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We got this question from reader C, and it struck us as an interesting topic… how much charitable giving do you do as a young professional? How much do you donate to non-profits, and which ones? Here's her question:
I have an article/poll idea: How much do Corporette readers donate to non-profits and which types of non-profits? I tend to donate $25-100 to all of my alumni associations (high school, college, law school), and then I have an assortment of other causes I like to support. I also support friends who are raising money for causes or running for office.
My biggest donations go to organizations of which I sit on the board of trustees.I'm very curious about what percentage of their salaries Corporette readers donate to non-profits.
Also, do people donate strategically, e.g., for networking or business development purposes? I tend to feel guilty about some big-ticket fashion purchases when I think of all the needy non-profits out there, so I know this is relevant to your subject matter!
Also, given how popular your posts on finances have been, I think this might be an interesting topic for your readers.
We suspect the answer will be deeply personal to each person, so we're going to do this as an open thread. For our $.02, research is what generally slows us down in terms of charitable donations.
We've heard that oftentimes charities take a lot (like 80-90%) for administrative costs, and the money doesn't actually go to the cause — so the question is always, which charity?
Most of our charitable giving tends to happen to the same causes that we've donated to in the past, or if (after a funeral) a family suggests a donation in lieu of flowers; we've also joined a lot of associations/societies where some of the membership fee is treated as a charitable donation.
Readers, what are your thoughts on charitable giving as a young professional?
2021 updated image via Stencil. Originally pictured: Salvation Army, originally uploaded to Flickr by zieak.
v
Charity Navigator is a good resource for seeing the breakdown of administrative vs. program costs and things like that.
Anonymous
I love Charity Navigator! Though in response to some posts below, 10% overhead isn’t always better than, say, 15%. The 15% may make wiser decisions, do better work, etc. But it’s a reasonable proxy.
My family comes from the strand of Christianity that emphasizes tithing. I know of someone who tithed unemployment checks (though I can’t say I would do the same). I have been striving towards 10% to various organizations that address poverty, at least after tax. I’ve been lower, but I’ve been at a large firm for a few years now, so it’s still over $10,000 a year.
I had over $150k in loans, but I’ve made very good progress there. I had credit card debt when I started, but no car payments and I didn’t buy a house or condo, so no other debt to pay down.
It’s also easier if you set your giving on autopilot — 10% or whatever off the top before anything else, rather than looking at what’s left over at the end of the year. (I apply the same policy towards savings.) If you work at a big firm you can pay down debt, save and max out your 401(k), take some great vacations, buy clothes at Nordstrom at least, and still give away 10k plus . . . though maybe not your first year, and maybe not if you (over)buy on a house. And you can’t buy fancier than Nordstrom, or drive a BMW. This obviously does not apply if you significant family obligations or other special situations.
This sounds pretty smug (thank heavens it’s anonymous!), so I will say that one thing I do not do is give away time. I am very protective of my non-work time, so I am in awe of people who bill 2,200 hours, or have small children, and still volunteer.
Anon
Until I finish paying off my $160K in student loans, my charitable contributions are extremely limited and pretty much determined by whatever is pulling at my heart strings the most. Even then, $25-50 is my limit. I figure I’ll have the rest of my working years to be give generously once my debt is paid off, but for now, getting rid of these monthly payments is my focus.
ceb
I am in the same boat . . .
However, in addition to $25-50 donations I make (schools, non-profits, church fundraisers, etc.) throughout the year, I have my monthly $10 “fun donation.” I choose something like “Nothing but Nets” or even the “Do you want to donate to homeless pets?” option at PetsMart. This monthly act reminds me that even small amounts can help, and gets me in the habit of planning for charity.
The one challenge here is to make sure you donate to a cause that won’t use your $10 to print $20 worth of letters and literature to fill up your mailbox, but the website Charity Navigator can help you with the selection.
K
I also can’t do much charitable giving due to my student loan obligations, so I just try to volunteer when I can. Any alumni donations are RIGHT out until I’ve finished paying for my education!
Erin
I have student loans, like Anon above, but I still give about $500/year split between different causes, or even more. I’d like to think that I am building good karma…like if I support those who are needier that I, the forces will in turn help me keep my job, which will allow me to pay off my student loans as I increase my giving…
K
Last year my charitable contributions were about $1500, but that included a one-time furniture donation. My cash contributions were about $600. I earn ~$60K which puts me in the highest 1% of income-earners in our county and I feel obligated to give back. I donate to my law school, the public interest fund at my law school, Planned Parenthood, Susan G. Komen, my church, St. Vincent de Paul, and then any runs/walks/fundraisers my friends and colleagues do throughout the year as well as funeral donations.
I have crazy loans just like everyone else, but my total cash donations were about the same amount as my monthly loan payment. What’s an extra $600 in the grand scheme of things? I may be jaded on this because I’ll qualify for the public interest loan forgiveness, so I don’t have to tackle as much of the loan burden as everybody else will.
peagoise
I don’t give often (i am poor, poor, poor) but when I do, it’s usually to my church or UMCOR- United Methodist Committee on Relief. 100% of the money goes to helping people, none of it goes to administrative stuff or advertising or any of that (as that money for UMCOR comes from United Methodist churches through apportioned giving to their conferences). It’s an easy way to know that my money is going to people who need it. And, you can even specify which peoples you want to help with a number (Haiti, Chile, Darfur, etc).
LizM
I’ve also given to UMCOR. Usually when a particular disaster is pulling at my heartstrings. I just gave some money for Haiti relief, and will probably donate some to Chili this Sunday at church. I also give about $50 a month to my chuch and $10 a month to my local public radio station.
For the most part, though, I’m in the same loans boat, except my husband is still unemployeed, so we’re having a little trouble making ends meet. Because we can’t spend a lot of money right now, we try to donate about a day a month between the two of us of our time.
LizM
Oops, brain fart. I really do know how to spell Chile (it’s not like I spent a semester there or anything!)
anon - chi
I give to two animal shelters ($50-100 each) – I adopted an animal from one of them and was amazed at how much expensive medical care those critters get before they get adopted, most of which is not covered by the adoption fee. I also give to my university ($50-100) and the JUF ($100-200), and I run in maybe 8-10 races per year where part of the entrance fee goes to various charities (ranges from $30ish to over $100 for marathons). Not sure if the races really count from a “karma” perspective since I would probably run a lot of them even if the entrance fee just went to administrative expenses …
TJ
I don’t know how much my giving totals up over a year — I should start tracking it. There are a few charities I regularly give to (ASPCA, Farm Sanctuary, Planned Parenthood), and in election years I give to candidates and parties, and I donate when friends do things like charity-sponsored races. I definitely don’t donate for networking purposes.
