After the COVID-19 pandemic, there has been a shift in the organizations that have been marked as the most favored by Charity Navigator in the last quarter. If you have forgotten your username or password, you can reset it. During the holidays, many people receive requests for donations from charitable organizations, crowdfunding sites, and other online donation platforms. The name of a charity can be indicative of a worthy cause, such as helping the hungry or supporting veterans.
However, it is important to take a closer look at the organization to make sure that your money is going to the right place. December is often the most important month for donations, according to a report by the Blackbaud Institute for Philanthropic Impact. Before donating, it is best to consult one or more of the main charitable watchdogs, such as BBB Wise Giving Alliance, Charity Navigator, and CharityWatch. This background research will help you be more confident that your donation is going to a deserving organization.
Charities differ greatly in how much of their money goes towards programs rather than covering fundraising costs. To obtain BBB Wise Giving Alliance accreditation, charities must comply with 20 standards, including adequate board oversight and strong conflict of interest policies. Additionally, they must spend at least 65 percent of their total expenses on their charitable programs and no more than 35 percent of their total contributions on fundraising. CharityWatch uses a letter rating system that also analyzes the percentage of overhead expenses spent on programs, the cost of raising funds, and other efficiency measures.
For example, CharityWatch awarded an F to the National Foundation for Disabled Veterans, which spent only 4 percent on its programs, while the National Association of Military Families, which spent 82 percent, received an A. Charity Navigator focuses on financial metrics, accountability and transparency. More information on the rating methodologies used by regulatory bodies can be found on their websites. If watchdogs haven't evaluated a group you're considering supporting, you can research it yourself.
Be sure to visit the charity's website for information about its mission, a list of the board of directors and its most recent financial reports. If this information is not available, it could be an indication that the organization is not very transparent. Nonprofit organizations do many of the things a for-profit company would do but benefit entire communities and groups of people rather than private interests. We specialize in helping nonprofit organizations navigate corporate philanthropy which is one of the richest sources of support for organizations of all sizes.
In the non-profit sector, board members decide how to raise money for worthy causes rather than focusing on generating annual profits or revenues. Program expenses are expenses from the non-profit sector that are directly related to fulfilling its mission. Nonprofit organizations create a sense of community which allows individual donors and those in the private sector to work together towards a common goal.