Charitable giving is on the hearts and minds of many as we make decisions about how to give faithfully on Giving Tuesday and throughout the holiday season. But charitable giving is not only an important expression of our faith; it is also a significant part of our finances. And as with any other part of our finances, creating a strategy can make for a more effective and efficient use of our resources. So how can we decide who we will give to, how we will give, and how much we will give?
In 2 Corinthians 9:7, the Apostle Paul writes, “each of you should give what you have decided in your heart to give, not reluctantly or under compulsion, for God loves a cheerful giver.” Deciding who to give to and how much can be difficult if you are passionate about many different causes. However, it’s important to realize that you can’t afford to donate to everyone and everything. So take your time when deciding who to give to and how much to give. Pray. Discuss your options with your family. Give cheerfully.
How will you donate to your chosen charities? Perhaps the most common way is to write checks or give cash. But did you know Covenant ministries and many other charities can accept investments and other assets as donations? You can give stocks, leave assets through a will or Revocable Living Trust, open a Charitable Gift Annuity, and even give through your IRA with the IRA Qualified Charitable Distribution. Gifts like these can increase the impact of your donation while providing you with unique tax savings.
As Paul said, decide in your heart first, then give this holiday season. Give it adequate thought and discernment; prayer and time. And if you would like Covenant Trust Company to help you discern and plan your charitable giving, contact us! We’d love to help.
Remember that no matter who you give to and how much you give, God can use and multiply your gift. So regardless of what decision you make with your charitable gifts this holiday season, trust that God will use it to bless others.