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1. Know how much you can afford to give.
When I spoke with Barbara Stanny, a financial educator who has written seven books about money management, she was very stern about the necessary groundwork. “The four rules of money: You spend less, you save more, you invest wisely, and you give generously — in that order,” she said. “If you don’t, not only do you sabotage your own future security, but you diminish the impact you can make.”
Stanny also believes that, when done properly, giving money away can also inspire people to make and save more of it. “For many of my clients, managing money seems boring and stupid, but when there’s a greater purpose, it becomes more compelling,” she says.
In philanthropy parlance, this purpose is known as a “giving plan,” and you don’t need to be rich to make one. You can read entire books on the topic (Stanny recommends Tracy Gary’s Inspired Philanthropy), but in short, it’s simply figuring out how much you can give, where you want to give it, and when you’ll be able to give more. If you can only pry a few bucks out of your budget right now, that’s okay.
2. Do your research on the organizations you want to fund.
“My advice is to figure out what your passion is, and match it to an organization or an area where you want to see that change,” said Mesch. This isn’t difficult: What do you ruminate about in the middle of the night? Pinpoint that anxiety, and find the people who can fight it effectively. If your thing is women’s reproductive rights, double down on it. If you’re more concerned about racial justice, start there. Websites like Guidestar, Charity Navigator, and CharityWatch are great resources for researching nonprofits that align with the causes you care about; pick a lane (or a small few) and focus.
That said, don’t fall victim to analysis paralysis. No charitable organization is perfect, and the websites that evaluate them are flawed, too. Once you’ve decided on a cause and an amount, go through with it.
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