been so cynical about the checkout charities, i know the local health
insurance giant's big charity donations were from their employees'
paychecks, so i let that tarnish my vision of checkout charities, but
that's good to know
via https://ift.tt/3abD8rZ
copperbadge
https://copperbadge.tumblr.com/post/664311700746567680/its-actually-ok-to-round-up-at-checkout
:
I keep seeing posts about how you shouldn’t round up your payment at
checkout “for charity” because the company takes the money, gives in their
own name, and then receives a tax break for the donation.
*This is incorrect. It’s just plain wrong information. *
Because it’s illegal for a company to claim collected donations on their
taxes, since they give you a receipt that proves you can claim it on
yours. They are considered a collection agent – the corporate equivalent
of a firefighter with a boot soliciting on the sidewalk.
And the sentiment is potentially fucking nonprofits out of serious change.
So here’s how it works. When you make a purchase you’re asked if you’d like
to round up your price, say $22.70, to $23 and give that extra 30 cents to
charity. When you choose yes, the company adds that as a special charge,
and transfers the amount to a processing company. The processing company
disburses many small gifts in one big chunk to the nonprofit, so that the
nonprofit doesn’t get ten thousand transactions of thirty cents. Over the
course of a couple of years, campaigns like this can raise millions for the
nonprofit.
So where’s the catch? you’re thinking. Capitalism doesn’t allow kindness
like this to rampage unchecked!
Well, you’re kinda right. For one thing, there’s something called the Halo
Effect, where companies get a huge PR boost from this giving. People feel
better about themselves and the place they give, when they give this way.
That’s why companies do it, pure and simple. It’s cheap, built-in positive
messaging.
The companies aren’t deducting it (it’d be chump change to them anyway tbh)
but you can. You can literally deduct the thirty cents you gave at Jersey
Mike’s off your very own taxes, if you keep the receipt. But unless you’re
giving more than $6K to charity each year ($12K if you’re filing jointly!)
then there’s no point keeping that receipt, because before that threshold
you won’t get a tax break for charitable giving anyway.
One significant benefit of giving at checkout is that the nonprofit
doesn’t get your name or address, so you never go on a mailing list. If you
give an average of 30 cents twice a week when you buy a soda at the gas
station, over the course of a year you’ll have given over $30
commitment-free. Sweet deal.
Here’s what most people think is the catch: between three and seven percent
of the money given goes to that processing company I mentioned. Because
they have to, you know, process that money, which comes with expenses like
software, customer support, servers, bank fees, etc.
However. Three to seven percent? That’s nothing. A good fundraiser
working for a nonprofit costs, in salary, roughly 20% of what they raise.
For every dollar they earn, they bring in about $5 from donors. Round-up
campaigns raise $5 and charge you 25 cents for it and require almost no
work from the charity – that money just shows up. And even if you didn’t
give at the checkout, if you give online we pay a processing fee to the
place processing THAT payment. If you give by check or cash, we still have
to pay people to count, record, and deposit those payments. Giving money
costs money. That’s just the way it is.
- Unless you actually are giving elsewhere, if you choose not to
round-up, then you’re just…chest pounding. You’re pretending to stick it to
the man when really you’re just not making a charitable gift at all. If you
do give elsewhere that’s great, keep up the good work, I’m not talking to
you. And if you can’t afford to give, I’m really sorry, I want you to keep
your money and I’m also not talking to you. As we know, thirty cents adds
up. I couldn’t give for several years, and it’s a point of pride now to
always be able to hit the round-up button without doing any math.
But if you could give and aren’t giving somewhere…then no offense but you
have no skin in this game and you need to sit down and let people who give
a shit get on with their work.
Because an additional truth is that some people only remember to give when
they’re asked but they HATE TO BE ASKED, except at checkout. And some
people only give if they feel like they’re giving insignificantly relative
to their income – like thirty cents at checkout. These campaigns are
nearly-free, super-easy money for us from people who probably wouldn’t
otherwise give. They raise our profile, too, so that people who have given
at checkout think of us when they DO remember to give (like oh, around the
holidays, which are fast impending).
In the end, I suppose I’m really just begging people, as a whole, for about
the seventh or eighth year running, to stop coming to charitable giving
from the standpoint of “Well whaddaya give me for it? Where’s the catch?
How do I know you’ll do the best with my money? Can you prove you aren’t a
scam?”
I know that most of you, most of the time, come to any relationship with an
inherent assumption of good faith – from tv shows to friendships to Etsy
purchases to pet ownership. You’re not deeply suspicious by nature! But
this lingering hostility towards charitable giving, where the immediate
assumption is one of bad faith, is really harmful to people who are
attempting to do good work. An extremely small fraction of the nonprofits
that want your funding are scams, religiously sketchy, or deeply negligent
when it comes to how your money is eventually spent. Most are doing their
best and many are putting up with a lot of unnecessary fucking side-eye
while they do it.
So try to downshift from “Who will scam me the least” to “Who would I like
to help the most?” and give accordingly. Whether that’s a local pet
shelter, a toy or blanket drive, a national cancer organization, your
friend’s top surgery gofundme, or the woman standing in traffic with the
cardboard sign. Your blood pressure (and mine too, for that matter) will go
way down.
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