While flipping through the newspaper, watching television or reading your company newsletter, you can become overwhelmed with the number of charities that are asking for your contribution. But, deep down inside, we all feel an urge to support life-saving technology, programs that help those who are less fortunate, education, animal protection, the arts – the list goes on - so we sign up and give our cash away, year after year.

Americans are known for their giving nature – according to The Barna Group, in 2004, 83 percent of Americans give to one or more charities. The average donation an American makes is $1,232 – about three percent of his/her salary. So, we are stepping up to the plate, but are we really making a difference?

Yes and no. We are a primary source of non-profit funding, so our donations are helping millions of people. But once we write that check or attend that event, do we follow up with the non-profit organization to see exactly how our funds were used? Or, are we just giving our money away because everyone else at the company is doing it, or a friend asked for our support?

This kind of behavior – giving without thinking – can really hurt those non-profits that are on the verge of collapsing, while allowing the nationally recognized, more aggressive charities to bring in billions of revenue each year. So, the next time you decide to offer your support, follow a few tips that can make a difference for thousands.

Before you write that check, educate yourself.

Non-profit organizations are essential – they help fill the gaps of every day life. And since most non-profits receive only a portion of their dollars from local and national governmental organizations, they rely on private donations to keep their mission alive. So, our support is much needed, but are you sure your hard earned cash is used correctly?

In most cases, yes; but you can never be too careful. Before donating money to a charity, do your homework. Answering the following questions will make you feel better about cutting that check:

• What is the non-profit organization’s mission? Find out exactly what the non-profit organization does and how they do it. If you can’t answer this question just by reading its mission statement or visiting their FAQ site, than the non-profit may not have a clear goal. An unclear mission means that your donation may get wasted away while the non-profit organization tries to figure out what they are actually doing to make a difference.

• What is the non-profit’s short- and long-term plan? To support its mission, a non-profit usually has a short- and long-term plan accessible by the public. This is basically a business plan of sorts that maps out how it will manage making a difference with dollars. Become familiar with their plan so you know how you fit into the piece of the pie, and follow up to make sure the organization is doing what it said it would do. If you notice that the non-profit has a hard time moving forward despite the funding it collected, you may want to donate to a different cause.

• What does its annual report say about them? Every non-profit business is required to release an annual report that the public can access. Spend some time looking at it – how much money was donated? How much was used for the actual mission versus advertising and employment? Some non-profits spend up to 75 cents for every dollar for advertising, payroll, trips, training and other business expenses – that means only 25 cents of each dollar you donate goes toward the mission. If you cannot figure out how much of your money is used to support the mission - then ask. If the non-profit gives you an unclear answer, or you cannot find it on their Web site or pamphlets, you may want to reconsider giving them money.

• How is its programs or services run? Find out what your money is supporting by taking a tour of the agency or attending agency meetings, training sessions or medical venues where the non-profit services or technology exist. This allows you to see first hand all the great work the non-profit agency is doing, or lack thereof. Ask questions while there – does the service provide an actual benefit? Has it made life better or easier for the non-profit recipients? Or, where is the non-profit falling short? The answer to these questions can ease your peace of mind, and maybe prompt you to find other ways to support the non-profit. Or, it can help you decide that your money isn’t supporting what you thought it was, and you may want to reconsider your donation.

• Is the non-profit utilizing a volunteer base? Most non-profits are volunteer-led organizations – but are they using their volunteers effectively? Check and see what volunteer opportunities they have and if they are using their volunteers wisely. If the non-profit is only using volunteers for fundraising opportunities, then maybe the organization is missing the mark. Volunteers should be used for the programs and services that the non-profit offers too; otherwise, your money is being spent on salaries and not on the mission.

After you have answered those questions, don’t write your check just yet. Do a quick background search on the non-profit organization in order to find out a few more things:

• Is the charity easy to work with?

• Has the charity experienced embezzlement or other mismanagement issues?

• How does your community feel about the charity?

• Is the charity just in a numbers game; or do they really care about its mission?

Once you have answered the above questions, you will definitely have a new perspective on each non-profit organization you help fund. You wouldn’t just purchase a home or a car without inspecting it, so why would you just throw your money away without knowing where it goes? Education is the key to making any wise investment, especially when concerning the non-profit sector.

Don’t just fund – become an active supporter.

