According to a report recently released by Atlas of Giving1, after a stellar year of
charitable donations in 2014, the outlook for this year is less than robust. In
fact, U.S.-based giving could decrease by as much as 3.2% for a variety of
reasons—including rising interest rates, a possible stock market correction,
and continuing decline in employment compensation. But just because certain
economic factors may have an impact on giving, this doesn't mean that you should
put off your own charitable efforts. You might be surprised to learn that,
ultimately, it might be you who reaps some of the best rewards of your
donation. Here are nine positive effects of giving to charity.
1.
Experience More Pleasure
In research conducted by the National Institutes of Health2, participants who chose to
donate a portion of $100 they were provided enjoyed activated pleasure centers
in the brain. Although this experiment was controlled and scientific, it did
show that donating money simply makes you feel better, which is something we
can all benefit from.
2.
Help Others in Need
We don't live in a perfect world, and there's never going to be a perfect time
to give—but there are always people out there in need of help. Whether interest
rates are rising, the economy is in the doldrums, or even if you're
experiencing financial difficulties of your own, the reality is that when you
donate your money, you help others who need it.
3.
Get a Tax Deduction
If you give to an IRS-approved charity, you can write off donations on your tax
return. Certain restrictions do apply, though. To learn more about them, along
with whether or not a particular charity has IRS approval, check the IRS website or The Life You Can Save’s fact sheet about tax
deductibility. Donating your cash is a great way to reduce the
amount of money you send off to Uncle Sam, and for a good cause, to boot.
4.
Bring More Meaning to Your Life
When you donate money to charity, you create opportunities to meet new people
who believe in the same causes that inspire you. That, and making a real impact
on those causes, can infuse your everyday life with more meaning. If you've
been stuck in a rut, whether personally or professionally, sometimes the simple
act of donating cash can do the trick and reinvigorate your life.
5.
Promote Generosity in Your Children
When your kids see you donating money, they're much more likely to adopt a
giving mindset as they grow up. I write from personal experience. I've donated
money to a variety of charities over the years and have always made sure to
inform my eight-year-old son of my efforts. Last Christmas, when he and I were
shopping at a mall, he spotted a kiosk for a charity and rather than spending
some of his allotted money on Christmas gifts, he asked if we could sponsor a
hungry child overseas. We signed up then and there. Do the same with your kids
and you might see similar results.
6.
Motivate Friends and Family
When you let your friends and family know of your charitable donations, they
may find themselves more motivated to undertake their own efforts to give. It
takes a village to address issues such as world poverty, scientific
advancement, and early childhood education. Stoking passions in the folks
around you is a very positive and tangible effect of your own giving.
7.
Realize that Every Little Bit Helps
You don't need $10,000 to make a difference in someone's life. In developing
countries, even just a few U.S. dollars could result in a week's worth of meals
for a starving child, much-needed medical attention, and even improved
schooling. Don't just think of your cash donation from an American economic
perspective. Often that money can go a lot further elsewhere in the world.
8.
Improve Personal Money Management
If you set a scheduled $100 donation each month for a particular charity3, that can motivate you to be
more attentive to your own finances in an effort to ensure you don't default or
fall behind in your monthly donations. Anything that gets you to pay closer
attention to your bank account is a good thing—especially when it helps those
in need.
9.
Give, If You Can't Volunteer
This might not necessarily be a positive effect of charitable giving, but if
you're too busy to volunteer or otherwise donate your time, giving money is the
perfect workaround. Never think that you can't improve someone's life or the
world itself if your personal or professional schedule won't allow the time.
Writing out a check is a simple way to show you're willing to help others in
any way you can.
If you're not sure where to
donate your cash, check out The Life You Can Save’s list of recommended charities.
With a focus on developing countries and those living in extreme poverty, The
Life You Can Save recommends some of the best charities to send your money to
in order to have the most impact. Plus, almost all of The Life You Can Save’s
recommended charities are eligible for personal tax deductions. Alternatively,
you can make a donation directly to The Life You Can Save, which helps its
efforts to improve the lives of those in need. Understanding the positive
effects of donating money to charity is important—just make sure you have the
right people in your corner as you get started.
Do you know of any other
positive effects of donating money to charity?
Jay
Robertson writes about tips for saving money and
finding ways to give more time and money to charities and those in need.
