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8 Secrets Charities Don’t Want You to Know

8 Secrets Charities Don’t Want You to Know

It is more difficult to give money away intelligently than to earn it in the first place. – Andrew Carnegie

The next time you want to send a text message from your smartphone donating $2 to disaster relief, think again. Unfortunately, not all of that money will go to helping the victims. In 2011, Americans donated $200 billion to about 1 million charity organizations. When picking a charity to send your donation to, you have to do your homework. Here is a quick guide to some secrets that charities might not always be willing to share.

1. Is it a registered charity?

Some charities operate without any paid employees, and so they do not have to be registered as a charity. The limit they declare is usually below $50,000 annually. But all the other charities who claim to be registered should be checked out by consulting the list at the Internal Revenue Service (IRS). This is important because of the tax deductions available. It will also ensure that you will not give to those charities who are flying under the government’s radar. In the UK, the Charity Commission is the government’s regulator on charities.

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2. How much is spent on overhead

Each charity will have enormous overhead costs regarding staffing, running costs, and fundraising. Inevitably, a part of your donation will go towards these costs. A good rule of thumb is that 60-75% of donations should go to the actual cause and 25-40% towards administrative expenses. But some charities cut back on expenses, which leads to more waste. Check to see if this information is available on the charity’s website before making a donation.

3. Beware of phone calls

Some charities use companies who are for-profit fundraisers and they use telemarketing extensively. Because of the costs involved, it is unlikely that the charity will receive more than 10% of the amount you pledge.

4. Some charities pay enormous salaries to their CEOs

Major charities have to be run as businesses. But disturbing news often comes to light about how much they are spending on salaries and bonuses. Sometimes, funds raised actually go to the charity’s pension funds, rather than to the poor, sick and needy. This information is rarely revealed. Charities defend paying high salaries to executives because they are in demanding roles, and clever fundraising policies have to be thought out and implemented. The site Charity Navigator believes that salaries around the $1 million mark are unacceptable.

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5. Think carefully about donating to short mission trips

These short mission trips to help build houses, schools and orphanages in third world countries seem to do more good for the volunteers, than the poor people. Think about these facts, before donating:

  • Many trips cost as much as $30,000 to sponsor.
  • Such large sums could actually be used locally to give employment to builders and workers in the country who desperately need money to buy food. Unemployment in these countries can be as high as 30%.
  • Volunteers can send the wrong messages in that they know better, can do the work faster and they do not train the people there to deal with their problems in the long term.

Organizers of short term mission trips should focus more on the permanent impact, and how locals can be more actively involved after the volunteers have left. Ask if they are approaching the mission in this way before deciding whether to donate or not.

6. The good, the bad and the ugly about celebrity charities

When you think about Bob Geldof and Bono, who have supported enormously successful charities to fight world hunger and poverty, you can have nothing about admiration for them.

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But some of these celebrity charities have made zero impact when auditors revealed that considerable funds were missing or unaccounted for. This was the case with Madonna. She was going to build a girls’ school in Malawi. Auditors revealed that almost $4 million went missing from the charity’s funds. Madonna is now contributing $11 million she has raised into Malawi-based organizations to help them build the schools that are needed.

Wyclef Jean, the hip hop icon, founded the Yéle Haiti Foundation after the disastrous earthquake in Haiti, which killed up to 300,000 people in 2010. He is now facing lawsuits about tax fraud and whether he gained financially from the charity he set up.

7. Beware of fundraisers in the mall

How many times have you been approached in the mall or on the street by a fast-talking and convincing fundraiser for a very worthy charity? This is a bit more sophisticated than the telephone calls you might receive at home. Here is what to look out for:

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  • They do not want a one-off donation.
  • They want a monthly commitment which could work out to be $500 annually.
  • They offer to fill out a form and all you have to do is sign.
  • They are trained in using persuasion techniques by the companies who are raking it in.
  • As some of the fundraisers (or “chuggers” as they are called in the UK) earn $13 an hour, you can imagine how much money actually gets into the charity’s coffers.

The whole concept of giving to charity should be based on a desire to help and not from being pressured in any way by a fast-talking fundraiser!

