Maximizing Your Charitable Giving in the 2lst Century

What we do in our lives, and the lives of others -- matters.

Taking care of family, pursuing meaningful, satisfying careers, caring for our neighbors - each requires discipline, focus, empathy, and most of all, an actionable blueprint. Charitable giving, among other philanthropic pursuits, is no different.

Charitable giving hits $592 billion

According to Giving USA's annual report, In 2024, individuals, bequests, corporations, and foundations donated an estimated $592.50 billion in 2024, a 6% increase from the year before. For the first time in three years, total outpaced inflation.

With a solid financial plan and the savings and investment options available at Securityplus Federal Credit Union, you can support the causes you care about.

What drives charitable giving

The reasons people give a portion of their time and treasure to charity vary, reflected in where their donor dollars go. In 2024, the majority of charitable dollars went to religion, human services, education, grantmaking foundations, and public-society benefit.

According to a new giving study, Philanthropy has become hyper-concentrated among a small group of ultra-wealthy mega-donors. These donors now account for 38% of all individual giving. these donors often choose private foundations or donor-advised funds, which are structured to allow greater involvement in how contributions are administered.

Some individuals may choose to consult with a tax professional to understand whether charitable contributions could provide tax benefits based on their personal circumstances.

Getting started with a giving plan

• Setting up a plan for charitable giving is easier than you think. First, determine the factors that will guide your decisions about who to choose as recipients. Determine what causes are near and dear to your heart, such as your religious institution, a local food pantry, a local dog rescue, etc.

• Be realistic about your giving. If altruism is your aim, consider making contributions during the charity's busiest, neediest time of year, if applicable. Consider a dedicated savings or trust account as a vehicle for your charitable allocations. If tax deductions are the driver, you should turn to a tax professional for advice.

• Track your giving. Just as important as choosing your charities and philanthropic pursuits is your recordkeeping. It makes sense to keep tabs on the sums you give, as well as the performance of the charity to serve constituents. Recordkeeping is especially vital if you intend to claim all or part of your charitable donations on your income taxes. Remember, too, there are federal limits on philanthropic contributions individual taxpayers can claim for tax purposes.

Avoiding Charity Scams

When choosing the organization you would like to donate to, make sure you do your research beforehand. Locating a legit charity that supports a cause you are passionate about can be easy if you follow these steps, as suggested by the Federal Trade Commission Consumer Advice:

1. Search for a cause you would like to donate to, along with phrases such as “best charity” or “highly rated charity”

2. When you choose a charity that you like, research reviews, scams, and ratings associated with it as well

3. Look up the charity on https://www.give.org/ to see if it is accredited

No matter the amount, make it your goal to give back to those in need. Even a dollar can make a difference in the lives of those who are struggling.

Financial institutions like Securityplus FCU give, too

Securityplus FCU serves the needs of our Maryland communities through our charitable donations and volunteer efforts. We are proud to support a variety of environmental conservation, medical research, sustainability, and other worthy causes.

Want a financial institution with whom you can partner with your giving goals? We offer a variety of savings accounts and investment services to help you grow your money and achieve the greatest charitable impact.