Generosity is a hallmark of the holiday season. We gather for festive celebrations and exchange elaborately wrapped gifts with loved ones. Yet for some families, giving extends far beyond the holidays.
Philanthropy is a key component in creating a legacy that aligns with the values that matter most to you and your family. Charitable giving comes in many forms, but perhaps you don’t know where to start or how best to give. You can begin by exploring your why.
I grew up with a single mom, so my why led to the desire to help disadvantaged youth and struggling families. Supporting
organizations with a similar focus resonated strongly with me. Finding what motivates you provides the foundation
for creating your family’s plan of charitable giving.
Are you driven by a specific cause or issue? What are some of your biggest accomplishments and how did you achieve them? Has a significant event or experience in your life shaped your perspective? What are your main financial responsibilities?
You might also ask yourself what kind of change you want to see in the world. Do you want to support immediate
relief efforts during the holiday season, or do your interests lie in long-term, sustainable efforts throughout the year?
Next, share your motivations with your family and ask what resonates deeply with them. Involving family members in deciding which charities or organizations to support gives everyone a stronger sense of ownership
and compassion.
A popular philanthropic choice is to give money and let the charity decide how to use the proceeds. If you own appreciated investments like stocks, bonds or Treasury bills, you may be able to gift those directly to the charity without having to pay taxes—consult your tax advisor on this. You could choose to donate illiquid assets such as valuable collectibles—maybe a rare coin collection or a piece of fine art—which may offer tax benefits as well.
If you're age 70½ or older, a smart way to give is qualified charitable distributions. You can donate directly from your IRA to a charity and it counts toward your required minimum distribution without adding to your taxable income. It's a great option for retirees who want to help causes they care about while keeping their tax bill in check.
Some organizations need your time—delivering meals to those in need, wrapping gifts for underprivileged kids or building homes with Habitat for Humanity. Imagine including your kids and grandkids in whatever activity you choose. You can teach them to value philanthropy and appreciate the humility and gratitude they feel from helping others.
Whatever form of giving works for you and your family, make it a priority. Have a conversation, explore your values and choose a cause that you all want to champion. You’ll find that giving not only enriches others—it also transforms your holiday season into something truly meaningful.
Sean Goodrich is a CFP® with Goodrich Wealth Planning. He can be reached at sean.goodrich@raymondjames.com