8. Do some detective work

Before deciding on donating to any charity, check out the following information. All of this should be easily available on the charity’s website. Failing that, there should be information leaflets available. This is what you should check:

  • The annual report
  • Names of directors and patrons
  • Audited financial reports
  • Specific projects and how the funds are used
  • Statistics on completed projects

Charities are doing magnificent work. You just need to do some homework to make sure that they are managing their funds in the best possible way and that they are not using doubtful tactics. If you are unhappy about this, you can always volunteer to help local charities in your area.

Featured photo credit: Faces helped by charity: Water/Sacca via flickr.com

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Robert Locke

Freelance writer

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Last Updated on September 20, 2018

How to Stay Calm and Cool When You Are Extremely Stressful

How to Stay Calm and Cool When You Are Extremely Stressful

Being in a hurry all the time drains your energy. Your work and routine life make you feel overwhelmed. Getting caught up in things beyond your control stresses you out…

If you’d like to stay calm and cool in stressful situations, put the following 8 steps into practice:

1. Breathe

The next time you’re faced with a stressful situation that makes you want to hurry, stop what you’re doing for one minute and perform the following steps:

  • Take five deep breaths in and out (your belly should come forward with each inhale).
  • Imagine all that stress leaving your body with each exhale.
  • Smile. Fake it if you have to. It’s pretty hard to stay grumpy with a goofy grin on your face.

Feel free to repeat the above steps every few hours at work or home if you need to.

2. Loosen up

After your breathing session, perform a quick body scan to identify any areas that are tight or tense. Clenched jaw? Rounded shoulders? Anything else that isn’t at ease?

Gently touch or massage any of your body parts that are under tension to encourage total relaxation. It might help to imagine you’re in a place that calms you: a beach, hot tub, or nature trail, for example.

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3. Chew slowly

Slow down at the dinner table if you want to learn to be patient and lose weight. Shoveling your food down as fast as you can is a surefire way to eat more than you need to (and find yourself with a bellyache).

Be a mindful eater who pays attention to the taste, texture, and aroma of every dish. Chew slowly while you try to guess all of the ingredients that were used to prepare your dish.

Chewing slowly will also reduce those dreadful late-night cravings that sneak up on you after work.

4. Let go

Cliche as it sounds, it’s very effective.

The thing that seems like the end of the world right now?

It’s not. Promise.

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Stressing and worrying about the situation you’re in won’t do any good because you’re already in it, so just let it go.

Letting go isn’t easy, so here’s a guide to help you:

21 Things To Do When You Find It Hard To Let Go

5. Enjoy the journey

Focusing on the end result can quickly become exhausting. Chasing a bold, audacious goal that’s going to require a lot of time and patience? Split it into several mini-goals so you’ll have several causes for celebration.

Stop focusing on the negative thoughts. Giving yourself consistent positive feedback will help you grow patience, stay encouraged, and find more joy in the process of achieving your goals.

6. Look at the big picture

The next time you find your stress level skyrocketing, take a deep breath, and ask yourself:

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Will this matter to me…

  • Next week?
  • Next month?
  • Next year?
  • In 10 years?

Hint: No, it won’t.

I bet most of the stuff that stresses you wouldn’t matter the next week, maybe not even the next day.

Stop agonizing over things you can’t control because you’re only hurting yourself.

7. Stop demanding perfection of yourself

You’re not perfect and that’s okay. Show me a person who claims to be perfect and I’ll show you a dirty liar.

Demanding perfection of yourself (or anybody else) will only stress you out because it just isn’t possible.

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8. Practice patience every day

Below are a few easy ways you can practice patience every day, increasing your ability to remain calm and cool in times of stress:

  • The next time you go to the grocery store, get in the longest line.
  • Instead of going through the drive-thru at your bank, go inside.
  • Take a long walk through a secluded park or trail.

Final thoughts

Staying calm in stressful situations is possible, all you need is some daily practice.

Taking deep breaths and eat mindfully are some simple ways to train your brain to be more patient. But changing the way you think of a situation and staying positive are most important in keeping cool whenever you feel overwhelmed and stressful.

Featured photo credit: Brooke Cagle via unsplash.com

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