Charities Need Giving Hearts, But Must Be Trustworthy

11/21/2011

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For the members of the My Team networking group in Boise, it's become an annual event to raise money to provide turkeys to the Boise Rescue Mission. "The goal of the group is to be charitable," says Bill Martin, president of AccountServ CPA in Meridian, and treasurer for the networking group. "Because we have always had a member of the Boise Rescue Mission in the leads group, and we knew the organization, we chose to give them money for turkeys, again."

Each year as the holiday season approaches, organizations open their hearts and wallets to participate in giving efforts. Millions of dollars trade hands as charitable organizations open to receive donations. Along with good charities, comes a warning to watch for bad ones. Martin says finding a trustworthy organization is imperative when you conduct a fund-raiser like My Team's Turkey Drive. Having done the turkey drive for several years, the group has raised enough money this year to buy 200-plus turkeys.

Boise Rescue Mission Donor Relations Manager June Harr says generous contributions from community members and businesses fill a huge need in the Treasure Valley. Working with organizations like, My Team networking group, helps generate needed essentials, she says, whether large or small.
"Collectively, all can be used to make the difference we do in so many lives," she says. "We have homeless people, and people in great need coming to us all year, 365 days, so donations are needed every day." She encourages donors to come to the mission and tour the facility to see how donations are used. "We have auditors that we report all donations to and are required to track each one," she says. 

Organizations are also monitored independently through groups like the Better Business Bureau. BBB helps provide accountability through its BBB Wise Giving Alliance, a list of organizations and background information.

"Donors need to make wise choices when giving at this time of year," says Dale Dixon, CEO of BBB serving the Snake River Region. "Learn all you can before you give, so your donation truly goes where it can make the difference you're hoping for." He says there are more than a million charities that have received charitable tax-exempt status form the IRS. Keeping track of all organizations is a huge task.

Idaho Nonprofits Center Lynn Hoffmann, executive director, says, "A new study out shows that there are $2.8 billion in operating funds involved in nonprofit organizations. Far, far bigger than people are thinking. We'll have that out at the end of the year."

The center's site lists hundreds of nonprofits and charities from across the state, provides resources for nonprofits, promotes nonprofit advocacy, and raises public awareness. Hoffmann says, "We have a link on the website to the IRS website that shows all the 501C3 in the state."

Nonprofits and charitable organizations are hoping they see a huge end of year donation increase, she says, as the demand for services has continued to climb.
Dixon suggest visiting an organization's website and calling the board of directors and asking questions. "If it is important enough for you to give, it should be important enough for you to verify the organization's background," he says.

Verify charities at www.idahononprofits.org or www.bbb.org.

Points of interest:

BBB Wise Giving Alliance recommends donors avoid these common mistakes:

•Assuming that only 'low overhead' matters. How much money a charity spends on the actual cause-as compared to how much goes toward fundraising and administration-is an important factor, but it's not the whole story. A charity with impressive financial ratios could have other significant problems such as insufficient transparency, inadequate board activity and inaccurate appeals.

•Failing to do your research before you give.  Even good friends may not have fully researched the charities they endorse, so don't just take their word for it. Expertise is available. Go to www.bbb.org/charity to verify that a charity meets the BBB's 20 Standards for Charity Accountability.

•Succumbing to high-pressure, emotional pitches. Giving on the spot is never necessary, no matter how hard a telemarketer or door-to-door solicitor pushes it.  The charity that needs your money today will welcome it just as much tomorrow.

•Assuming that the charity wants any item you donate.  Worn out, unusable or unwanted donated goods cost charities millions of dollars each year because the organization has to bear the cost of tossing the unacceptable donation.  If you have questions about an item's acceptability, call the charity and ask.

•Mistaking a charity's identity.  With so many charities in existence, their names can blur in a donor's mind and similar-sounding organizations are common. Be sure you know which charity you're supporting and that it's not a case of mistaken identity. 

Donors can check out BBB Wise Giving Alliance evaluations on national soliciting charities for free at www.bbb.org/charity.

 

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