Res Ipsa
You don’t retain your receipts for tax deduction purposes?
Anonymous
if you don’t itemize your deductions, it doesn’t matter. Unless TJ has a mortgage or lots of student loans, she likely doesn’t itemize.
em
Student loans don’t have anything to do with itemizing. Student loan interest is an above-the-line deduction from gross income, so you can use it whether you itemize or take the standard (there are income phaseouts though). She might itemize if she has a mortgage + property taxes + other taxes (sales or state income, state excise) + medical expenses over 7.5% of adjusted gross income + expenses like tax prep fees, unreimbursed job expenses, etc. that exceed 2% of AGI. If you’re single you likely won’t itemize (unless there’s a state income tax reason to) unless you have more than 5700 of these expenses. (From the tax nerd)
meg
In the last couple of years I joined my local Women’s Impact Fund. The idea here is local women pool resources and then dontate it to local causes (there is a 5-year committment, so future funding is “known”). A minimal, very transparent, amount goes toward administrative costs and much of the work is done by the donees on a volunteer basis. We give grants to 5 causes each year, after substantial vetting and the entire membership votes on which ones to support in a given year. Causes are divided between Education, Health, Arts, Environment and Human Services. It’s really the that I’ve felt like my donations are actually making an impact and not just going out into space somewhere. Although I think it’s local to my area, I don’t see any reason like-minded women couldn’t establish such a program elsewhere.
http://www.womensimpactfund.org/
2L
I am a student. Besides my museum memberships, which sometimes are treated as charitable contributions, the entirety of my donations are in services (~40 hours per year).
A
Ditto. The warm and fuzzy feeling you get after spending an afternoon in a food bank is unrivaled.
Alison
I’m a nonprofit executive who reads you site every day and I really enjoy it. And I’m incredibly grateful to you because without your site I never would have discovered the wonderful designer Darren Trentacosta who makes great suits and dresses forwomen like me who are bigger than a size 10.
But I’d have to take issue with this line in the post about charitable giving: “We’ve heard that oftentimes charities take a lot (like 80-90%) for administrative costs, and the money doesn’t actually go to the cause…”
My issue is that this takes a for-profit mindset about reduced overhead automatically equals more profit and in turn a better business. Which it may, if profit is the sole motivation.
In the case of the nonprofit sector, our organizations are filling market gaps, and addressing some of the most intractable issues our society faces–from hunger and domestic violence, to providing independent research on policy or education programs for kids. And we do it with far fewer resources than the for profit sector does (or even government which has taxing ability) because we are dependent on our funding , by and large, not coming from the people who benefit from our services.
So, when you make an individual contribution to an organization, you are providing much-needed, unrestricted funding. Individuals are one of the few sources most nonprofits have for this type of funding (most foundation and government grants are only for programs).
I’ll be the first to admit that not all nonprofits are created equal–some are very professionally managed and measure their impact well, others are efforts of passion and commitment where management and measurement aren’t even thoughts, and some are legacies that should have shuttered their doors. And in some arenas, there are too many organizations competing and not collaborating to address an issue, while other issues have no one in the space.
So, I would argue that it’s more important for donors to be looking at impact–does the nonprofit I’m considering donating to have clear goals and demonstrate clear results (not just the number of individuals who received services, but what happened to those people after they received services)?
If you think a nonprofit does meaningful work and is achieving their mission and having real impact, does it matter if the dollars you give go to administration or programming? In my opinion, you are supporting the organization who is making that impact happen, and both types of funding are necessary for them to be able to do that work.
Sorry for the rant. It’s great that you’ve launched this discussion on charitable contributions.. Women have a tremendous amount of giving power, and while I work on issues of the regional economy, I give my money to organizations I volunteer with or serve on the board of that work on women’s issues–empowering girls, services for domestic violence survivors, poverty, and my local women’s funding federation. I also give through the United Way, to organizations that my friends are raising funds for, and to the shelter I adopted my dog from.
Emily
It matters whether the money goes to the cause or to overhead because the goal is to fund the cause, not to fund more fund-raising.
If one organization passes 30% of my donation on and another passes 70% on, then the second organization will more efficiently leverage my money into aid for whatever the cause is.
Amy
But overhead doesn’t mean fundraising. Oftentimes, it means keeping the lights on and buy staplers and paying for employees’ health insurance. You know, the stuff that any employer needs to do to keep things running. Some organizations keep overhead costs low because they require fewer facilities or employees. But if you’re supporting an organization that requires a lot of intensive labor (research, counseling, and direct service organizations, for example, have more employees than many other organizations, for obvious and understandable reasons) , their overhead is going to be higher, and you shouldn’t penalize them for running a different sort of organization.
LJ
As a fellow non-profiteer, thank you for the rant! I work in advocacy, so our programs aren’t terribly tangible. We work to increased foreign assistance in post-conflict countries, so we do a lot of lobbying and such. Another site I read was ranting about HRC, like my organization an advocacy organization, and how donations all seem to go to events and staff salaries, but that’s really the core of programs and work! So yes, the admin versus programs as a criteria is irksome and thank you for writing about it.
Erin M.
YES! Thank you.
For more on the topic of administrative costs: http://informationincontext.typepad.com/good_intentions_are_not_e/2010/01/administration-costs.html
anon
Our cash donations total about $3000 a year for an annual combined income of $150,000. We give to our church, the zoo, public radio, and the non-profit that my husband works for. When I was at a firm, we had to “voluntarily” give a certain contribution to the United Way. I didn’t mind that much– it does good work and I was making a ridiculous salary anyway, even given the ridiculous amount of student loans I had, and still have. Some people really hated it though. I suppose technically you could refuse but who wants to be that person?
