Charitable Giving Information

Archive for July, 2006

Charitable Giving Trends

The Advantages of E-Giving

More than four in five Americans continue to say they donated money to a charitable cause or organization last year, according to a Gallup Lifestyle Survey conducted in December 2008. Despite this good news, many groups are being challenged to “do more with less.” Charitable organizations are confronted by constant pressure to maximize contributions and cultivate new donors. At the same time, the current adverse economic landscape translates into increasing demand for nonprofit services.

Electronic payments can address these challenges in a number of ways. E-giving results in increased dollars, not only through additional donations, but also through larger amounts being given. The Kintera/Luth Nonprofit Trend Report found that online contributors gave as much as 50 percent more than those who donated through traditional means.

An online presence for contributions removes geography as a barrier, opening up the opportunity to accept payments from new donors. And because we live in a mobile society, an online contribution portal may strengthen otherwise transient relationships with donors by providing an easy and stable way to remain connected to the organization. Many donors use the Internet to investigate organizations before making a gift.

Forty percent of donors always go online before making a donation, either online or offline, states the Kinterta/ Luth report.

Donors Prefer E-Giving

Contributors like e-giving for several reasons. According to research conducted by The Network for Good, convenience is the number one reason donors say they give online. The number two reason cited was that giving quickly increases during times of crisis. Following an emergency or disaster, there is typically a spike in charitable contributions. E-giving makes it easy for people to donate and feel that they are part of the solution.

Faith-based organizations believe recurring e-giving provides peace of mind for their members, because they can count on a donation being made whether or not they are physically present. It is a convenient way for the faithful to continue to fulfill their commitment even when they are ill, on vacation, or unable to give in person due to inclement weather.

E-giving is in tune with the “green” movement. The reduction of paper is a smart strategy that appeals to the environmentally aware. And in this day and age where privacy and security concerns are mentioned in the news on a daily basis, e-giving offers increased confidentiality.

ACH Offers Savings and Efficiencies

Not-for-profit and faith-based organizations without an Internet presence can still leverage the benefits of electronic payments. Many nonprofits’ online programs represent a fraction of their offline direct mail programs, according to the Convio Online Marketing Nonprofit Benchmark Index™ Study. For groups like these, and for organizations that receive the bulk of their contributions via check, ACH offers impressive cost savings and administrative efficiencies. For example, not-for-profits can utilize ACH payment applications such as BOC and ARC to reduce the time, cost, and labor required to process checks, freeing up important resources that can instead be dedicated to the core mission of the organization.

Stewardship requirements for most not-for-profit organizations include reporting on the percentage per contributed dollar allocated for administrative expenses. Accepting credit card payments for contributions is more costly than ACH payments due to interchange fees which add to administrative costs and reduce the amount available for supporting charitable efforts. ACH is an attractive option for organizations striving to reduce their administrative costs and stretch the value of contributions.

Additionally, ACH can easily be used for recurring donations. Recurring payment functionality makes it easier for donors to give more by spreading the obligation over a period of time. Research reveals contributors that set up recurring donations give more generously. A one-time annual decision usually results in a more generous contribution, as opposed to periodic giving decisions based upon cash on hand. Recurring gifts aid not-forprofits by establishing a reliable revenue stream, making planning and budgeting easier.

A New Era

In this day and age when a cup of coffee is frequently a non-cash purchase, not-for-profit organizations face an imperative to adapt to the preferences of their donors. “The Wired Wealthy” study revealed that 51 percent of wealthy donors prefer to give via the Internet. Another significant catalyst shaping this change is the maturation of the population growing up with the Internet. The median age of contributors at the online Network for Good site is 38, significantly younger than the average 60+ years of age of offline donors. These changes are ushering in a new era where charitable and faith-based organizations must leverage electronic payments technology to effectively serve their constituents and remain strong.

About the Author:

Deborah Matthews, AAP, is Electronic Payments Strategies Director for Jack Henry & Associates/ProfitStars. She also serves as Vice Chair of the NACHA Internet Council (www.nacha.org) and is a frequent contributor to a wide variety of magazines and trade publications. She can be reached at debmatthews@jackhenry.com.

Article Source: ArticlesBase.com – Charitable Organizations Benefit from Online Payments

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Tax Planning Calculator

Question: Car Buying Question? Tax & Title Fees…

I’m looking into buying a car, my first car purchase, it’s a 2006 VW Jetta, and I plan to get my financing through Capitol One or my bank, so how does that all work? I mean I know how much I can afford using the auto loan calculator but how do I know if I can afford the loan for the cost of the car and the tax and title?

