Each year, individuals and families receive numerous requests for donations by nonprofit organizations in need of cash, but knowing how and when to give can be confusing for those who want to help. A new e-book from AMDG Financial offers insightful tips to help donors maximize their charitable impact, while becoming good financial stewards in the process.
During the holiday season, it’s not uncommon for Americans to ramp up their charitable giving. After all, it’s easy, says Wayne Titus, CPA, PFS, AIFA®, founding member of AMDG Financial. More charities send direct mail, or have representatives stationed at popular retail outlets, making it easy for donors to hand over a few dollars or a pocketful of change. “These types of donations certainly help charitable organizations, and they also help donors feel like their making a difference. In fact, new studies also show that generous people live longer and are happier,” says Titus. “But for those who really want to make an impact on their community, charitable giving shouldn’t be a one-time thing – it should be part of a person’s life plan,” he says. Titus says the benefits of having a plan include being able to make larger donations, and reaping tax savings, which could be significant.
To help those seeking a better way to give, AMDG Financial created “The Good Steward’s Guide to Charitable Giving,” a free, downloadable e-book that offers ideas and explains options for maximizing giving over a person’s lifetime (which may also result in reaping longer-term tax benefits). Available here, the e-book suggests making charitable giving a family affair, and provides exercises and assessment tools that stimulate conversation and encourage participation in development of a charitable plan. “Children especially enjoy helping others,” says Titus, “so including them in the process helps give them a sense of ownership and commitment to the plan’s success, whether they help choose the charity, donate old toys, or volunteer to help at a charitable event,” he adds.
While the e-book is an educational tool, it’s no substitute for professional help, says Titus. That’s why he encourages anyone interested in creating a charitable giving plan to consult a financial adviser who understands his or her goals, and who will place the client’s interests first when making recommendations. “This is especially true for clients interested in donating large sums of money,” says Titus. “Tax rules for charitable deductions are complex and change often, so a trusted adviser should be able to lead the client to options that will create a win-win for both the charity and the donor.”
About AMDG Financial
AMDG Financial (http://www.amdgservices.com) is a fee-only fiduciary registered investment adviser (RIA) in Plymouth, Michigan. The firm manages approximately $80 million in assets for clients. AMDG Financial was one of the first 10 firms globally to be certified by the Centre for Fiduciary Excellence (http://www.cefex.org/advisor) as following global best practices for investment adviser fiduciaries. The company’s credo is, “From financial wisdom, better stewardship.”