Katie
We are at about that percentage level too on a (gross) income of around $175K. We are active in our (Catholic) church and donate about $5000/year there ($350/month auto-withdrawal and extra for diocesan or fundraising efforts). We donate $100-$200/year to each of a handful of alumni, veteran and legal organizations, and public radio. My husband just opened a private practice so he is not making very much money but donates services and time when possible. We have struggled to become strategic about our giving; we get fundraising calls and letters on a nearly daily basis and try to give more to fewer charities we feel strongly about. Our rules: Never donate over the phone, never donate more than $25 without asking each other, and make our donations to each organization around the same time every year. (If we waited until the end of the year we would not be giving as much — we need to spread it around.) I generally do not consider the business aspect of giving but it’s a good idea to do so.
anon - chi
That’s insane!! A forced “voluntary” contribution at work? That would make me angry regardless of how worthy the charity was or how much I was being paid. Your employer shouldn’t be dictating where your charitable dollars are spent, or even if they are spent at all.
On another note, I frequently get “please give to my pet project!” emails from partners. It’s really awkward to have your superiors exhorting you to give money (voluntarily, of course!) to the charity they founded or whose board they sit on.
AN
I donate 3% of my pay either to charities or to people who are needy (I live in Asia and last year, paid for medical costs of my domestic helper’s kids who were in accidents etc). Trying to increase to 5%.
But I HATE it when colleagues at work do the rounds to scare up donations on behalf of their kids who have to raise a certain amount to get extra “points” at school!! It’s not the amount but the principle of “forced” contributions (or look like a jerk in front of others) that I object to.
LizM
I’m curious how you feel about this: when my dad was a regular employee, I sold Girl Scout cookies in his office. I had to do all the selling, he just introduced me to people I hadn’t met. The first year he was promoted to a supervisor, he didn’t let me sell them because he thought it was inappropriate for a supervisor’s kid to be asking for donations. BUT he got several complaints from coworkers that they hadn’t gotten their girl scout cookie order in in time since they were waiting for me. Every year after that, we compromised, and I designed a poster that went up either in the break room or on his office door. I never personally asked anyone if they wanted cookies, but they were free to order them.
I’m curious what others think of this – is it a good compromise, or do you still have the same problem?
v
Girl Scout cookies are a special class; I don’t know what kind of crack they put in those things, but they’re frigging addictive.
s-k-s
My firm has handled this situation pretty well by requiring all order forms for your kid’s school/club/church to be put out in the break rooms. People usually put out the order materials and a little note saying who/what they are for, and whoever wants to can order the items. There’s no pressure to order, and no individual akward situations where you have to say no to a boss or secretary (both of which are really hard to do IMHO).
My secretary often has $1 candy bar fundraisers sitting on her desk, but those don’t bother me at all.
Antof9
My rule on Girl Scout cookies and any other child fundraising (in the office AND at my front door) is that I will buy something from the kid and only the kid. If the child comes in (or rings my doorbell), I always buy from them. If the parent is stumping for the kid, no thanks. No thanks to forms left out on the table. I like kids and I want to see their smiling faces. And I want them to learn the value of politely asking someone if they would like to buy X and what it’s for. I will always reward them by buying something — even if it’s the cheapest item on the list.
Delta Sierra
anon – chi: I’m with you, I think forced contributions at work are deeply wrong. I’m a grown-up, thank you, and I will make my own decisions about charitable donations.
I also think it is wrong for the partners to use their position at work to raise funds for a pet charity. Blackmail, anyone?
JR
My husband’s company does that “voluntary” United Way contribution thing also. That just makes me so mad.
anon
Hmm– it just doesn’t make me that mad. The firm prides itself on being a top donor with 100% participation for United Way. And, you can dictate where you want the money to go, even if you want it to go to a particular charity that is not part of the United Way, the United Way will give a certain percent to that charity. You can also say you don’t want it to go to Planned Parenthood if that’s a problem for you (not for me). I think it’s a good idea to introduce the concept of charitable giving to young associates who are making top money and would otherwise not bother. After all, you can always say no if you feel that strongly about it. And if you are going to complain about it, you probably SHOULD refuse.
Also, I agree about the partners and colleagues at work who solicit for charitable contributions, in the form of cookie sales or candy bar sales or high priced raffle tickets. Not cool.
anon - chi
I just don’t think there’s any reason to assume that associates making good money wouldn’t otherwise bother with charitable donations if their employers don’t force them to give. It’s demeaning and patronizing for an employer to feel they should “introduce the concept” of charitable giving to younger employees – this is something that a parent might consider doing with a ten year old child. And even if you do strongly object, I don’t think many people will feel comfortable enough to actually say something. It strikes me as a self-promotional thing for the employer, frankly, if they are using employees’ forced contributions to brag that they have 100% participation in a charitable campaign.
anon-2
The very statement “The firn prides itself” just makes me cringe … we are individuals capable of making individual adult decisions, not part of some creepy cult-like collective … YOU DON’T HAVE TO DRINK THE KOOL-AID.
One of my heroes as a first year at a firm which set a very large “voluntary” amount was a fellow first year who just said no, refused to say why (we had to meet individually with partners on the United Way committee and explain a reason if we gave less than the “suggested” “voluntary” donation), and told them to stop bugging her about it. Completely derailed the 100% thing.
Of course, she didn’t last very long at the firm … but she seems very happy in her public interest job now whenever I talk to her.
anono
Grrr. I hate the “voluntary” United Way thing. Its just adding another administrative layer and meaning that even less money goes to charity. United Way’s vary from city to city, but there have been a lot of reports showing that only a very low percentage actually makes it to the people/charities.
My “voluntary” United Way donation is actually large enough that it becomes my primary charitable donation throughout the year, and it really irks me.
R
I donate about $1,000 a year, slightly less than 1% of my annual income. I focus my giving exclusively on local charities, because I think that’s where my money can make the most difference. The most I give per charity is $200.
Jill
I used to give $50 to $100 to alumni organizations and a few select charities, but I’ve made a conscious effort to be more deliberate about my charitable contributions in recent years. Last year I gave about $5,000 (approximately 5% of my gross income) to charities, with the largest chunks going to United Way and the local YWCA (I’m on the board). As previous posters have mentioned, our local United Way has organized a women’s initiative, which provides great networking opportunities for people who give at a certain level. It’s a good way to flex our collective philanthropic muscles, accomplish some things in the community, and build our networks.
Jill
Oops–math error. That’s actually about 2.5% of my gross income (not 5%). My goal is to crank it up to 5% over the next couple of years.
L
My husband and I have donated, on average, $5000 per year to various charities. The vast majority of these charities come to us through work (United Way, Red Cross, etc.) We also donate to our colleges and several smaller causes. I don’t tend to track our contributions to the church or other non-cash donations. Our cash donations equal about 2.5% of our annual income.