The car is listed at $13,995 and I’m not sure if I can get them to go down any because it’s already well below KBB value. I have $3,000 down and with my desired payments I can get a loan for roughly $11,300. How do I figure out if I can afford this car??

I live in Texas.

Answer: Just put your numbers into a loan calculator and see what monthly payment results. You'll have to know or estimate the interest rate on the loan, and the number of months. Tax will be charged at the same rate as you pay for other goods, and title/registration fees will only be several dollars to maybe a couple hundred dollars, depending on the state you live in. Here's a calculator that would do the job for you:

http://www.autoloancalculatoronline.com

Good luck.

FDI MoneyTRAX with Joe Craft

Car Donations Salvation Army Ma

If you’re thinking about donating a car to a charity you may want to keep the following tips in mind. A car donation tax deduction can benefit not only you and the charity but a person in need also.

Charities have the option of using donated vehicles for their own use, for providing transportation for volunteers or for charity-related activities such as picking up supplies etc. But more often they will already have enough vehicles and they will sell the auto, truck, RV, airplane or other vehicle from their car lot or through dealers to raise funds for their charity. If the charity uses a dealer they’ve contracted with, the charity may only receive $50 or less from the dealer when the vehicle is sold.

Changes in the laws limit the amount the donor can receive for a used car donation to the actual price that the charity sells the car or truck for.

If the charity or car donation program is not familiar to you, you may want to make sure the charity is eligible from the IRS to receive tax deductible contributions. Request a copy of the charity’s letter of determination from the IRS. This letter verifies the charity’s tax exempt status.

Make sure that the charity or car donation center gives you an itemized detailed receipt for your car donation. Keep it in a safe place and file it with your tax return. Non-cash donations can be an unwanted red flag for an IRS audit so make sure you document the value of the car and keep good detailed records.

If you discover that your old used car is worth more than $500 then you as the donor must fill out Section A of the IRS Form 8283 and file it with your income tax return. Make sure you get a written acknowledgement along with the receipt from the charity because you’ll be required to do so.

If the charity turns around and sells the car instead of using it for transportation then the charity must give the donor certification that the car was sold at what is called “arms length” between parties who are unrelated. And after the sale report the sale price of the car to you within at least 30 days. The donor’s car donation tax deduction will be only for the amount that the charity sold your car for. And if the charity doesn’t sell the car and elects to keep it, then it must give you, the donor, a written receipt for the vehicle within 30 days of the date of the sale.

The charitable car donation organization might also be required to provide certification to the donor showing how it plans to make use of or improve or repair the car or other vehicle and also that it promises it won’t sell or transfer the car to another person or company.

In the US, the federal government imposes penalties on charities that provide fraudulent acknowledgements or documentation to donors.

If the car, truck or vehicle you plan to donate is worth $5,000 or more, then an independent appraisal is required and you must fill out Section B of IRS Form 8283. You ma have to get advice from your CPA or accountant on how to handle this.

If you think or know your car or truck or other vehicle is worth less than $5,000, you can use the Kelley Blue Book or a little guide book from the National Auto Dealers Association (NADA) to figure out the market value. You can find these guides online or at your local public library. You must use the correct figures for the mileage, date and exact condition of your car – document this as much as possible. Choosing the highest figure listed in the guide for your car model and year without taking into consideration any of the other options and factors will not make the IRS very happy.

Take several current pictures of the car or truck and save all your vehicle receipts for new tires, repair work, or any necessary upgrades to help prove its value.

It’s important to remember, that you as the donor, not the charitable organization, are responsible for determining the value the car. It is you who will pay any penalties if the IRS challenges your figures through an audit.

There are many reputable lesser-known as well as the more well-known charities such as Target, Purple Heart, Kidney Foundation, Salvation Army and Goodwill Industries. Centers are located in every state including Massachusetts, California, Minnesota, New York, New Jersey, Michigan, Illinois, Connecticut etc. Some of the charities in some states seem more active in pursuing the donations than others and you’ll find more ads.

These are just a few of the best tips you should know about if you plan on donating a car, truck, RV, airplane, boat or other vehicle. Armed with these facts you can start to make an educated decision about whether you want to go ahead and donate a vehicle and get a nice car donation tax deduction.

