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1 minute read
IT REALLY IS HEALTHY TO GIVE
Recent research may have uncovered physiological reasons why people feel good about charitable giving.
Researchers at the National Institute of Neurological Disorders and Stroke used MRIs to study the brains of individuals asked to decide whether to donate to a charity or receive a monetary reward themselves.
When the participants made donations, their brains’ “reward centers,” which release chemicals that trigger feelings of euphoria, were more active than when they chose to receive rewards. And that’s not all. When they decided to donate, another portion of their brains that releases chemicals that increase feelings of trust and cooperation was also activated.
Interestingly, even contemplating generosity has been shown in studies at Harvard University to boost the immune system as well as your sense of well-being. Another study showed the brain’s pleasure centers lit up when people put check marks next to a list of organizations to which they wanted to donate.
If you have the pre- or post-holiday blues, a charitable donation may provide just the boost you need.
The Bottom Line
Several websites provide detailed information on charities. Find one or more you feel good about and make charitable giving part of your overall financial plan. You’re likely to discover the greatest gift in giving is the one you receive.
SO HOW DO YOU CHOOSE A CHARITY?
Do your homework. One of the first things to consider is how strongly you feel about the cause.
When researching charities, consider their mission statement. Is the purpose clearly stated? How well does it meet that purpose?
Take a look at their financials. Access the organization’s tax information by reviewing its IRS information, including its Form 990, which will show details required for a tax-exempt nonprofit organization status. Look at the charity’s income, spending, mission and the percentage of salaries paid to executives.
If a charity has been the subject of an investigation, that could be a red flag.
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