned and sustainable. This approach prevents impulsive giving that might strain your finances and allows you to support your chosen causes consistently.

Long-Term Financial Planning

123rf

Charitable donations can be an integral part of long-term financial planning. By incorporating giving into your financial goals, you can create a balanced plan that reflects your values. Consider setting up a donor-advised fund or including charitable bequests in your estate planning to leave a lasting legacy while managing your finances prudently.

Potential Financial Strain

While charitable giving is admirable, it’s essential to be mindful of your financial limitations. Overcommitting to donations can lead to financial strain, affecting your ability to cover essential expenses and save for the future. Evaluate your financial situation regularly to ensure your giving aligns with your budget and long-term financial goals.

Encouraging Financial Discipline

Regular charitable donations can encourage financial discipline and mindful spending. By prioritizing charitable giving, you become more intentional with your finances, ensuring that your spending aligns with your values. This practice can lead to better financial management and a more purposeful approach to your personal finances.

Benefits to the Community

Your charitable donations can have a significant impact on the community and the causes you support. Funding essential programs and services can lead to positive social change and improve the lives of those in need. Understanding the broader impact of your donations can motivate you to continue giving and inspire others to contribute.

Leveraging Employer Matching Programs

Many employers offer matching gift programs, where they match the charitable donations made by their employees. Leveraging these programs can double the impact of your donations without additional cost to you. Check with your employer to see if they offer such programs and how you can participate.

Choosing the Right Charities

Selecting the right charities to support is crucial for ensuring your donations are used effectively. Research organizations to understand their mission, impact, and financial practices. Choose charities that align with your values and have a track record of transparency and effectiveness in using donations for their intended purpose.

Charitable Donations and Finances

Charitable donations can have a profound impact on both your finances and the causes you support. By understanding the financial benefits and potential challenges, you can make informed decisions that reflect your values and financial goals. Thoughtful and planned giving ensures that your contributions make a meaningful difference while maintaining your financial health.

Latrice Perez

Latrice is a dedicated professional with a rich background in social work, complemented by an Associate Degree in the field. Her journey has been uniquely shaped by the rewarding experience of being a stay-at-home mom to her two children, aged 13 and 5. This role has not only been a testament to her commitment to family but has also provided her with invaluable life lessons and insights.

As a mother, Latrice has embraced the opportunity to educate her children on essential life skills, with a special focus on financial literacy, the nuances of life, and the importance of inner peace.

Filed Under: charitable giving Tagged With: budgeting, Charitable Donations, Community Impact, Employer Matching Programs, Financial Discipline, Mindful Spending, Planning, Tax Deductions

15 Things Smart People Only Leave to Charity in Their Wills

April 8, 2024 by Teri Monroe Leave a Comment

writing will

While it is most common to make charitable donations throughout your lifetime, smart people understand the benefits of leaving contributions to charity in their will. Writing charities in your will not only feels altruistic and may ensure your legacy, but there are also significant tax benefits for the estate and your heirs.

Charitable bequests, whether assets or items, are typically deductible from the estate’s taxable income, reducing the overall tax burden. While many people leave financial donations to charity in their will, many other surprising things can be left to charity. Here are 15 things smart people only leave to charity in their will.

1. Money and Financial Assets

donating to charity in will

Cash, stocks, bonds, or other financial assets are commonly bequeathed to charitable organizations to support their missions and programs. When leaving stocks and bonds to charity in your will, you can allocate all or some of the assets to the charity of your choice.

2. Real Estate

Donating home to charity

Property such as houses, land, or commercial buildings can be left to charities to use directly or sell for funding their activities. Leaving your home to charity can also lessen the burden on children if they do not wish to keep your house.

3. Artwork

donating art charity will

Valuable paintings, sculptures, or other artwork may be donated to museums or arts organizations to enrich cultural heritage and support the arts. However, not all museums will accept your art, so planning is necessary.

When the museum receives your collection, your estate will receive a tax deduction based on the collection’s current valuation.

4. Season Tickets

donate season tickets

Many charitable organizations use ticket donations to raise money for their organizations through silent auctions. Leaving your season tickets to your favorite charity could put them to good use.

5. Vehicles

donating vehicle charity will

Cars, boats, or other vehicles can be donated to charitable organizations, which may use them for their operations or sell them to raise funds. Most people wouldn’t consider leaving a car to charity, but many organizations like Cars for Kids run their entire charity on car donations.