MJ
I have a lot of causes that “expect” donations, and I feel good to write a check to them every year. I too have tens of thousands in student loans, but I believe charitable giving is important and deserves attention.
I went to private school for 13 years–donation $100/year.
Undergrad–$100/year
Business school–$150/year and rising–they helpfully suggest an amount and then my classmates harass me if I don’t meet it.
I played sports in college and b-school–donations of $200 directly to the sport and $100 to the athletic dept to fund all sports times two schools.
The Land Conservancy that I served on the board of directors for–$100 year.
Plus other memberships–has varied over the years from the frivolous (junior league) to the fun (national geographic, sierra club). NPR, etc..
I try to give, but really, my giving is piddly compared to big donors. I know that every little bit helps though, so I try.
I avoid supermarket check-out giving like the plague though–it’s not tax-deductible and I resent the intrusion into my planned giving.
anon
If you keep your receipt and it’s a qualified organization it absolutely is tax deductible. Why would it not be?
Taylor
I agree with you about the shake down at the register. I don’t like the mood I get in after saying, no, no, no to all the questions about donations and my emails address. It makes me not want to shop.
Delta Sierra
Your classmates harass you if you don’t donate a certain amount? Screw that.
RKS
We donate cash somewhere in the range of 1-2% of our total income, plus lots of “stuff” donations and pro bono services or straight-out time. It was higher in my law firm days; less so now in gov’t days. As a lawyer, I’ve always believed in a moral obligation to do pro bono work, so I’ve always had at least one project to which I’m donating time if not also money.
In terms of determining a non-profit’s administrative costs, the Combined Federal Campaign (CFC, for feds) and United Way do publish that stuff for the organizations in their catalogues.
Lady Litigator
I am really self-serving when it comes to charitable donations. My spouse does the “touchy feely” giving (Haiti, schools, disasters) and the checks I write are almost all to charities with some connection to the legal field. Legal Aid is a must-give, not only because we all make money from clients who can pay their legal bills and should be giving to those who can’t afford our services, but because giving to Legal Aid carries with it fabulous networking opportunities. I also give to a scholarship foundation for women law students (again, I get to give back, and get networking opportunities in return) and to other legal nonprofits. You don’t have to give a lot to become identified in your legal community as a donor and someone who cares, and the rewards are great. I probably give about $1,000 a year to legal charities personally, and my firm pays about the same amount for me to attend charity dinners and luncheons. I would also urge people who can’t afford to give money to give time – nonprofit board service is another way to contribute that carries great rewards.
frustrated academic
I give to my undergrad (small women’s liberal arts college) every year becuase I figure that it needs it the most. As I have rather hefty law school loans, my law school does not get a donation since I already “give” every month ;-)
I also give a donation the Sisters of the Holy Cross and their mission to help the poor in lieu of flowers when a friend\family member passes away. Since the only benefit you recieve is prayer, that means that the entire amount is a tax deduction, and really, who doesn’t feel a little better having a ton of nuns putting in a good word for you?
We just bought a house and are currently renovating, so there is not much extra other money to donate, but I try to give of my “time and talent,” especially when my undergrad alumnae club needs help with fundrasing or a service event (we recently collected personal care items for a women’s homeless shelter–super easy and helped me to clear out all the travel sized items I’ve collected while travling over the years).
Eva
“I give to my undergrad (small women’s liberal arts college) every year becuase I figure that it needs it the most.”
The most? Really? I give to my undergrad too, and I see you give to other organizations as well, but I doubt any university needs money “most.”
frustrated academic
As opposed to my graduate school and law school, both of which have very large endowments. My undergrad does not.
As the product of a women’s college, I recognize the value that a single sex education can be to a young woman, above and beyond what she learns in the classroom, i.e., how to work with and build relationships with other women even as you compete with them (something that has been very helpful in the real world).
Women’s colleges are an endangered species, every few years another one closes, merges, or goes coed. This trend, and the fact that my education was funded by scholarships, makes me want to give back to the institution.
That is apart from the fact that college is expensive, and attending a private college even more so, and there are young women who cannot attend college if they do not receive scholarship dollars. I know how grateful I was for the financial assistance, and am so thrilled that I can pay it forward. I think that everyone has a cause that is close to their heart and women’s education is mine.
Sorry if this seems like a rant, but I am very passionate about the subject ;-)
Lucy
I am very proud of my undergrad women’s college. And I WOULD give to them if it weren’t so embarrassing… The first few years out of school I had no income and no cash to give. But the alum donor list always shows how many consecutive years the donor has given. When I was able to contribute, I received quite a few comments about “finally” giving or “at last” joining the list. Do I want to encourage that? Nope. What I also learned when I attended our last class reunion is that our name tags were also “donor recognition” tags, so I was quickly marked as someone who had given less/less frequently. Will I ever go back to Alumnae Weekend? Nope.
Now I sit on the boards of some NPO’s – and hopefully we will not discourage folks from giving as my alma mater has.
Congogirl
I was just thinking this – I give to my undergrad, but my graduate school won’t see donations until I’ve paid off those loans!
I work in international health, and I’ve seen the need and the good work that many orgs do. Sometimes I donate to Medecins Sans Frontieres (Doctors Without Borders) and have been convinced by the “unrestricted” argument, so they can make the decisions re: best use of my funds. And I also like Catholic Relief Services because although I am not religious and never was Catholic, I know the organization and they collaborate with many smaller local orgs, Catholic or otherwise, on the ground. In DR Congo, going through their structures may be the only way to get much-needed funds to very small communities and chapters.
Seventh Sister
Doing an automatic donation (synched up with my paycheck) has been great for me. It’s not a big amount, but I figure I can donate the cost of a lunch and/or a movie ticket every two weeks. For our church, I use automatic bill pay, which keeps me on track in case I miss a few weeks in a row.
Charity Navigator is very helpful – and I felt a lot less guilt about *not* giving to some organizations once I knew what they spent on administration.
Ellen
I work for a nonprofit, so I obviously have strong feelings on this subject. Mostly I believe everyone should give at their comfort level, of course, and should never feel guilty about not giving enough. Also, and this is most important: causes are going to ask you for money, they have to. They aren’t going to judge you if you are not in a position to give, and they will happily remove your name from their list if asked. But they have to ask. The world is a better place because people support charities at all levels. If you work with/for a charity, don’t be afraid to ask, and if asked don’t be afraid to give what you can even if it feels like too little (don’t worry: if you have enough money to be asked for a major donation–the definition of which changes based on the size of the organization–someone will call you and take you out to dinner and suggest a level).
