Why should one do charity

Charity: Let your money do good!

How to let your money do good

Many people feel the need to give some of their money to a good cause out of charity. Requests for donations flood your mailbox. How do you find those who handle it best and make the most of it?


Find your concern

Who or what is important to you personally? Social work with children and young people, with disabled, sick or homeless people, animal, nature or environmental protection, cultural promotion, educational health work (cancer league, stroke foundation)? Would you like to see your donation used in your immediate vicinity or abroad? Would you like to support a church or an ideologically independent organization? Would you like to be informed about the specific application? Would you like to get in touch with the donation recipients?

The right organization

The German Central Institute for Social Issues (DZI) has checked the handling of donations at around 200 non-profit organizations and awarded the DZI donation seal to the trustworthy. You can find the current list and other useful information about donations at www.dzi.de. The Paritätischer Wohlfahrtsverband (www.paritaet.org) is the umbrella organization of serious non-church non-profit organizations.

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If you want to donate to an organization not listed there, you should definitely ask around beforehand. Request information material. Check with Internet inquiries via Google whether there are any current scandals relating to the organization. What is the percentage of advertising and administrative expenses? According to the DZI, a maximum of 35% is acceptable, but actually too high. It should definitely be below 20%.

So that you can deduct the donation for tax purposes, you should only consider organizations that are recognized for promoting charitable, benevolent or church purposes and are allowed to issue donation receipts. This is indicated by phrases such as "non-profit in the sense of §§ 51 ff. Of the tax code".


From human to human



If you do not want to entrust your money to an organization, you can also help people in your immediate vicinity. But be careful: money creates dependencies and can even be offensive! A needy recipient often feels more comfortable when he can reciprocate in his own way. This makes you both giver and taker at the same time. Or you can pass on your donation through a trustworthy third party, such as a pastor.


Concentrate instead of dividing



Consider one or a few organizations rather than many. This will reduce the administrative effort. Optimal: Set up a standing order and consider your desired organization monthly, quarterly or annually. This will make planning easier for her.

Earmarked donations can result in higher costs if, for example, too much money is received for a specific purpose (as happened with the tsunami), as the donors then have to be written to. The German Fundraising Association therefore advises donating as far as possible without a purpose. Trust that the organizations know best where your donation is needed most.


Against the current



Media-effective catastrophes provoke a great willingness to donate. Often, however, the donations for people in silent need are reduced as a result. Stick to your original donation requests. Plan a certain amount in your next year's donation budget that you can spend spontaneously on disaster relief.

You can also find information on the subject at www.fundraisingverband.de