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When you donate, do you want to know where the money goes?

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  • When you donate, do you want to know where the money goes?

    When you make a monetary donation, how interested are you in exactly what the money will be used for?

    Here is the reason I ask.

    We donate regularly in a variety of ways to our synagogue. Generally, we direct our donations toward specific funds within the organization - the music fund, the library fund, the endowment fund, etc. We have a pretty good idea of how each of those funds gets spent.

    Occasionally, however, there is a fund raiser from which the proceeds go into the general fund which can be used for anything from paying staff salaries to the electric bill to the landscaper. I realize that each and every one of those expenses is important and necessary, but somehow I prefer to direct our money to an area that I feel has a particular need that isn't being met. I guess I like knowing that my money is going to a particular cause that I feel a connection to.

    Does that make sense? How does everyone else feel about that?
    Steve

    * Despite the high cost of living, it remains very popular.
    * Why should I pay for my daughter's education when she already knows everything?
    * There are no shortcuts to anywhere worth going.

  • #2
    While I always check out a charity/organization to make sure they meet acceptable standards for use of donations (fundraising expenses under a certain %, reasonable salaries for directors, etc.) I don't usually feel the need to direct my giving.

    I'm much more inclined to contribute to a general fund or to advise that my donation should be used wherever the need is greatest. I figure the charity knows what it needs the most and what would do the most good at any time. Plus I like looking around and feeling like I'm part of everything there.

    Also, to me giving is an exercise in faith and giving over control. I work hard to make giving an exercise in letting go. I need to have faith and trust that they will be used for good. Once I've given my gift I feel like I need to stop directing it and let the "system" work.

    I don't think there's any wrong way to give!
    Last edited by pearlieq; 03-14-2007, 06:15 PM.

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    • #3
      Unrestricted gifts are SO much more valuable to the nonprofit than restricted gifts. Sure, it's less exciting to fund keeping the lights on and the bookkeeper paid than to fund a specific project or program, but we all want the nonprofits that we donate to to be well-run, right? That can't happen if they can't pay the bookkeeper (just as an example).

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      • #4
        I donate most of my charitable giving to the Salvation Army these days. I have seen and heard a great deal of good things they do. I have checked and found that their administrative costs are minimal.

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        • #5
          One thing that I should have mentioned: My wife and I are both very active in the synagogue. I am on the board of trustees so I am privy to all of the financial data. I also head or sit on numerous committees. My wife is also very active and, for the past 2 years, has been a paid employee of the synagogue. So we have a pretty intimate understanding of how things run and where the needs are.

          For those not familiar with synagogue routine, it differs a lot from the general church structure in that members pay regular monthly dues. Those funds go to pay operating expenses - salaries, utilities, etc. - as well as helping to support programming.

          What made me ask the question is that there is a significant fundraiser coming up in May that will be benefitting the general fund. I am not terribly interested in the topic (it is a guest speaker program) but part of me feels we should go to show our support. The cost is relatively high compared to our typical programs but not something that we can't comfortably afford. What bothers me is the general fund aspect. If I'm going to give that much in one lump sum, I'd like to know where it is going.

          The program does have a cheaper option which is to just attend a presentation by the speaker and a dessert buffet for a lot less money but you don't get the full dinner program and personal time with the speaker. I think we will probably go that route.
          Steve

          * Despite the high cost of living, it remains very popular.
          * Why should I pay for my daughter's education when she already knows everything?
          * There are no shortcuts to anywhere worth going.

          Comment


          • #6
            Originally posted by disneysteve View Post
            I guess I like knowing that my money is going to a particular cause that I feel a connection to.
            Sometimes I like to know where exactly the dollars are going. Other times I really prefer to leave it up to those who I trust to be able to discern the needs because they are working around it day in and day out.

            I have given my old high school, a private school which accomodated me even though my parents could not pay tuition, a donation that I directed be used for the science labs. That was because of the boost that school gve me in sciences. I also gave a donation which I directed to be used for utilities to keep the school livable. That was because when I was a student there, a health and welfare type committee gave me money supposedly to help buy holiday gifts one December, but I gave it to my mother to pay our gas bill. The school kept me warm at home, I wanted to return the favor, especially as this school helps a lot of pooor kids, even more now than when I was a student. Besides, giving specifically for utilities is not very glamorous, so I figured not many others were making donations designated for that. You don't get your name on a brass plaque or a brick in the plaza for paying an electric bill.