Many people tithe for religious reasons (of course different faiths have different terms), or give to causes close to their heart. There is no set rule, and as for the “status” of donations, those really only come from large donations / board memberships. Not that many people are scouring the donor lists of people who gave $100 or less–which is why those gifts are sometimes the most treasured.
As for the 80-90% to administrative expenses mentioned above, first, most reputable charities are NOT operating like that. Second, if it appears that they are, they are probably reporting their financials inappropriately: it may well be that they aren’t correctly accounting for in-kind donations/volunteer hours — for example, a small organization that sends tutors into schools may use only volunteer tutors. Thus almost all the expenses will be admin/fundraising, with a small percentage for supplies. This does not count the hundreds of hours of volunteer time that could not be facilitated without administrative support. Please take that into account when looking at charities–many of them are run by smart, well-meaning people who have no background in finance or management.
(In many ways my greatest wish as an MBA working for a small nonprofit is for more people with a business background and training to volunteer their time as well as their money).
All that aside, do take the time to research a nonprofit before making a donation. Generally you can avoid this when donating to the smallest or largest companies–you won’t know about the smallest without a personal connection, which stands in for research, and the largest ones are well vetted. NetworkForGood.com, Guidestar.com and Charity Navigator are great places.
Furthermore, the new IRS-990 form asks charities to disclose an incredible amount of information. Glancing through a charity’s 990 should give you plenty of information to determine whether they can use your donation well.
Finally, give to causes that mean something to your community and your friends. Charities are hurting more than anywhere right now, as gov’t funds have dried up and people are saving more and donating less. Even the largest organizations appreciate small donations, and a sizeable donation (say $500 or more) to a small nonprofit can make a huge difference in their ability to fulfill their mission.
Not to go back to the 80-90% thing above, but it breaks my heart to hear that as the rep for charities. In my long career working at nonprofits, I’ve never met someone making an exorbitant salary or doing anything other than working incredibly hard at something they love for much lower than market rate. Our country’s public schools are a disaster in many places and depend on supplemental programming from nonprofits, there are many healthcare related charities, and of course public funding for the arts is ridiculously and inappropriately low. Please consider what you can give — be it $10 or $10,000 it will make a difference.
dcm58
Churches, unfortunately, are exempt from this increased regulation, though. And I personally have seen way too many church leaders who earn exorbitant (usually unjustifiable) salaries. Of course, I am all for separation of church and state, but it seems extreme.
That being said, I give 10% of my gross income to my church. I believe my church handles this reputably and I like that I know where it is going. I admit I fall into the same trap of thinking of most charities as “bad” charities instead of recognizing that this is the exception, not the rule. Again, I have dealt with many bad ones in my work and guess I am a bit skeptical. My church does a detailed financial statement every month, so I know where the money goes (plus, I give for religious reasons like you said).
Above that, I usually give about 1500 a year to St. Jude. It helped my niece before she died of cancer and is a wonderful organization.
Diane
Ellen,
Great summary of my thoughts. I covered nonprofits as a reporter for years and now work for one.
The guidelines I give people when researching is to find one that spends no more than 25% of their income on administrative/fundraising costs. If you have questions, ask — any reputable organization will answer.
Also, think about what you give. Take time to learn about the organizations, see what they do and ask questions.
When you’re ready to give, your contributions will be much more effective if they are focussed and consistent. While little amounts are always welcome, you can do more with your donations if you think about the issues you care about and focus your giving in a few areas rather than scattershotting it everywhere. And nonprofits have to plan to, so knowing we can count on your money each year helps us be even more efficient with your dollars.
Diane
And for the record, my husband and I make about $120,000 combined and we donate about $4,000-$5,000 between church, United Way/Combined Federal Campaign, our alma maters and of course, the organization where I work.
MMS
My husband and I donate by cash contributions, material donations (clothing, supplies, etc.) and time. We stick with nonprofit organizations that fall in line with our religious/moral beliefs (and are typically local), and are currently shooting for 5% of our combined income, with the ultimate goal hitting closer to 10%. We have been incredibly blessed in life and feel a strong desire to give back to our community.
K
I’m a little bit surprised at the low giving amounts stated here. Not judging, just surprised…
My husband and I are in the same “up-to-our-ears-in-loans” situation and we regularly give at least 10% of our income to charities. Some goes to our church, some goes to organizations we regularly support, and some goes to friends raising money for various causes. And we still feel like we’re not giving enough.
K
(BTW we are living off of my salary – we have a child, and my husband works part-time but only really enough to pay for childcare.)
Heidi
I am also surprised. All of my friends claim to aim for at least 7%, with 10% as a goal for when the loans are paid off. Perhaps we are not being honest when speaking out loud?
Many of my friends give for religious reasons, but I also was involved with the arts in school, and thus many of my friends were as well–I supposed having participated in something makes you more likely to support it down the road.
Another K
I constantly feel like I’m not giving enough, because (at least in my mind) I’m not. Until the student loans are gone, or I’m making a bigger salary, there just isn’t any more for me to give, so I do what I can in terms of time until my financial situation improves.
Please note: I live in a crappy apartment, I cook for myself and bring my own lunch to work every day rather than buying it, I don’t go out to movies more than about twice a year, I buy new clothes when I get gift cards for Christmas, etc. I am not spending money on myself in lieu of spending it on others – I just don’t have any to spend on anyone at the moment.
Congogirl
Time is very important – and in either NGO or donor land, we often count these contributions as a cash equivalent. Even though it doesn’t figure into individual taxes, I see hours as at least as valuable as either the hourly pay of an employee of a charitable organization or your own hourly pay. I haven’t been as good at volunteering time as I would like, so good on ya for making this a priority.
Blue
We give 10% of our income every year to charity, some to church and the rest to charities.
ceb
“I’m a little bit surprised at the low giving amounts stated here. Not judging, just surprised,” DOES sound judgmental regardless of your intent. As the moderator stated, this IS a deeply personal issue for most people.
If anything, I am impressed by the spirit with which many of us are giving and the way many of us are giving of our time when we can’t give financially due to various circumstances.
Another K
Thank you, ceb. I definitely felt judged, and responded upthread a bit more defensively than I probably needed to, because it’s a bit of a sore subject for me.
