Having an opinion on philanthropy, or a charitable giving strategy, often feels like a concept reserved for the ultra-wealthy. But in reality, anyone who sets up a monthly donation to their favorite charity or picks a few organizations to donate to around the holidays is doing philanthropy.

In other words, my work as a financial advisor has shown me that philanthropy isn’t about the size of your bank account; it’s about the intention behind your actions. That’s a topic I got to dig into on a recent podcast with a true expert on the subject, Mariah Brook from the Saint Paul & Minnesota Foundation.

We talked about how anyone can approach giving in a way that feels empowering, sustainable, and—most importantly—deeply personal. Here’s a guide to navigating your own charitable journey, any time of the year.

1. Talk about why before you discuss how much

Before you start to think about donating to a charity or picking an organization to support, take a minute to think about your life and purpose. (If you haven’t written a mission statement yet, you could do this as part of that process.)

Your goal is to think through what kind of impact you want to have on the world. What causes do you care about and why. Then, you can start to think about meaningful ways to move the needle on those issues.

Mariah often asks donors, “What are the family stories that lead you to care about this?” When you anchor your giving in your personal values, it stops feeling like a chore or an obligation and starts feeling like an investment in the version of the world you want to see.

Once you’ve had those conversations, then you can start searching for organizations that will have the most impact and looking at spreadsheets to figure out a giving strategy. (Or, better yet, ask your financial advisor to help with the latter part.)

2. Picking a charity (and a donation type)

One of the biggest hurdles for casual donors is the fear that their money isn’t “going to the cause.” Many of the groups that rate a charity will subtract points or dock its credibility if the organization spends too much money on overhead, like staff salaries or rent.

But that thinking can be misleading. Mariah spoke about this extensively, as her role puts her in touch with numerous 501(c)(3) charities. In her experience, it’s not the overall amount spent on overhead, but how that money is used. For instance, you need talented people to run good and effective programming. That may mean that you need to pay a competitive salary.

Consider these things as you evaluate any charity you’re giving to. While some people will donate with restrictions—”I only want my money to go to cancer research, not marketing”—for a good reason, that approach can also hinder an organizations ability to operate successfully.

When you give “unrestricted” or “general operating” support, you are telling the nonprofit, “I trust your expertise to use this money where it’s needed most.” Supporting the “boring” stuff—like the electric bill or staff training—is actually one of the most powerful ways to ensure a charity can stay in business and do the work.

3. How to evaluate a charity

We’ve already touched on why you might not want to rely solely on nonprofits that evaluate charity spending. So how do you evaluate a charity you’re considering?

• The vibe check. It sounds silly, but you really want to make sure the way an organization approaches a cause aligns with your own mission and outlook. Does their work resonate with you? Do they tell stories that show real impact?
• The annual report. Most nonprofits publish a yearly summary. You don’t have to read every line, but a quick glance at their mission and their recent wins can tell you a lot. This will also help you understand headline numbers around overhead, spending, programming, and more.
• Ask a human. If you’re considering a recurring gift, attend an open house or a volunteer orientation. Nothing beats seeing the work in action.

4. Add giving to your budget… as a family

We budget for groceries, rent, and streaming services—but we don’t usually budget for charitable causes or making an impact. Why is that?

If these causes are important to you, it’s easy to set up small, recurring monthly gifts as part of your budget. In other words, you don’t need a massive windfall to be a philanthropist. Plus, recurring revenue (in the form of monthly gifts) is one of the most valuable things you can offer a charity as it creates a predictable income stream that improves their cash flow. It helps them plan for the future instead of living gift-to-gift.

Plus, taking this approach is a great way to get your family involved in the process. It can be a part of your family mission statement and something you talk about in your family meetings. If you have kids, talk to them about why you support certain causes.

Ask them what they care about—is it animals? The environment? Helping other kids? By involving them in the decision-making process, you’re teaching them that they have the power to influence their community, no matter their age. If they decide to donate to an animal shelter, for instance, you can agree to visit the shelter once a quarter so they can see the impact of their actions in a real way.

The Bottom Line

At the end of the day, money is just a form of energy. When we give, we are rearranging that energy to support the things we love. As Mariah beautifully put it, giving is designed so that the giver is often the one who receives the most joy.

You don’t have to wait for a special occasion or a massive year-end bonus to make a difference. Your community is happening right now, and you have every right to be a part of shaping it.