How to Research A Charity's Reputation

'Tis the Season of Giving ... and there is probably no better time in recent history to consider giving to a favorite or well-known charity. But how do you know if you are donating to a GOOD CHARITY not just a good cause? Here are a few resources to check out a charity's reputation online.

Difficulty: Easy

Instructions

1. 
    

   There are several Charity Watchdog groups that make an effort to evaluate the reputation and financial health of charities big and small. CharityNavigator.org and CharityGuide.org have great websites designed to help you make intelligent choices when giving at the Holidays and throughout the year.
   
   The American Institute of Philanthropy uses a rating criteria -- in general, only charities that receive a grade of B or better are considered top rated.
   
   Charityguide.org also has a great section called "How To Make A Difference" in 15 min., in a few hours, and on vacation.

2. 
    

   The Better Business Bureau has detailed reports available online, and notes the date the charity was evaluated.
   
   Something to consider: Charities that are EXEMPT from filing Form 990 (Return of Organization Exempt from Income Tax) are NOT evaluated. What charities are exempt you ask? Any charity that is associated with a church or religious organization, like The Salvation Army.
   
   The Samaritan Guide is another online resource to evaluate charities and non-profit organizations. They produce an annual list of Samaritan Award winners as well.

3. You might be surprised to learn the percentage of monies that actually goes to a charity's programs. For example, United Way of America - 72%, MDA (Muscular Dystrophy Association) - 76%.

4. 
    

   Givespot.com has a Top 100 list of the most highly rated charities based on efficiency and transparency. A few of their top rankers are: World Vision.org (86.5), Save The Children (90.4) and the Marine's Toys for Tots (97.4) ...Semper Fi...

5. 
    

   Newer charities may not be listed. Some of my favorites: Makeitrightnola.org, Kiva.org, and StovesforDarfur.org have not been evaluated because they have not been existence for more than 4 years.
   
   The bottom line: Go with your gut, and give responsibly from your heart.

Tips & Warnings

• Give gifts with a purpose this year

[Merriment]

on 12/8/2009 Very helpful information to know about before choosing a charity to contribute to.

[JackLTrades]

on 2/18/2009 Great information. It is too easy to rip off the public with a non profit. Watchdogs are vital

[marielc]

on 2/15/2009 This is good. I want to know if my money is making a difference.

[RWNewhouse]

on 1/12/2009 Great advice! I work with a lot of non-profits, and this will be helpful.

[dlcass]

on 12/31/2008 Great advice. When times are tight, charities really suffer. Just remember that what you give will usually come back to you as a blessing.