Charity

[misslideaway]

My friends and I were talkking about how little of charity donations actually reach those in need. I was advised that approx 90% is taken my charity for admin, wages etc. Does anyone know any more info on this? And is there any way of getting around it. A lot of celebs and other wealthy folk give huge chunks of money to charities.. do they by-pass the admin stage and give direct?

[rekstout]

Registered charities must account for all monies raised and make such infromation public. Any organisaton has overheads and it would be naive to believe thea a �1 donation means �1 worth of rice to a famine victim or the like. Some charities are better than others at minimising overheads, 90% on admin would sound a bit steep but I would not be surprised at 50% admin for larger charities - especially ones with overseas interests.

Many major donors establish their own charities to ensure that their donations are spent how they see fit.

The best way to ensure that as much of your donation goes on the intended recipient is to do the work yourself - volunteering is as valuable as cash donations.

[Jamie Lewis]

I believe that Children in Need use the money is makes from the interest it gains from leaving the massive amount of cash it raises each year in a charity account to pay for the admin of the charity. So when it says every penny goes to such and such they're telling the truth.

[stevie21]

I've read that the major guide dog charity has so much money saved that it could operate for 3 years without receiving another single donation. Imagine me being cynical! No idea about any overheads or %age of donations which go to the actual cause though.

[zgma]

The way that organizations spend their money is/should be available to the public... you could ask them to send you their most recent annual report, which should break down what percentage is administrative and what percentage is program-related. I believe that it is generally frowned upon for more than 30% or so to go to administrative costs. Also, give directly to the organizations - don't give to canvassers at your door or over the phone. These fundraising methods are useful to the organization because they build a strong donor base, but they do take a percentage off the top. Just send your money straight to the organizations you want to give to. And keep in mind that it is also a worthy thing for your money to partially go towards wages for the employees of the non-profit. The services provided by the organization are only there because of the time the employees spent on them, and these wages are usually considered program expenses rather than administrative expenses. For instance, I work for a non-profit and spend most of my time planning conferences. The conferences themselves don't cost that much, but they wouldn't exist if I didn't plan them, so anyone giving a donation to our organization can know that their donation directly went toward creating quality programs.

[stoo_pid]

Don't forget that if you do choose to donate you can make sure more money reaches the organisation by completing a Gift Aid declaration form. This means - at no cost or effort to you - the charity can claim back the tax portion of the donation (approx 28% I think). Check this link for more info http://www.givingcampaign.org.uk/ (The Gift Aid 'form' incidentally consists of little more than one sentence plus your name and address. You can even usually do it over the phone & they'll fill it out for you.)

[stoo_pid]

Sorry, forgot to say that you can find more info on the Charity Commission website. You can view the accounts of some organisations online at http://www.charity-commission.gov.uk/registeredcharities/gda list.asp

[dwl]

Hi misslideaway, If you were able to investigate, you would find that all charities operate very differently. The big national, multinational and international ones, by virtue of their size, need staff & offices etc., just like a big business, which is how they must be run to be at all succesful. However, reports suggest that yes, some are run more competantly and cost effectively than others. In general, the very small charities run by the one or two people who started them mostly need your support and generally use most of their own spare cash to support their own cause. For example, a couple of friends of mine have commited all of their own cash, their farm and the rest of their lives to their cause and if you would like to know more, please take the time to look at www.ancraa.org. Thanks for your patience in reading this.