Ironic that those of us who work in public interest law are less likely to have the means to donate to charity…
v
Ironic that those of us who work in public interest law are less likely to have the means to donate to charity…
This seems perfectly natural to me actually – in some sense, aren’t you already donating the difference between what you’re getting paid versus what you could be getting paid in the private sector?
anon - chi
I just don’t know how it could be that surprising, either. I am amazed at the number of people on this thread who give 5% or even 10% of their income to charity every year. That’s a laudable and impressive goal, but people who give such significant sums MUST realize that they are in a tiny minority. Even self-reported census data, where people may overestimate their giving, suggest far lower rates than that on average.
Res Ipsa
I read the results of a really interesting survey which suggested that actually, it’s the working poor and those of modest incomes (under $20K) who give a bigger percentage of their incomes rather than those with more income.
Those whose reason for not giving to charity was due to lack of money actually tended to be from upper levels of income. Article <a href="http://www.portfolio.com/news-markets/national-news/portfolio/2008/02/19/Poor-Give-More-to-Charity//a>
Res Ipsa
Let me try again (I wish there was a way to edit one’s posts!)
http://www.portfolio.com/news-markets/national-news/portfolio/2008/02/19/Poor-Give-More-to-Charity
R
My cash donations last year were roughly $1500, with an annual salary of $135K. I also donate a substantial amount of time – at least 10-15 hours a month, and in the January to May timeframe every year more like 25-30 hours a month. And of course the household goods donations, which probably equal another $500.
I give to local charities that I believe in and to which I also donate my time. The bulk of my cash donations (roughly half) go to the local YWCA, which runs a domestic violence shelter among other laudable efforst . I try to rachet that up every year.
My husband chooses his own donations, which run roughly $500 to $1000 a year. His salary is $65K. He also donates substantial amounts of time – probably 20+ hours a month – and runs his company’s local charitable programs.
It is extremely important to give back to your community. We are all incredibly lucky compared to many people out there.
Res Ipsa
I tend to give most of my money to local charities with whom I have a connection: animal shelter, food bank, legal services provider, homeless shelter. I also give smaller donations to my college and law school. (I was a scholarship recipient in law school, so I feel obliged to pay it back for the current students!) I figure we probably put roughly 6% of our gross income towards charity/non-profits.
Have you heard of One Day’s Wages? http://www.onedayswages.org/ They encourage you to give, well, one day’s wages, to help end global poverty. ODW vets the various organizations for you. It’s a provocative idea — we can all spare at least one day’s wages.
Anon
I don’t think most recognizable charities that come to mind really spend 80-90% on admin – that seems high. Charity Navigator is good. The Better Business Bureau also certifies charities and uses a set of pretty respectable standards to evaluate them – including, I believe, that the charity must spend at least 65% of their money on program activities / services.
If you prefer direct charity that you KNOW is getting to land on the lap of a person who deserves it – my favorite charitable idea is – call local kid-oriented charity before Thanksgiving and tell them you want to go out and spend $100/$200/$3,o00/etc on Christmas presents. The charity I have used will provide me with a description of a family (baby girl, brother, single mother) and/or wish lists and I get to spend a weekend toy shopping, which is serious fun (although often they ask for things like “a broom”, which is sort of heartbreaking). That way you know every penny is going to the kids and every kid deserves a Christmas.
dr
Anon – I love the idea of shopping for certain children and families. Our church has done this for years. In the past, we just brought whatever we wanted to donate/purchase. Recently, they have gone to specific requests. I typically choose tags where boy’s clothing (sizes and type) are specified by the parent. Then I tuck in boxes of matchbox cars, an extra sweater or hoodie, and coloring books w/crayons for the younger boys. What boy only wants to open a Christmas present of clothes (and some that are likely requests for public school uni components)!
Seems like people enjoy buying clothes for girls…future Corporettes? So I select the boys. However, I am often dismayed by the specific requests for video game kits etc.
Additionally, my DH and I give at least 3% of our income to church, alum, museums, zoos, USO, and the Salvation Army. All our furniture (we’re finishing 5 years of handwork on renovating our home by ourselves so there’s lots of furnishings and “stuff” from closets that we are passing onto others), household goods, and regularly 1-2 grocery bags of clothing a month (thanks, Corporette ideas for new clothing) go to Salvation Army. Have even given a set of 1980 wedding china (Mikasa) to them when it was clear that selling to replacements.com was not worth the trouble.
We also donate time regularly. I do pro bono cases, reduce or omit some billable hours for families in need, free speaking engagements, and my DH is a church musician – untold hours and unpaid for decades now.
We are trying to bump up the % donated in cash; hopefully we’ll do better as we close in on the renovation end.
Keep encouraging all of us to be creative in supporting others! Good topic, C.
kif
My husband and I give 10% to our church automatically, another ~3% to other things we’ve committed to monthly, and another ~2% to needs and causes that arise on a one-time basis. Our income at the moment is limited to one post-doc salary, but I don’t see our percentage of giving going down (and I hope that it will go up) as our income increases.
C
I donate about $1000 per year to charity. I have business and student loans to pay off, but I figure that there will always be an excuse to not give, and if I don’t start now then I will always put it off.
I give my biggest donations to causes that I have some personal connection to. For instance, I used to volunteer for an animal rescue that is 100% volunteer run (so all gifts go to animal care and re-homing) so I donate to them. I also give to causes that I feel like will make an immediate, measurable, and most importantly sustainable difference in people’s lives. So I usually give money each year to Heifer International or classroom projects through Donors Choose. In fact, I often give gifts of donations or gift certificates to charities (along with a small “real” gift) to people around holidays/birthdays.
lawdiva
My husband and I give about $3000 a year. In past years, our combined income has been $150K (my new big law firm job this year has upped the ante and we now collectively make a lot more). $3000 is not enough and my goal is get to a point where we are giving 5 – 10% a year to charity. We give to a variety of groups, including UNICEF, CARE, Smile Train, our temple, my undergrad and law school, NPR, and the Pancreatic Cancer Institute.
Having worked at United Way for 4 years in development, I am really surprised by the number of attorneys I encountered who gave $50 or $100 and felt that it was a generous donation. Many of them told me that they were “donating” their services in terms of the pro bono work they were doing. Yes, pro bono is great, but let’s be clear – you’re getting paid a salary for that work, so I don’t count it as a donation. If you’re making a six figure salary, $100 is just not enough. I realize that some of them could be donating elsewhere, of course, but still, it struck me stingy. Yes, we all have law school loans and mortgages and kids and what not, but I think all of us full time working folks can afford to give more if we really tried hard.