6. Jewelry

donating jewelry charity will

Donating jewelry to charity can be beneficial not just for its monetary value, but in some cases for its historical significance. If your fine jewelry is antique, you may consider donating it to a museum.

7. Collections

stamp collection donated in will

Whether it’s stamps, coins, books, or other collectibles, individuals sometimes leave their collections to charities that can benefit from them, such as libraries or historical societies.

8. Personal Property

donating furniture charity will

Furniture, antiques, household items, and other personal belongings may be donated to charities that support individuals in need. Organizations like Goodwill and Salvation Army will pick up furniture from your home. Donating your furniture may be especially helpful if your heirs plan to sell your home.

9. Life Insurance Policies

life insurance left to charity

Some people designate charitable organizations as beneficiaries of their life insurance policies, providing financial support to the organizations upon their passing. To do so, you must notify the charity of your choice that they are a beneficiary ahead of time. Some insurers don’t allow this, so check to see if this is possible.

10. Retirement Accounts

IRA charity

Individual Retirement Accounts (IRAs) or other retirement savings accounts can be left to charities, potentially providing tax benefits to the estate and supporting charitable causes. Donating to a charity in this way in your will is also beneficial to the charity since they don’t have to pay income tax on any of the proceeds.

11. Business Interests

business interests to charity

Entrepreneurs and business owners may leave shares of their company or other business interests to charitable organizations, contributing to causes they care about.

12. Intellectual Property

donating intellectual property charity will

Copyrights, patents, or royalties from books, music, or other creative works can be assigned to charitable organizations, benefiting them long-term.

13. Donor-Advised Funds

donor-advised fund

A donor-advised fund is an account created specifically for donations to charity. To set this up, you first irrevocably contribute assets such as cash, stock, real estate, or private business interests to the fund. Then, you and your family can make grants to your chosen charities while you’re still alive and after you die.

Assets in the fund may grow over time, making more money available for the charity of your choice. You also receive a tax write-off in the year the gift is made. A donor-advised fund is also appealing because the list of charities that benefit can be changed. According to the National Philanthropic Trust, donor-advised funds held $234.06 billion in assets in 2021.

14. Animal Assets

Pet owners may leave assets or set up trusts to ensure the care and well-being of their pets, with any remaining funds going to animal welfare charities.

15. Education Funds

educational funds will

Scholarships, grants, or educational endowments can be established in your will to support students in need or educational institutions you care about, such as your alma mater.

Benefits of Writing Charities into Your Will

donating to charity will

Leaving items to charity in your will is a meaningful and financially smart way to leave a legacy. Whether supporting humanitarian causes, advancing education and the arts, or preserving the environment, charitable bequests allow individuals to continue their philanthropic efforts beyond their lifetime. Smart people leave more than just money to charity in their wills, but instead understand the full gamut of possible donations.

Due to the complex nature of estate planning, it’s always a good idea to consult a legal professional to walk you through the best way to make charitable donations in your will.

Read More

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Photograph of Teri Monroe
Teri Monroe
Teri Monroe started her career in communications working for local government and nonprofits. Today, she is a freelance finance and lifestyle writer and small business owner. Teri holds a B.A. From Elon University.  In her spare time, she loves golfing with her husband, taking her dog Milo on long walks, and playing pickleball with friends.

Filed Under: charitable giving, Personal Finance Tagged With: Charitable donation, charitable giving, Estate planning

A 10-Step Guide To Planning A Fundraising Event

February 28, 2024 by Susan Paige Leave a Comment

Group of people, volunteering and groceries on table for charity event with care, kindness and help. Community donation, men and women at ngo checking food package distribution at non profit project

Planning a fundraising event can seem daunting, but breaking it down into manageable steps makes it much more achievable. As you work through these 10 steps, you’ll gain confidence in your ability to organize an event that meets your fundraising goals.

1.Set Your Goals 

First, clearly define what you want to accomplish – financially and otherwise. Set a specific dollar goal for money raised, as this quantifiable target will allow you to accurately measure success later.

Beyond dollars raised, identify other goals like increasing awareness, making new contacts for your organization, or acquiring more volunteers or donors from the attendee list post-event. Having these varied yet concrete goals in mind drives decision-making as you plan out event details.

For example, a 5K run coordinated by an animal rescue may set goals of:

  • Raise $15,000 to fund cat and dog sterilization surgeries
  • Register 200+ runners to increase event reach in the community
  • Obtain email addresses for 50% of attendees to expand our donor contact database
  • Recruit five new regular volunteers to walk dogs at our shelter

2.Form An Event Committee

Don’t try to plan everything solo. 

