How to donate to charity properly and mistakes to avoid

Benefit of direct charity is that you are 100% certain where money went, and also people learn about you quickly so you look good, which is good for those who donate to charity for purely selfish reasons.

remember that this can go very much the other direction if direct cash is given. They can buy drugs, guns and all sorts instead of the food and water they claimed they'd buy. Give food and drink instead of direct cash, always, if intending to give direct charity. Also spend time talking to them.

They can buy drugs, guns and all sorts instead of the food and water they claimed they'd buy.

I am aware of that. In fact, some people made entire family businesses out of begging for money on the streets in Bosnia. But you can check people before giving them money. tho in most cases, they want money for cigarettes and alcohol, not food. However, there are obvious cases where money is needed for medical treatment or similar. I am well aware that most charity is scam. I am just trying to focus on charity which isnt.

Jim Bakker, a prominent televangelist, was sentenced to 45 years in prison and fined $500,000 on October 24, 1989, after being found guilty of fraud and conspiracy linked to his evangelical television enterprise, PTL (Praise the Lord) Ministries. Bakker and his wife, Tammy Faye Bakker, garnered a substantial following through their emotional appeals for donations, which they claimed were critical for the survival of their ministry. However, their operations expanded into commercial ventures, including the construction of Heritage USA, a theme park, and high-profile hotel projects, which were financed through misleading "lifetime partnership" schemes that oversold available accommodations, ultimately leading to financial discrepancies and legal troubles.

Most charities are legitimate, but fraudulent charities and scammers mimicking real charities do exist and are a significant threat, especially during crises. Reports indicate thousands of fake charity websites have been created in recent years.

1. A common issue, distinct from outright "fraud," is that some legitimate charities may use professional fundraisers who retain a very large portion of the donations collected, meaning only a small percentage reaches the intended cause. Watchdog groups recommend at least 65-75% of funds raised should go toward the program expenses.
2. Public perception of charities can be skeptical, with some surveys indicating a portion of people do not trust charities, even if most are honest. 

How to Ensure Your Donation is Legitimate

You can take steps to protect yourself and ensure your money goes to a genuine, effective cause. 

1. Research before you give: Use independent charity evaluators to check a charity's rating and financial transparency. Reputable sources include:
2. BBB Wise Giving Alliance
3. Charity Navigator
4. CharityWatch
5. Candid (GuideStar)
6. Donate directly: To ensure the maximum amount goes to the cause and avoid potential high-overhead telemarketers, donate through the charity's official website rather than responding to unsolicited phone calls or door-to-door solicitations.
7. Check registration status: In the US, you can verify a charity's tax-exempt status using the IRS Tax Exempt Organization Search Tool. Canadian donors can check the Canada Revenue Agency's list of registered charities.
8. Avoid red flags: Be wary of high-pressure tactics, requests for donations via gift cards, wire transfers, or cryptocurrency, and solicitors who cannot provide basic information like a charity's address or tax ID number. 

But you must check the charity organization really good. Like, it must be top charity organization in your country and not some randomly selected organization.

Top charity orgs by cost-effectiveness:

https://www.givewell.org/charities/top-charities

Plenty to choose from. Plenty in need.

Jim Bakker, a prominent televangelist, was sentenced to 45 years in prison and fined $500,000 on October 24, 1989, after being found guilty of fraud and conspiracy linked to his evangelical television enterprise, PTL (Praise the Lord) Ministries. Bakker and his wife, Tammy Faye Bakker, garnered a substantial following through their emotional appeals for donations, which they claimed were critical for the survival of their ministry. However, their operations expanded into commercial ventures, including the construction of Heritage USA, a theme park, and high-profile hotel projects, which were financed through misleading "lifetime partnership" schemes that oversold available accommodations, ultimately leading to financial discrepancies and legal troubles.

Punkass Bakker was an amateur, he probably wanted to get caught, he was faced with the choice between spending 45 years putting on a dress and dancing every night for his cellmate Rocky, or living with Tammy Faye another day, and he opted for Rocky.

Now, the real Master of Charity Deception is Donald Trump.

In 2019, Donald Trump was ordered by a New York judge to pay $2 million in damages for misusing the Donald J. Trump Foundation for his personal, business, and political interests. The foundation, which had engaged in a "shocking pattern of illegality" and "self-dealing," was subsequently dissolved. 

Details of the Misuse

A lawsuit filed by the New York Attorney General's office alleged that the foundation functioned as "little more than a checkbook" for the Trump family's non-charitable activities. Specific instances of misuse included: 

1. Political Campaign Coordination: The foundation improperly coordinated with the 2016 Trump presidential campaign and distributed over $2.8 million in funds to influence the Iowa caucuses.