Cynthia
I disagree about the pro bono work not counting as a donation. Pro bono hours don’t count in calculating our minimum billables, so we have to work more hours to make up for them. Also, if you look at what the organization would have to pay for the legal services donated, they are quite valuable.
That said, if I donate hours to an organization, I’m usually donating dollars, too. When I was a young lawyer with outstanding student loans, my cash donations were pretty small. I’ve more than made up for that in my later years. But if I only give $100 to an organization today, it’s because I don’t have a real connection to it.
Eva
I think $100 should ALWAYS be considered generous! Ugh, the fact that you think that makes me so much more inclined just to give one big donation to my favorite cause and scratch off all the other causes I give $50 to because you (and presumably others collecting that money) think it’s cheap. I’m not going to do that, but really, I don’t think you’re helping your cause at all with that attitude.
lawdiva
Eva – $100 is generous in and of itself, but when someone is making $160K and only giving $100 total to charity a year, it isn’t. People who earn more should try and give more, IMO.
Eva
Sure, but when you are seeing $50-100 coming in, how do you know that’s all that person is giving for the year? If someone hits me up at work for a charity I haven’t budgeted for, I’ll often give $20. Maybe that’s cheap by any definition, but I certainly hope no one thinks that’s the extent of my giving.
eem
A lot of people who earn that kind of salary will give $50 or $100 almost every time they are asked to donate to someone’s pet cause at work. It is not the total amount that they are giving to charity for the whole year. I’m with Eva on this one…your attitude makes me inclined to pick one or two charaties that I really want to help, and say no to everyone else.
s-k-s
I don’t think any of us should be telling each other what they should or should not give … charitable giving is a very personal decision based on a ton of factors, all of which the person soliciting donations cannot possibly know.
anon
Thanks for giving me yet another reason not to give to the United Way …
Radu
This all is inspiring me to give MORE! We give 1% of our annual income to our church every December (and I wish I could say that we give the other 9% of the tithe, but we don’t). We give another 1% on a monthly basis to friends who are missionaires, $50 every now and then to the Humane Society, and we help a local woman with her electric bill each month. The last item isn’t tax deductible, I guess, but we don’t do it for a tangible benefit to ourselves–we do it because people like this are too often forgotten about. She lives in a trailor, no job, mental and physical health issues, no family support, etc.
Ideally, I would
anon
I want to thank those of you who give to Planned Parenthood. I went there as a young woman during a very rough time in my life and they were so understanding, caring and supportive. It is not an exaggeration to say that I wouldn’t be where I am in life today without their help.
Delta Sierra
Very glad to hear things worked out for you. PP is a great organization.
Cynthia
I tend to give to local organizations on whose boards I’ve served or am serving. That way I know exactly where the money goes, and even have some degree of control over how it gets spent. I also do a fair amount of fund raising for various organizations, usually when I’m on the board or one of my friends is on the board.
A
I work in fundraising, so I feel its extremely important to give (otherwise I’d won’t work in this field). I give close to $500-600 a year . The majority of that money goes to the University I work for, but I also like to support my local chapters of the humane society, girl scouts , and boy scouts. I also like to leave some wiggle room for organizations in a crisis – such as donating to the red cross for Haiti and supporting the local library (that was about to cut services).
My advice as someone in fundraising is that the majority of organizations would be delighted for you to give even a small amount ($5-10). Many organizations can receive more funding from corporations & foundations based off the number of donors they have. So even if you are paying off loans, you can still make a positive impact for your schools or causes you care about.
Sei
I’m with the feds, so I can sign up to have a certain percentage come out of my check automatically and go directly to charities I pick. In my case, I give about 7% of my pre-tax salary. I chose to do it anonymously, and pick causes that my husband and I are passionate about (Polaris Project, IAVA, a SIDS research organization, and a couple small environmental non-profits) which I researched through Charity Navigator.
Then there is a lot of what I consider incidental giving – to my (perennially cash-strapped) schools, the local public radio station, any big disaster which crops up, friends doing runs or other fund-raising, webcomic artists I particularly like, etc.
I still have a chunk of loans and other debt to pay off, and my family doesn’t have any discretionary income, really, but I think of it in terms of paying for whatever services my taxes don’t cover.
anon
Let me ask — why do you give to your law or professional school? As I see it, they are providing a valuable service that people pay them for in accordance with its value. You paid them, presumably, so why keep donating? I know some people just give to scholarship funds, but I worry that educational institutions just reshuffle the money they would have given to scholarships to something else when you do that, so that you aren’t really increasing the number or value of available scholarships. We pretty much always give our money to poor people or political causes that we think will utimately advocate for poor people’s interests. I can’t see moving some of that money to a top-10 law school’s bank account. Can someone explain the thinking?
R
I give money to my law school’s scholarship fund because I received scholarships to law school – to the tune of about 75% of my tuition. I was able to go to law school without ridiculous loans and now make a six-figure salary because someone else was generous enough to donate to a scholarship fund through my law school. I can’t ignore that, and I get a little annoyed at my classmates who received scholarships and DON’T give back despite making huge salaries.
I also went to a state school for law school. They are NOT rolling in money. And, honestly, as an adjunct for a private school with a $35K a year tuition, I’d have to say that most private law schools aren’t rolling in it either.
Clerky
That’s a valid question. I did not go to a Top 10 school but rather, a good regional school in my area that is trying to rise up in the rankings. They don’t have this enormous endowment or anything, they are a state school in a state that is strapped for funds.
I have benefitted enormously from my law school education (great clerkship, great law firm job) and feel that I owe it to my school to give back. I also went to school on a near full scholarship so I feel that I must give back for that reason too.
Incidentally, I don’t contribute much, if at all, to my undergrad, which is a Top 10 private school. Their endowment is obscene and I don’t see why they need even more mula.
Congogirl
This is an interesting consideration – my undergrad tends to produce people that want to go out and “change the world,” which isn’t that lucrative, at least not initially. Their endowment is not nearly the size of most Ivy Leagues for example. For me, this is of course impetus to donate to them because I really value not only my education but the environment that it provided to learn and grow and support those of us that did think we could change the world.