Your money isn’t the only thing that non-profits crave – each organization relies on community participation in order to maintain its effectiveness. So, if you just can’t afford to donate money, or you want to offer even more support after you cut that check, here are some things you can do:

• Donate new or used goods. Is your attic screaming “clean me”? Is that car just going to sit in the driveway? Have more canned goods than cupboard space? All of these items can be used by somebody who needs them. Instead of dealing with the headache of a garage sale, offer your goods to local charities. Many charities will come directly to your home and pick up your unwanted items, or you can utilize drop boxes that can be found all over your community. And if there is a sale at the grocery store, stock up on dog or cat food, canned goods and other non-perishable items and surprise your local people and animal shelters by giving them a day’s worth of food. Donations are a win-win situation; the items are badly needed, and you can receive tax credit for your altruism.

• Offer your expertise. If your professional life overlaps a charity’s mission – think about donating some time to help them out. Become their expert – you can help teach classes, act as a spokesperson on their behalf for the media, involve your place of employment as a service provider for the charity and so on. What you do in your professional life can always help a charity – you just have to find where you can fit in to make a difference.

• Become a volunteer. This by far is the most important service you can offer – your time. Call up local charities and ask what volunteer opportunities they have for individuals. Many times, you can help with the services they provide by conducting training, reading to children, cleaning out animal pens, or just offering your area of expertise. Get your whole family involved – this not only shows them how blessed they are, but it also teaches compassion, tolerance and empathy. By giving your time, you can actually see how many people the charity reaches, and the effect it has on the whole community. Without the volunteering experience, you may never realize the impact the charity has.

• Become a spokesperson. Many smaller non-profit organizations – usually community based – are at a disadvantage. They don’t have the billion dollar revenue that nationally acclaimed non-profits have, and may get lost in the mix. Help spread the word about what they do for the community – speak up. Discuss its mission in an informal setting with friends, family and co-workers, or take it a step further – call local organizations and ask if you can speak about the charity with its members or employees. Organizations like the Lions Club, Kiwanis Club, Rotary Club and Chamber of Commerce are always looking for speakers for its monthly meetings. Give them a call and set up a time to spread the word about your favorite charity. Your charity will love you for it, and you can help build their funding and volunteer base just by spending an hour each month discussing its mission.

• Sit on the board. Most charities have a volunteer-based board of directors that lead them. If you are business-minded and want to work behind the scenes, this may be the best bet for you. Board members attend monthly or quarterly meetings and control different aspects of the charity – financial, programs, volunteer base, etc. You can actually help make the decisions that affect the lives of so many, while having the personal satisfaction that you are making a difference.

• Rally. If you don’t have the time to volunteer regularly, why not assess any needs the charity has, and make it happen? Is the building falling apart, walls need of painting, furniture in ruins? Take a stand. Recruit people and businesses to make a difference. Find those individuals who have the expertise you need – carpenters, painters, electricians, etc – and put them to work. A few weekends out of a year isn’t much – and once everyone sees the change they’ve made, they’ll be proud, and the charity will be thankful.

A few more tips for supporting charities.

With all the charities out there, you have to make some clear choices. You can’t do it all for every non-profit organization, but the support you do decide to give is worth your time. Consider the following tips:

• Don’t give a just a little bit to every charity – or you’ll end up spreading yourself too thin. Instead, decide which charities you really believe in, and work that angle. Have you been touched by breast cancer? Do you have a special love for children? Have you been in an abusive situation? Tie in your life experience or beliefs to the charities you support. This allows you to really make a difference for a few choice non-profits, rather than making a very small change for many.

• You can’t do it all. The more you do for charities, the more they call on you for help. That is fine, but don’t attend every fundraising event or give your last dime if it is hurting your personal life. Pick and choose the different events, training and services that you want to be involved in. This allows for you to give it your all when you are offering your help, rather than just squeaking by.

• Do it because you want to, not because you feel guilt. If your company is offering bake sale items to raise money for a cause and you were going to purchase something out of the vending machine anyway, definitely support their efforts. But if you feel pinned into giving money, then you may be giving for the wrong reasons. Remember, you aren’t giving your donation or volunteer efforts to make your company look better – you are doing it because you believe in the cause.

You hold the key to making a difference.

Donating your money and time are the two things you can do to really help non-profit organizations locally and nationally. Charities all across the United States and abroad are doing great things only because you have decided to truly support what you think is right and just.

Without your help, abused women and children wouldn’t have a safe place to go to, educational programs for those who need them wouldn’t exist, new health and environmental technology wouldn’t be saving lives and our land, millions of animals would never have a normal life with an owner who loves them, thousands of children and their families wouldn’t have Thanksgiving, Christmas or food to eat every day and so on.

Non-profit organizations do work. But since there are so many out there that need your help, you must make sure that your dollars and time are actually profiting the charity’s mission - and not their personal checkbook. As long as you do your homework first and then give your time and money, you can go to bed knowing that you actually do make a difference in the world around you.

External Links:

• Charity Navigator - Your Guide to Intelligent Giving