A majority of the world’s wealthiest people have a story of “rags to riches” to tell. Many of these leaders dropped out of school and came from the direst conditions that mankind can be found living in. When we look at the fact that people like Thomas Jefferson singlehandedly ensured the existence of public libraries across the USA, it’s clear; the opportunities we have don’t stem from our own brilliance.
Wealth is built on the contributions that others have made. Even the real estate we profit from wasn’t built by our own hands. I want you to define charity in your own words and to see giving as part of generational wealth and wealth building.
Wait. Can Philanthropy Make Your Rich?
What if I told you that your wealth can only be measured by your ability to give? You might have heard it before, “Give to the poor.” No one can give to nor help another person if they have nothing themselves. Power and philanthropy go hand in hand. At times, it’s not so much a display of humanity as it is a display of capability. Many people desire to make a world impact but lack the resources to even start.
Giving is so pivotal to society that we get tax benefits the more we do it.
As an itemized contribution, anything you give to legal nonprofits counts as a deductible from your taxable income. The amount you give is personal, but in doing so, you lower the rate at which your income is required by the IRS.
What makes a charity ideal is the passive way that you can use them to change the world. Whether you leverage your earnings from passive investing in real estate or from personal income, you don’t need to lift a finger when investing into a regulated charity. Now if you hope to realize the wealth building potential of investing into the philanthropic way, consider the following charities to start with:
What Gets Done—Answering every call of hunger in the world is the objective of Feeding America. The United States is the organization’s primary focus, but the aid it musters finds its way into many global crises. “Working together to end hunger,” is the agency’s motto.
Who Benefits—Over 18-million children are expected to deal with caustic levels of hunger during the pandemic of 2020. Both adults and youths receive aid from this agency however. The focus of Feeding America isn’t just for those without the means but also for those who’re struck by natural disasters. Expect this nonprofit to rally resources together, primarily focusing on food shortages during hurricanes, earthquakes, tsunamis and even economic downturns.
How—Being the United States’ largest advocate for food, Feeding America uses its wide reach of influence to achieve its mission. Donors play a role in keeping Feeding America functional. This includes volunteers who help to deliver meals, package and preserve food products as duty calls.
What Gets Done—Disaster relief, as it pertains to war and “acts of God,” is the core focus of Direct Relief. This nonprofit measures its own work based on its vision of “global health.” What this interprets into is humanitarian aid. The specific issues, be they social, economic or political, dictate the aid Direct Relief delivers.
Who Benefits—The United States is the first in line for “direct relief” when resources and labor are dispatched to emerging needs. Over 80 countries now qualify for aid, being stated by the nonprofit as, “ … anyone in need.” Wildlife, as it pertains to fires, floods and endangered species, benefits from the agency’s work.
How—With nearly a billion in accounts payable, Direct Relief has a substantial fund to lead its humanitarian projects through. Roughly seven-million pounds of medical supplies have been delivered by the group since 1948. The transportation of resources makes up a big part of the agency’s competencies. Simply getting things to where they need to be is proven to be a big challenge. Direct Relief offers training and humanitarian work to over 2,500 volunteers.
What Gets Done—“Freedom, democracy and human rights” are the core focuses of George Soros’ Open Society Foundations. In the developing world, the principles of democracy are considered new. The work calls for an agency that realizes the challenges that still exist in removing authoritarian power. Over 50,000 grants have been awarded by the fund so far. These are used to raise the voices of anyone living in conditions of oppression.
Who Benefits—Children who lack formal education are a key focus. Adults living with income inequalities benefit also. Developing democracies are key beneficiaries along with journalists and discriminated groups in the working class.
How—The foundation issues grants to innovators who’re determined to promote the agency’s mission. As long as these promoters develop functional ideas for democratic change, they stand a chance at changing the world forever.
What Gets Done—The study, treatment and education of post traumatic stress disorder (PTSD) is the work of the Wounded Warrior Project. This U.S. military nonprofit focuses on rehabilitating veterans. The organization targets substance abuse and provides counseling to give vulnerable veterans a sense of meaning in human relationships.
Who Benefits—Veterans who need to return back to their civilian lives are the leading beneficiaries. Statistics show that roughly 24% of all vets are substance abusers while an additional 20% are living with PTSD. Those with mental and physical injuries are also challenged in ways that require therapy in group sessions.
How—A board of directors is responsible for guiding the direction of this nonprofit. Therapy and rehabilitation are its core competencies. “Alumnus,” who are donors like you, make the work of Wounded Warriors possible. Free programs with a proven methodology are available to anyone who needs them.
What Gets Done—Leading a global fight against inequality and social injustice is what the Ford Foundation does. In its own words, the foundation is responsible for, “ … disrupting systems to advance social justice. …” The circumstances, people and goals dictate how the money raised by this nonprofit is used.
Who Benefits—People living with gender inequality find aid from this organization. Racial and ethnic injustices are targeted by the Ford Foundation and deemed unacceptable in a modern world. Low-income workers also find refuge through the lobbying efforts of this agency. The work of modern artists and other creatives is important to the Ford Foundation. Technological and environmental impacts are also, and those with disabilities are likewise given aid.
How—Through a $1 billion fund, the Ford Foundation strategizes and allocates resources for its projects. It recently raised $75 million for COVID-19 and even provided $20 million for the rights of low-wage earners.
What Gets Done—Having nearly $5 billion spent on research and development, the American Heart Association leads the nation in seeking a solution for heart disease. By targeting what is now the leading killer of American adults, the AHA promotes general health by making people aware of the risks they face. Directly fighting against the development, onset and mortality of stroke or heart disease puts the sole goal of “an eventual cure” within the scope of this nonprofit.
The agency, on a national level, also leads the charge in monitoring how medical professionals treat heart disease. Malpractice is its concern as well as any medical agency that lacks the needed resources to combat stroke and heart disorders.
Who Benefits—Women and men equally benefit from the work of AHA. People who have underlining medical issues are a key-study group for this agency. Those who’ve already experienced a heart issue or stroke receive financial aid at times. As far as smokers and drinkers go, the American Heart Association is determined to minimize the probability of heart disease in aging patients.
How—Through voluntary aides, the American Heart Association ensures that it’s equipped with medical professionals from all walks of life. Roughly 33-million volunteers are ready to progress the agency’s mission right now. Public education and awareness play a large role in convicting every American regarding the risks they have and why donating or getting a checkup is important.
You might feel a need for substantial generational wealth before you can partake in charity. Helping someone you encounter in public, however, is also a form of giving. Making life as a passive investor truly profitable starts with realizing the charity you once needed to get to where you are now. No one becomes wealthy alone.
In the same way that I strive to make your investments profitable, put the money you generate back to work for yourself also. Develop your community, teach the youth and give people the opportunity to make your enterprise more successful. Such steps are how you make charity as financially rewarding as it is morally.
Disclaimer: The views and opinions expressed in this blog post are provided for informational purposes only, and should not be construed as an offer to buy or sell any securities or to make or consider any investment or course of action.