Recruit a committee of 4-6 reliable, well-connected people who can share key tasks and responsibilities. Seek out detail-oriented individuals who love making lists and chasing down specifics. Bring creative types into the mix to develop an appealing theme and activities. Tap natural networkers who easily secure sponsorships and prizes. 

Include long-time supporters who deeply understand your organization’s culture and needs. Have a tech wizard handle all things digital such as tools like Hour-A-Thon. 

Clearly define roles right away so tasks get divvied up based on each person’s interests, connections, and talents. Continue coordinating closely as a team throughout the planning process.

2024 Event planner timetable agenda plan on schedule event. Business woman checking planner, taking note on calendar desk on office table. Calendar event plan, work planning

For example, a silent auction committee may include:

  • Overall Lead Coordinator – manages timeline, budget, lead volunteer
  • Venue and Logistics Manager – researches venues, manages vendors
  • Sponsor Outreach Lead – solicits corporate sponsors
  • Donations Lead – gathers auction items from supporting businesses
  • Social Media and Promotion Lead – handles all event publicity
  • Dessert Dash Coordinator – plans fun fundraising activity

3.Choose Your Event 

Once your goals are set, brainstorm fundraising event ideas that align with what you want to accomplish. 

Consider your organization’s resources, limitations, capacity, audience, and location as you think through options. Weigh expected costs versus income potential for each type of event. Also factor in volunteer needs for set up, operation during, and clean up after. 

Will one event idea excite your existing donor base to participate? Does another appeal to and attract an untapped new demographic? Land on a focused event concept that your committee feels passionate about driving from idea to fruition.

For example, potential event options include a wine-tasting gala at a downtown hotel ballroom, a golf tournament at a local country club, a cornhole tournament in the park, a 5K fun run/walk through the neighborhood, and so on.

4.Set The Budget 

Once your event type is chosen, outline an itemized budget. Make sure to include all likely expenses like venue rental, food/beverages, decor, and more – all this to avoid any financial woes later on.

Also, carefully project estimated income through ticket sales, sponsorships at various levels, merchandise sales, silent auction proceeds, and the like. As you assign dollar amounts to each line item, make sure your income exceeds expenses enough to hit your net fundraising goal. If not, rework aspects of the event like the venue size, menu options, number of tickets available, entry fees, and expected sponsors until the budget balances favorably.

5.Secure Space And Vendors 

With a workable budget set, now lock down event necessities like your location/venue, caterer if serving food, A/V rental company if using mics/sound equipment, plus any other key vendors required to pull off your chosen fundraiser. 

Negotiate service contracts that provide flexibility or discounts should the event fall short of projections for any reason, like lower-than-expected turnout. If you have personal relationships with vendors who align with your cause, enlist their donated services whenever possible. Offer promotions at the event itself or on social media afterwards to sweeten the value proposition when asking new vendors to get involved. The key is securing reliable vendors to deliver all the moving parts you need.

6.Plan the Timeline 

Map out a detailed timeline working backwards from the final event date. List every major task and benchmark along the way. Building in more time cushions than you think you’ll need is wise at each step as delays pop up. Following this comprehensive roadmap keeps you on track and ahead of the game.

7.Promote The Event 

Get the word out early about your event on all communication channels. Create an event webpage with details that can be shared widely. Distribute email blasts to your full contact list, and then follow up personally with event attendees. Nonetheless, make sure that your outreach efforts are ethical and non-intrusive.

Post on social media weekly, then daily, closer to the date. Print posters and distribute flyers at local shops, churches, libraries, and schools. Ask existing volunteers to promote through their own networks, too. Emphasize how participating and contributing funds at this event furthers your organization’s critical mission. 

8.Manage Volunteer Help 

Determine how many volunteers you need on the actual event day to carry out functions, like set up, check-in, parking management, photo booth, tear down, and other roles. One week prior, confirm your volunteers for shift times and provide instructions regarding where to go, what to bring, what to wear, and so on. Continue communicating leading up to the event, and then show heartfelt appreciation for their gift of service afterwards. This inspires repeat help at your next community event.

9.Plan Contingencies 

Despite your best intentions, things can still go wrong at events like technical glitches and so on. For each scenario that could reasonably happen, make an if/then plan listing back-up options or solutions you’ll smoothly deploy. Communicate these clearly with your event committee and trusted volunteers so you can adapt seamlessly if needed. 

