Make Charitable Giving a Family Learning Experience

As parents we often struggle with teaching and shaping our family’s values. Fitting time in for these lessons between school, sports and activities is challenging, and we look for opportunities to bundle together goals. Charitable giving as a family often provides the opportunity to do so, and the experience can be rewarding for families and their communities.

Bringing children into the process of donating to charities (in time, money or talent) can help cultivate generosity, instill a healthier relationship with money and empower a sense of choice around money. Furthermore, demonstrating to your children what it means to be charitable increases the odds your children will carry on giving well into their future.

Giving collectively and meaningfully as a family, you will need to take into consideration every family member’s interest and the age of your children. Start by forming a family giving committee and have a “committee meeting”. The meeting is where everyone can come together to express their charitable giving goals. It can be as formal as you desire, as well as fun. In the meeting identify and prioritize your common goals. Discuss with your “committee members” the organizations in your community (local and global) that support the family’s identified goals. Establish a budget for the committee (most likely by the “executive committee” members – parents). The executive committee should determine the budget based on the household’s overall financial goals, as an allocation of resources within your financial plan.

After the prioritization of goals and budget are established, the fun begins! The committee works together selecting the charities to support. Divide up the responsibilities and research charities within your identified community to find ones that align with committee goals and values. Once organizations are identified, use tools like Charity Navigator or GuideStar to research their financial health and how the donations will be used. Keep in mind the committee will need to determine if the monetary donations will be one-time or on-going.

One way to make the committee budget go farther, and support more causes, is through volunteering. Determine if there are projects you can support as a committee. Do you have a child that is an animal lover? Maybe volunteer as a family at your local shelter. One that is a cook? Maybe have a neighborhood lemonade stand and donate the proceeds to a designated charity. A child that plays a musical instrument? Perhaps there is a local senior center where the residents would love to hear a performance of their favorite holiday tunes. There are numerous ways to get out into your community and support organizations through volunteer efforts.

Hopefully the work of your family’s charitable giving committee does not end with writing a check to your indemnified charities or volunteering at a specific event. The committee should meet regularly reviewing monetary contributions or volunteer hours. Did the committee’s resources (money or time) yield the desired outcome? Does the committee need to make changes to the list of organizations they will support in the future? Does the committee want to add other priorities to the list of organizations they will support in the future? Meet regularly, as determined by the committee, to adjust your philanthropic goals.

Working as a family supporting causes that are important is a win for the organizations as part of your family’s legacy. Reach out to your Apella advisor if you need assistance in creating your family’s charitable giving plan.

 Resources:

Charity Ratings Compared: Charity Navigator vs. CharityWatch vs. Guidestar vs. GreatNonprofits - Monday Loves You

5 Steps to Engage Your Family in a Giving Strategy | Fidelity Charitable

How To Make Charitable Giving A Family Experience — BWM Wealth Advisors (prowealthinvest.com)

Involving the family in giving | DAFgiving360 (schwabcharitable.org)

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