Friday, November 21, 2008

Charity money down the drain

Money that are given to a charity go to cover two kinds of costs:
  1. The cost of raising the money
  2. Doing whatever the charity is trying to achieve
The way you give to charity has a big impact on how much is lost in the first category. Responding to a direct mail? You pay not only for the one you got, but for your share of those sent to people who didn't respond. Paying by credit card? VISA just took 3,65% of your gift. Signing up with a representative from the charity stopping you on the street? An hour of his or her salary and/or commission was just deducted from your gift.

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