About the Author:

For more tips on choosing the best charity car donation, car donation program, used car donation or charitable car donation online and offline go to http://www.Car-Donation-Info.com for charity and tax deduction tips, help, facts, reviews, including information on all types of car donation

Article Source: ArticlesBase.com – How To Turn Your Old Beat-Up Car Into A Car Donation Tax Deduction

Donations Pick Up

Though in the past it was common for car owners to donate their old car when buying new, today more and more car owners are choosing to donate their old cars to charity. As opposed to haggling with a dealership for a good ‘trade in’ value toward the new car, a car donation is an easy and quick process. Today more and more people are interested in reaching out and helping others and donating a car is an easy way for the car owner to feel that they have done their part in helping others. On the practical side, sometimes the auto donation exceeds the benefit of the sale of their used vehicle and so it’s a win win situation for everyone.

Hundreds of charities today are eagerly accepting car donations as a way to support the important and much needed work they do. These charities lean on car donations as a way to help adults and children who are less fortunate. Unfortunately, with the economy in dire straits, many charities have seen donations drop. If you’re considering donating your car to charity, know that you are giving worthy organizations desperately needed support.

Though you have probably seen many ads that talk about the benefit of donating your car to charity, if you have called only to be left hanging on the line by a recorded voice, call charitydispatch.com to donate your vehicle quickly and easily. When you call charitydispatch.com you will be greeted by a live operator. We have live operators standing by, waiting for your call 24 hours a day seven days a week. Not only will you not be left hanging, but you will be guided through the procedure of donating a vehicle by one of our trained staff members. Our staff will make donating your car a quick, easy and enjoyable experience and you will have the satisfaction of knowing that your car donation will be helping someone who desperately needs it.

Donations include cars, trucks, vans, boats, motorcycles and even airplanes, whether they are in running condition or not. Pick up of your donated vehicle is always free.

For even more convenience, you can save time by filling out an online vehicle donation form. Once you have filled out a simple one page online form, you will receive an email confirming that your online vehicle donation form has been received by charitydispatch.com. This email will also give you the direct number to the towing company so that you can make arrangements to get your donated vehicle picked up. Usually within one business day the towing company will call to arrange free p9ick-up of your donated vehicle at a day and time that is convenient for you.

Charitydispatch.com works with charities nationwide such as the American Red Cross, Feel Better Kids and Goodwill Industries. These charities depend on donations from people to fund the many services that they offer to the communities they work in. Your donated vehicle can make a difference in how much these charities can do to help improve the lives of the people who desperately need them.

About the Author:

Through our innovative technologies and programs National Charity Services streamlines charities vehicle donation programs helping them to maximize profitability. Our experience and dedicated staff give us the confident to say that National Charity Services is truly, “The Nations Leader in Charitable Logistics”.

Article Source: ArticlesBase.com – Donating Your Car Is Quick And Easy

How to pick up beautiful women – 7 golden rules and 3 deadly mistakes

Charitable Giving For 2009

Question: How many of Obama supporters are happy about many Charity’s loosing donations?

Because of his administration taking away “charitable giving tax deductions” in his $4 trillion 2010 budget plan…

http://www.washingtontimes.com/news/2009/feb/27/charity-tax-challenged-by-political-friends/

Answer: The fact that Obama is destroying business doesn't help on that front either.

1. Cap and Trade will require inputs to go up -- they'll either shuffle that cost to you the consumer or scale back business. Either way you look at it, "you" lose. You lose your job or your purchasing power is reduced.

2. Removing Farm Subsidies will push American Agribusiness right out of the global markets. Farms will likely scale back if not shut the doors and we'll have to deal with either higher food prices or higher unemployment...or both.

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"If they wanted to GIVE then they shouldn't do it just for a tax deduction! Goes back to what I said Greed!"

Yes yes yes, greedy bastards who give to companies researching cancer as opposed to their buddies non-profits who research beer and it's effect over long games of beer-pong.

Or those greedy capitalist pigs who donate overseas to humanitarian causes instead of pumping money back into their own industry via non-profit R&D research.

Gotta get your priorities straight -- people who do good things depend on this money...if the tax-incentive is part of the reason to give (and will HURT if taken away), it shouldn't be taken away.

It's that whole causal relationship thing I was talking about.

Hurt the rich -- and hurt the very people you aim to represent...the non-profits looking out for lower/middle classes.

CAUSE/EFFECT.

Sturgis Buffalo Chip Hosts Legends Ride 2009; Steven Tyler Rides for Charity