FEELING GOOD ABOUT GIVING

WRITER: THOMAS H. RUGGIE, CHFC, CFP

Donations

Making a charitable donation can be a direct reflection of your values and perspectives. When you donate to an organization or agency, it’s likely you are contributing to something you feel has importance — local food pantries, hospitals, nonprofits conducting research to cure disease, veterans’ organizations, or groups that protect children and the elderly. You may give to your college, church, to small groups who can make a difference in their own community, or to causes that impact us all.

Interestingly, charitable giving as part of an overall wealth management strategy can provide benefits not just to those organizations or causes that have special meaning to you but also to you and your family.

Whether clarifying your charitable vision or creating charitable objectives, thoughtful planning should go into deciding the type of donations you want to give, which charity or charities your gifts will benefit, and when they will receive those gifts, as well as any tax benefits you may receive as a result of your charitable deductions.

How do you find the right charity for you?

I advise people to figure out what cause they want to support and take time doing research on which organization they feel is doing the best work on that problem. Do in-person interviews with your top two or three. Call the charity and ask for a tour or overview meeting. I also recommend looking at a charity’s annual report. Does it inspire you? Does it seem to have a sense of mission, bravery, and boldness?

If you are going to make a long-term commitment to an organization — even if the money you plan to donate isn’t huge or the time you are going to commit is limited — you owe it to yourself to do this kind of research.

Once you have selected what you want to give to, follow the organization’s progress and continue to learn about and invest in them. Ask what progress your charities are making toward their goals and how they measure their progress. If you have the time, nurture and build real relationships with them.

Keep in mind, some problems can be very difficult to solve — so not every charity will easily meet their ultimate goal. It may be easier to raise funds for a specific capital campaign to build a pediatric unit than to cure childhood cancer. What is important is the charity’s business model is sound.

What are some of the ways you can give?

Our experience in assisting clients with their charitable objectives often includes working with their tax adviser, legal counsel, and charitable organizations and foundations to identify and implement solutions that best fit the client’s overall charitable objectives. We may consider vehicles such as outright bequests, donoradvised funds, community foundations, charitable trusts, private foundations, and matching gift programs that encourage employees to contribute to qualifying charitable organizations where they have a personal ongoing involvement.

A giving circle is a relatively new charitable giving vehicle that has gained in popularity over the last 10 years. As a kind of social investment club, a giving circle involves a group of donors who place their charitable dollars into a pooled fund and decide as a group which charities to support. Giving circles vary in structure, size, and charitable focus.

Carrying your hopes and dreams into the future: Planned giving

Planned giving refers to an approach by donors to provide for their favorite charities. These gifts are for the future, but often have tax advantages today. They are key elements both in giving during your life and in skillful estate planning — the disposition of assets after your death.

Planned giving allows donors to direct their estates where they choose. It also relieves children of the responsibility for those decisions.

88%ofhouseholds give to charity

Your trusted financial adviser can help you decide the best way to make planned giving a part of your overall estate planning and can help you consider the options that are most advantageous for you. Among the tools your adviser may discuss with you are the following:

• Gifts of appreciated securities

• Bequests

• Annuities

• Life insurance gifts

• Charitable remainder trusts

• IRA rollovers

Helping others may improve your own life, too

For me, the overwhelming reason I donate time or money to charity is knowing my contributions are going to make something happen that otherwise would not. Regardless of the reason, most people find that doing good feels good… and that’s a very good thing.

THOMAS H. RUGGIE, CHFC, CFP is the founder of Ruggie Wealth Management. With more than $425 million in assets under management, he has been ranked among the nation’s 50 Fastest Growing RIA Firms , the Top 100 Wealth Managers, Top 100 Independent Advisors, Top 40 Most Influential Advisors, and again, as one of Barron’s Top 1,000 Advisors. truggie@ruggiewealth.com

SOURCE:www.nptrust.org/philanthropi cresources/ch a r i t a b l egi v i n gs t a t i s t i c s