Philanthropy and Charity
,Achal Chaurasia-Philanthropy and Charity
Philanthropy, volunteerism, and charity are all about giving something to others and lifting
them through the contribution of money, talents, relief, goods, services, and/or time. All three methods of giving to others are key factors in the development of communities and
improvement of the lives of people. This is how people show compassion for others who are
less fortunate than they are or those who have been impacted by negative events such as a
natural disaster. Be Deliberate, Not Impulsive: Many people make impulsive donations, donating on who knocks at the door, phones, or mails an appeal. Instead, select charities whose work you admire.
Plan Your Donations: Decide in advance to whom and how much to give and include
charitable gifting in your financial plans. Create a charitable gifting budget to guide your gifts. Know-How Donations Are Spent: Always ask what a gift will be used for. Many charities also publish an annual report with information on program results and their use of donated funds.
Check Your Charity: Investigate how it allocates its budget between funding its mission and
funding fund-raising costs and other overhead. Charity is more focused on providing immediate relief to people in need than philanthropy; Charity is often driven by emotions and is often prompted in response to current events such as natural disasters at home and abroad. Philanthropy, conversely, is focused on helping people solve problems over the long term by attacking their root causes and fostering self-sufficiency.
There are benefits, beyond receiving a tax deduction, to giving money to help others; Many
people who make charitable gifts report a sense of satisfaction and/or joy that comes from
giving their money and/or time to benefit other people. A tax deduction is not their only
Individuals can make both charitable and philanthropic donations. Both of them can make a
big difference in the lives of others and their self. While the words “philanthropy” and
“charity” are often used interchangeably, there are some subtle differences. While they both
involve giving money directly to people or to causes or non-profit organizations that help
people. Philanthropy is more long-term and strategic and often involves making multiple gifts to help people over several years.
One could argue that permanent solutions to social problems can only come from strategic,
large scale and collaborative efforts, but the importance of immediate need-based giving
during times of crisis and boots on the ground organizations working to address urgent
needs can’t be dismissed, think about philanthropy and charity simply as two different
approaches to solving the same problems. One isn’t better or worse than the other, but
instead, they are overlapping strategies that are equally essential to the nonprofit sector.
Neither philanthropy nor charity is limited to the wealthy. Whether you choose to give directly to urgent needs through charity or you prefer a more strategic approach to your giving that will impact long-term solutions, the most important thing to keep in mind is that giving is important. The terms Charity and Philanthropy are often used interchangeably but there is a significant difference and once understood we can all become philanthropists.
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Charity is giving, philanthropy is doing.
Understanding Charity Vs Philanthropy: Charity is part of our culture; something most of us experience early in life through family, community, school, the workplace, and other avenues. As we grow we start to make conscious decisions about how, why, and who we support but have you considered the impact of your giving. Do you want to be charitable or philanthropic? Charity is impulsive, emotional, and often temporary in terms of solving the issue. We give a coat or a meal to a homeless person but that is not solving the problem it is a fix for the moment. Philanthropy is a much broader concept that looks to get to the root of the problem and find solutions. Philanthropy is based on carefully thought-out plans, built on previous successes, and focused on the community. It benefits many people with results, outcomes, and impact.
Author- Achal Chaurasia
A young businessman who has been in the line of entrepreneurship for quite a few years. He is an active learner and loves to know more about new technological developments coming up as well as how they can be put to great use to yield better results for society.