L
It seems to me that you haven’t taken state schools into account. While private schools may have large endowments, small state schools are heavily dependent upon state funding, which is consistently decreasing. This means less money for scholarships, professors (wage freezes), outreach programs, developing new programs, etc. State schools are often the best value around and provide many kids with scholarships and funding to attend college or graduate school without the $150-200k price tag. So I would be careful about lumping school donations into one big pot. Some (top-notch) schools would struggle to exist without them.
Sei
Another grad of a state law school here.
I worked in the law library through the duration of my law school career helping with keeping the collection up-to-date, so I have some inkling of an idea of how much it costs to run that small little bit of a law school. I can pretty much guarantee that the tuition that I and all my classmates paid did not amount, combined together, to one year’s worth of the library’s budget. I would not be at all surprised if even the ridiculous 30K/year tuition charged at the big name law schools didn’t cover the total cost of teaching the student.
K
I went to law school on a full ride. That full ride allowed me to do over 1,000 hours of public servie to the poor when I was in law school that would have otherwise been taken up working crap jobs to help pay the bills. That full ride also allowed me to take my dream job when I graduated instead of having to go the firm route. I think $100 a year to scholarships doesn’t even come close to making up for the $90,000 in student loans they saved me, but it’s something.
I donate to the public interest fund for students because my school didn’t have a lot of funding for that when I was there and want students who aren’t independently wealthy to have the option of doing public interest summers. The summer I spent doing public interest I had to work two other jobs to keep the lights on. I don’t want them to have to do that.
Delta Sierra
Giving free legal advice to those who can’t afford it is an excellent thing to do. I volunteer at a senior center, where a lawyer comes once a week to do this, there in the center. Our seniors feel so much more comfortable with this than having to find a lawyer, make an appointment and go to her/his office. We’re in an area where housing values sky-rocketed in the last few years, and there are many oldsters living in paid-for houses but with limited income and evil property taxes they cannot pay. They need help to be able to stay in their own homes they’re lived in for decades. You can’t imagine the tears of relief when this can be achieved.
Anonymous
I give money to my third-tier law school for several reasons. First, it gave me a full-ride scholarship to law school. Arguably my attendance benefited my alma mater, because with my GPA and LSAT I could have gone to the top-20 school in the same metropolitan area, but I’m still grateful. I also give to my law school because its part-time program permits people (single moms, etc.) to earn a law degree without having to give up a full-time job. To me, that’s an incredibly valuable service to the community because it provides educational opportunities to those unable to go w/out earned income for three years, resulting in a legal profession that is more diverse economically and in terms of background and experience. In addition, many of those part-time students are the ones who end up working for legal aid or the equivalent, so I view promoting the school’s ability to provide a part-time legal education as indirectly promoting the provision of legal services to the poor. (Perhaps this is similar to the donation of money to political causes that you think will ultimately advocate for poor people’s interests?) The school also directly provides free legal services through clinics to low-income people, prisoners, and small businesses. My law school doesn’t have a large endowment, so I know my contributions are necessary and appreciated. Finally, having practiced for several years, I’ve realized, based on personal observations and unsolicited commentary from colleagues, that my law school produces fine practicing attorneys. I’m proud of my school, I appreciate what it’s done for me and the community, and I’m happy to contribute to it.
s-k-s
Used to work in university fundraising. There’s a huge disparity between schools, so what’s true for one might not be for another. Some schools have huge, multi-billion dollar endowments, but many do not.
If you got any sort of scholarship aid to go to your undergrad or grad school, that was paid for by donations. Also, most people just do not appreciate the huge administrative costs inherent in running a university. The building upkeep, adminstrative staff salaries, etc. are way more than most appreciate – there’s a huge administrative side to the school that you just aren’t seeing as a student.
Again, not true with all cases, but for many colleges they spend more per student each year than that student pays in tuition. The excess money comes from income off the endowmen and donations. Especially in this down economy, with endowments bleeding money, and (for public schools) no state funding, donations make up a lot.
So, at least for me, university giving has always been a priority. I’m in my job and successful in life because of the education I got there. Its my way of saying thanks.
Nevadamtnbear
I don’t give to my law school, but that’s a long story and not appropriate for this thread.
I do give to my undergrad college and every day I wish I could afford to give them more. I am continually impressed by the school and how it continues to just be an amazing example of how a state school doesn’t have to be dependent on state funds (a testament to their alumni support).
T
Great thread! I’ve been curious about what others do and where I am on the spectrum. My giving has changed a lot over the past decade.
I’ve shifted my charitable giving from local to overseas over the years. We start with so much more here–free education, libraries, a certain amount of access to health care, etc. I was for years a Planned Parenthood / Farm Sanctuary / community foundation / arts group donator, but now I focus on UNICEF, IPP (for their international programs), Heifer International, and Partners in Health.
We give around $700 yearly to UNICEF, which has a good, low overhead percentage, and about another $500 to legal aid, cures for cancer or MS, and other various fundraisers.
I can’t bring myself to send money to my (for-profit, pricey) law school. It cost too much the first time around, and now that I’m mostly done with the loans, I just can’t send any more. Same with animal charities, even though I want better treatment for them and love the work that Farm Sanctuary does–but suffering animals v. suffering children–I’d rather the money go to a needy child through UNICEF.
I have a close family member who works in public health in the developing world, though, and hearing her stories has definitely changed my attitude about local v. global.
T
And The Moth! I give money to the Moth because I LOVE the stories and the idea.
Res Ipsa
They do! I really have to think about what value I’ve received from free Moth and This American Life podcasts!
L
Hmm. We are very stingy compared to others here. I give $50 to my undergrad every year (earmarked for a group I was in while in school) and DH does the same. I also give $50 to the united way because I feel pressured (at work) and then $100 or $200/year to my choir (I am also on the board). We give a ton of clothes away every year – both to our nanny/her relatives and to the salvation army/goodwill – not sure how much though. We are planning to increase charitable contributions (mostly to environmental/conservation orgs) when we feel rich enough.
sam
where on earth did you get the 80-90% figure from? untrue!
Midori
I give about 10% of my salary to my church, and give here and there to charities and public interest stuff. NPR is high on my list. And yeah, I have 9 years left on my school loans.
Anon
freerice.com
I have no idea how much “street cred” this organization has as far as charities go, but it is a fabulous way to eat up time when you’re on hold or in a boring conference call or something…
From the website: Here is how it works. When you play the game, sponsor banners appear on the bottom of your screen. The money generated by these banners is then used to buy the rice. So by playing, you generate the money that pays for the rice donated to hungry people.