            Another favorite charity is a homeless shelter where I worked for a number of years. I know the kinds of needs there very well and want them to have complete flexibility with the money I give. I do want them to be able to micromanage and meet even small (by expense) but important needs on the spot, so I do not ever designate what I want money to go for. If someone needs $3.00 bus fare to get to a job interview, I want them to be able to give it. If the waterline needs to be replaced or everyone they've taken in will be once again on the streets, then for goodness sakes, apply my donation toward that. I trust these people to be very wise with donations, and never to spend it unwisely.

            But in general, I think most people do give to "causes" they feel connected to in some way. Why else give? Well, I guess we could think of reasons. I won't detail all my causes; some are educational, some political, one international, one medical, one legal services, and quite a few are impromptu, one time only donations when I am asked. But they always connect to what I want the world to be, not just to the cold fact that there is a column for charity in our budget.
            "There is some ontological doubt as to whether it may even be possible in principle to nail down these things in the universe we're given to study." --text msg from my kid

            "It is easier to build strong children than to repair broken men." --Frederick Douglass

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            • #7
              I work for a non-profit, so since my pay and benifits are a direct result of member dues and donations, I really appreciate unrestricted donations! I feel that a well run organization knows best how the money needs to be spent. In fact, the whole reason my department exists is to control travel related expenses for those who travel on business for the organization. My department's work saves my organization tens of thousands of dollars over the cost of operating my department, that saved money can then be directed to other programs. So, donating to a specific chartiy or organization is about as specific as I want to get, the charity knows best, IMO.

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              • #8
                I tend to want to know the money is well used, but as to what, not particular really. Now if I am adding more than my 'base budget' I would prefer the more was to something I am interested in....

                Right now the church has dinners on Wednesday night, the proceeds go to some thing or other than I am not interested in...but...it isn't bad so I am not mad. If it was something I did NOT support I would not attend, instead it is just their choice and not really a problem.

                As to your speaker, if you will not enjoy yourself, why go? you don't have to go to everything just cause it is a 'church function' (err synagogue function'?)

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                • #9
                  i think i would like knowing where the money goes even if it's not very glamorous... or i would at least like to donate it to a specific program...
                  for example, instead of donating to a general fund at my old school i would donate to the band program because of everything it meant to me and also because i know they need it...
                  when i was there some of the instruments were held together with rubber bands, parents volunteered and sewed our uniforms cuz we couldn't afford to buy them, and fixing up the band room consisted of student volunteers coming in on saturday and working alongside our instructor to clean and paint the room....so i'd like to donate to them specifically but i don't really need to know what they do with it...

                  i don't know who else i would support and how i would do it but that's definately one of those places i wouldn't mind helping...

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                  • #10
                    Originally posted by PrincessPerky View Post
                    As to your speaker, if you will not enjoy yourself, why go? you don't have to go to everything just cause it is a 'church function' (err synagogue function'?)
                    As a member of the board, there is a bit more of an expectation (though by no means a requirement) that I will attend and support various events. It does look bad, though, if a big event is held and the synagogue leadership doesn't show up.
                    Steve

                    * Despite the high cost of living, it remains very popular.
                    * Why should I pay for my daughter's education when she already knows everything?
                    * There are no shortcuts to anywhere worth going.

                    Comment


                    • #11

                      I use Charity Navigator to learn about an organization, including fund utilization and admin/overhead expenses, before I donate.

                      I also look for privacy policy information. So many charities sell/trade donor information unless you opt out. I either do so or, more frequently, only donate to those who do not engage in this practice to start with.

                      Here is a link to Charity Navigator--
                      Charity Navigator - America's Largest Charity Evaluator

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                      • #12
                        Another suggestion (an effortless way to give).

                        Use Welcome : GoodSearch : Search the Internet with GoodSearch and support your favorite charity or school. for your search engine. See if your charity is listed on there, and the charity gets a penny per search you do through them (paid by advertising). It's powered by Yahoo.

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                        • #13
                          Ah... tricky situation ... let's see ...

                          Already fully supportive of your synagogue in terms of time & money
                          PLUS
                          Not necessarily supportive of this particular event
                          PLUS
                          Pressure to contribute because you are a leader
                          EQUALS
                          A good time to "have another commitment" therefore, so sorry, but cannot attend

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