Does Your Company Set Philanthropic Goals?

I used to give a certain percentage of my annual income to charity and that was the extent of my charitable goal planning, but it never really felt compelling or connected enough for me.  There are also some foundations and companies where the success of their giving is the amount of dollars distributed to causes. Well, these are not the best means for knowing or thinking that your giving actually made an impact.

Creating philanthropic goals is a way for you to really connect with your giving and give in meaningful ways that goes beyond writing a check. Setting specific charitable goals is the first step to making a difference through your giving.

First, it’s likely we will face natural disasters and you will feel compelled to give, decide that a certain percent of your budget will be set aside just for those occurrences. For companies, 20% of their giving budget is a good rule of thumb. For families or individuals it may be less than that. Next, take the time to think and plan what worthwhile causes you’re drawn to. Focus on whatever touches or inspires you. Some questions to ask are: What are my interests? Why do I care? What projects or programs do I find worthwhile? Do I want to make a difference locally, regionally or globally? For companies, this process of planning should always be tied to the company’s business interests, mission and long-term business objectives. Obviously, it will take time and perhaps a team of people. The question to answer is, “So what?” Write down the one or two results you want your giving to achieve.

Next, explore the various organizations that can help you achieve your philanthropic goals. Examine the organizations and practice due diligence. Remember, you work hard to earn your money. Don’t just ‘give’ it away, literally. Selecting organizations should be like it was when you were selecting colleges to attend. Contact the organizations and request a copy of their annual report, newsletters, and list of awards they may have received. An important question to always keep in mind is what percentage of each dollar donated goes to programs and services and what is allocated to administration. Try best to find organizations where at least 75% or more goes to programs.

If you are drawn to a particular program provided by an organization, consider calling them to see if your contribution(s) can be directed toward a specific program, research or service. For example, if you are passionate about finding a cure for Alzheimer’s disease, ask if your donation can be designated toward a particular research program or a program that promotes brain health.

Finally, expect that your philanthropic goals will change over time. Community needs change and organizations grow and sometimes decline. Remember giving is a way of investing and you must feel confident that your contributions are in good hands and that organizations are measuring their successes and results.

So, each year around this time or what ever time you develop your next year’s budget, set your philanthropic goals. When your giving is focused and planned, you can keep track of reaching your philanthropic goals. Your greatest sense of achievement will come from making a difference.

Copyright. 2005-2006. Maggie F. Keenan, Ed.D.