1. Political Donations: A $25,000 donation was made from the foundation to a political action committee supporting Florida Attorney General Pam Bondi at a time when her office was considering a fraud investigation into Trump University. This violated laws against charities engaging in political campaigns.

1. Personal and Business Expenses: Foundation money was used to settle legal disputes for Trump's private businesses and to purchase personal items, including a $10,000 portrait of Trump himself that was later displayed at a Trump golf club sports bar.

1. Lack of Oversight: The foundation had virtually no oversight, and the listed treasurer, Trump Organization executive Allen Weisselberg, testified he was unaware he was even on the board. 

Legal Outcome

In a 2019 settlement and court order, Trump admitted to the misuse of funds. Justice Saliann Scarpulla found that he had "breached his fiduciary duty". In addition to the $2 million penalty, the remaining $1.7 million in the foundation's funds was required to be distributed to legitimate charities under court supervision. Donald Trump Jr., Eric Trump, and Ivanka Trump were also ordered to undergo mandatory training on nonprofit management. 

Top charity orgs by cost-effectiveness:

Well, technically, food saves a life if given to person that would otherwise starve without it. Now, donating to people for medical issues is much more expensive than 4000$ per life saved from your link, so you could say donating to Malaria medicine is way more effective than donating to specific person's already existing medical issue, which usually costs like over 10000$ and often feels pointless especially if person is older or too many people requesting at same time so some not even reaching donation goal for medical treatment. But donating food usually saves life for much cheaper than 4000$ and is very straightforward.

But yeah, issue with charity is that most of it is scam. Helping people often causes dependence on help, a lot even abusing given help. It takes careful selecting and directing money. I dont even know if money I donated to Palestine even reached Palestine, despite being given through biggest humanitarian organization in my country.

the usual rule is to donate to people in worst situation, who really depend on that donation to survive, and are unlikely to abuse it. But even then, people get used to being helped and get less motivated to help themselves.

food saves a life if given to person that would otherwise starve without it

Sure but then you have to feed them again and again, so the costs add up significantly. And giving food might cause people to lose motivation to work, but donating medicine doesn't really hurt their motivation, since they still have to eat. And if they are super sick they might be unable to work.

Sure but then you have to feed them again and again, so the costs add up significantly

The cost of food for one person, assuming only cheap food is bought, is less than 4000$ for whole life. And there are people in situations where they die if not given food. As for motivation to work, food isnt the only motivation to work. Most countries have free food for the poor. They still have to work to have something more than food in life. I think food stamps are very cheap and they succeed in providing meals and prevent malnutrition, which is important because if person doesnt get enough nutrients, person cannot even work. I agree medicine is also good donation, but you cant really abolish food aid in favor of it because person with no food dies even if given medicine.

The cost of food for one person, assuming only cheap food is bought, is less than 4000$ for whole life

That seems pretty low, I'm not finding any sources that give anywhere near that number. Plus you have to factor in the logistics of transporting all that food. Not necessarily against a food-oriented charity (there might be ways to improve nutrition cost effectively), but is there any charity that hands out food and says it can save a life for that low cost? Should be easy to find one if it's as simple as $4,000 to feed a starving person for life.

Another thing to take into account is that even if you feed someone for life, you don't know for certain they'd have died otherwise. It's a bit like nets (which are more cost effective), but you help a lot of people and then estimate how many would have died without your help.

Yes charity, the perpetual need of it, and the inevitable abuse of it.

Tells us what about ourselves?

That seems pretty low, I'm not finding any sources that give anywhere near that number

It depends on what food is bought, and how much of it is given. Sugar and oil contain enough calories to sustain person for whole life for less than 4000$. In poor countries, a kilogram of sugar costs less than 1$, and kilogram of sugar is 3400 calories, which is enough for 3 days for poor person to prevent starvation. So assuming life expectancy of 12000 days for poor people in those countries, sugar alone could meet calorie needs for about 4000$.

Oil, on the other hand, usually costs 2 dollars or less, but in total provides about 8000 calories, which is enough for 7 days for poor person. So again assuming life expectancy of 12000 days, that is about less than 4000$.

But thats for whole life. the problem here isnt "feed person for whole life or not at all". Sometimes even one meal can save person's life, person that would otherwise starve, and temporary food support can help a person build a better life later.

Plus you have to factor in the logistics of transporting all that food.

Food is usually transported on mass scale to reduce cost of transport, but if given directly, no cost of transport.

Another thing to take into account is that even if you feed someone for life, you don't know for certain they'd have died otherwise.

there are areas in world where people keep dying from starvation, so in those areas, we could say its certain people will die if not sent food.

Nowhere do they supply food for life.

Food aid is provided on a daily basis in various forms around the world, ranging from local hot meal programs to large-scale international humanitarian efforts

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