Financial Wellness Tips

How to Budget for Charitable Giving: A Beginner's Guide

May 17, 2022|by Spave

In today’s world, we all have issues and causes close to our hearts. Getting started with charitable giving can be a challenge if you’re unsure where to start. These tips will help you give back to charities you care about, no matter your budget.

1. Assess Your Current Budget

Sitting down with your finances can be daunting. Try starting fresh with your next paycheck and use the 50/30/20 rule: put 50% towards fixed expenses, 30% towards wants, and 20% into savings. From there, determine if you can give a percentage of your savings to an organization you admire. Even 5% can feel like a win. Before you start any new financial routine, you need to take an inventory of your financial values, personal saving, and spending.

2. Pay Attention to Your Emotions

You know that feeling when you give a gift to a friend and they beam with excitement? Of course, you feel good about finding the perfect gift for someone. Studies show that similar emotions run through our brains when we participate in charitable giving. Donating to nonprofits with missions that align with your personal values can make your spending feel more intentional. 

3. Take Time to Research

You have passions and values that feel central to who you are. When you’re interested in donating to an organization, take time to research their practices and goals. Maybe you want to support a national network because of its established credibility. Or, give back to a local nonprofit with a mission you believe in. Either way, learning more about your chosen charities helps you understand how your donation benefits their cause. If you’re looking for some inspiration, check out impact stories about different nonprofits that use Spave to keep their missions moving forward.

4. Time is Money, Too!

Maybe you have skills in graphic design, development, administrative support, or education. If you’re still focusing on building personal savings, consider volunteering your time to a charity in your area. You’ll build relationships with organizers and be ready to donate financially when the time is right. Find the best volunteer opportunities in your area, whether you’re interested in animals, food security, women’s health, literacy, or any other causes.

5. Any Amount Counts

It’s easy to feel like your support doesn’t make much of a difference. In reality, even small donations can help a charity stay up and running. While we often think one-time philanthropic donations from big names are enough, it’s everyday people that make a lasting impact. Spave is connected with more than 1.5 million accredited charities, so you can find a cause you’re passionate about. Once you set up the amount you want to donate, you don’t have to think about it. 

Download the free Spave app in the App Store or Google Play.