charities

The concept of giving to those less fortunate in order to improve their quality of life is call philanthropy. It normally involves several different entities, such as non profit organizations, foundations, corporations and often individuals who provide monetary contributions. The word comes from the Greeks and it means “love for mankind” and this voluntary giving lives up to its name.

As shown in history as a chronicle of philanthropy, it is not a new concept. Surprisingly, it was around in the ancient cultures of Greece, Rome and the Middle East. As a matter of fact, contributions were made to Plato’s Academy and the Christian church in medieval times; they set up trusts to be used with benevolence. Beginning in the late nineteenth century, private foundations donated gifts totaling billions in support of education, the arts, medical research and many other causes.

Some people ask what is the best way to do good or show how thankful they are and others will just automatically write out a check for some non profit organization and call it philanthropy. Naturally, monetary donations are great, but one woman has reminded us that there are other ways, every bit as important. She tells a story of seeing a young boy digging in a dumpster for food. She took him inside, made him a peanut butter and jelly sandwich and sent him home. A short while later several more kids showed up at her door and everyone got a sandwich. Fortunately, her local community noticed and began to pitch in as well; showing that it only takes one person to make a real difference.

You may be surprised to learn that lower and middle-income donors are much more likely to make charitable donations to charities that benefit the poor than are upper-income households. One study examined giving trends among different income groups.

Studies on philanthropy have shown that about 38% of the overall giving was donated by households with incomes less than $70,000. Approximately 31% of the donations served the needs of poor people and about 23% went to the poor through non profit companies that served all levels of society. Roughly 8% was donated to charities that meet basic needs, such as shelter and food.