10.Review And Make Adjustments 

In the final month, weeks, and days pre-event, communicate frequently as an event committee. Review your timelines and benchmark progress to date. Confirm vendor commitments, volunteer help, appropriate income and expenses tracking against budgets. Identify any last-minute challenges or changes needed and solve issues quickly before they grow exponentially.

In Conclusion

Staying organized is absolutely key to orchestrating a seamless, successful fundraiser. But, also embrace unpredictability, which is inevitably part of any complex event dependent on many people. Continually solve issues creatively as they pop up. Then, celebrate exceeding your attendance, fundraising, and engagement goals, thanks to thoughtful upfront preparation paired with positive flexibility when needed. Attendees will leave glad they came and supported your worthwhile cause. 

You’ve got this in the bag, champ!

 

Filed Under: charitable giving

Financial Planning Basics: The Financial Pyramid

September 9, 2023 by Jacob Sensiba 1 Comment

The first time I heard about the financial pyramid, I was instantly intrigued. I had never thought about it in this concept before, but I unintentionally had been practicing this in my own life.

In finances you have to build the base before you can reach the top or it will all fall apart, hence the allegory of a pyramid.

financial-pyramid

The Base

The base of your financial pyramid should be a solid financial plan. This includes your written budget, short-term and long term goals, and how you will make your income as well as an investment plan to be implemented in the future.

You should have a positive cash flow, meaning, no longer using debt to fund your lifestyle.

RELATED: The Importance of a Personal Investing Statement

Once you have implemented the base, you can move onto the first building block: protection.

Protection

You must protect yourself from the unimaginable, so I recommend everyone have a will and power of attorney, insurances such as life, health, auto, homeowner’s/renter’s, and disability, and a basic emergency fund of at least $1,000-$2,500.

I was thankful to have my mini-emergency fund when I had some car issues because I was able to pay cash to repair them instead of having to go into debt. The overall pyramid looks something like this:
the-financial-planning-pyramid

The second building block is low-risk wealth accumulation. This would include saving for a home, retirement, and children’s college education, in addition to reducing consumer debt.

Debt Reduction

Financial guru Dave Ramsey teaches that you should get completely rid of any debt before beginning savings, although, in my opinion, you should still invest in retirement while reducing debt only if your employer offers a match.

I, myself, am in the debt reduction stage but still contribute to my retirement account since my employer offers up to a 4% match into my 401(k).

Additionally in this step, you should create your emergency savings fund. Many people believe an emergency fund of 3-6 months’ worth of expenses is adequate.

Investing

The third building block is high-risk wealth accumulation.  This includes investing. Expanding on the second block, in this stage, you will max out your retirement accounts and then build a non-registered investment portfolio.

Once you have built your net worth to an amount sufficient to fund your lifestyle and retirement, you can move to the next stage of investing– speculation (also known as speculative investing.) In this stage, you invest money into investments such as start-up companies.

This is very risky, so you don’t want any debt by this stage. Also, you should only invest a small portion of your total investments into speculation. Also in this stage, you’ll want to begin tax planning, especially as your retirement investments increase.

Estate and Charity

The final building block is wealth distribution. You’ll gift and spend the money you have earned. As well as plan your estate for future generations or charity upon your death. Since your net worth increased quite a bit since you first started the financial planning pyramid, you should update your will and/or trust.

Finally, once you’ve got these basics nailed down, it’s time to hire some help. One approach a lot of millennials use is robo-advisors. A robo-advisor is a machine that uses various theories about portfolio allocation to make investing decisions. If you’re interested in a critical review of this, consider checking out Roboadvisorpros.com, they have a good article on the topic.

For help getting your financial pyramid in order, check out these great articles.

Yes, Financial Planning Matters – Here is Why
Best Free Financial Advice
Become a Financial Expert Step-by-Step

Jacob Sensiba
Jacob Sensiba

Jacob Sensible is a financial advisor with decades of experience in the financial planning industry.  His journey into finance began out of necessity, stepping up to support his grandfather during a health crisis. This period not only grounded him in the essentials of stock analysis, investment strategies, and the critical roles of insurance and trusts in asset preservation but also instilled a comprehensive understanding of financial markets and wealth management.  Jacob can be reached at: jake.sensiba@mygfpartner.com.

mygfpartner.com/jacob-sensiba-wisconsin-financial-advisor/

Filed Under: charitable giving, Debt Management, Estate Planning, Investing, investment types, money management, Personal Finance

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