Donating to charity is a personal decision. There are so many causes that require frequent donations, and whether you are looking to support animals or your fellow man - there is a charity out there for you. A common question asked when a donation is made is around where these donations actually end up. The end destination of those funds or contributions will depend on the charity you have chosen, but today we are going to look at the different types of charities out there and how they distribute those generous contributions.
Administrative Costs
One thing to remember when donating to a charity is that each organisation has a different structure and thus a different administrative design. When you donate to charities with low administrative costs, a larger portion of your donation will go to the end-user (family, children or animals in need). Some charities take a substantial cut of donations to cover employee pays, overheads and other marketing efforts that attract future donations. If you are considering putting your hard-earned money towards a worthy cause, then be sure to look into how they allocate donations and what percentage is attributed to administrative costs.
Local And National Charities
Charities support initiatives in a local and national capacity, and so you might be supporting those living in your direct community or you could be supporting others in different cities. When charities have an overarching mission to fight one cause (poverty, domestic violence, etc), then charities can mobilise together to cover a greater area and distribute funds and donations as they see fit. If you are making a donation on behalf of a business, it is probably more important for you to reach your local community.
If you are passionate about assisting those in your postcode or city population, seek out charities that work directly with your community rather than covering a wider distance. You can find this information by visiting the charity’s website, understanding where their head office is, and looking on their social media channels to see how they have worked with the community to date.
Food Donations
Charities that support the homeless and people affected by natural disasters will often ask for food donations. When the food donations have been received, they make their way to the right organisation who either distributes the food as is or uses the food to make ready-made meals. Some food charities are people-facing, and others work to service larger food banks so that they can contribute to the many need groups out there. If you are considering donating food to a food charity, ask the question of where it is going and in what capacity it will help those who need it.
What To Look For In A Charity Before Donating
There are so many fabulous charities out there that deserve our attention, but each of them is not made equal. Take the time to research the ethos and design of the charity you are looking to support, as you may find that their end-user is local to your community or situated further away. You may also want to consider whether a financial donation or food/resource donation appeals to you more and why. Administration costs are present in all charities, but some can be 3% and others can demand 30% or more of your financial donation. If this is something that matters to you, understand what the split is by visiting their website or making direct contact.
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If you are in a position to be able to donate to a charity, then there are many causes that would greatly benefit from support in any way. If you have some preconceptions about where the donations actually go and what percentage makes it to those in need, we hope this article has answered some questions you may have had.
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