Don't Let Your Desire to Help Others Make You a Victim.

Americans have a tradition of helping those in need.  Unfortunately, there are those who are interested in helping themselves to other people’s money.  With the recent tragedies that dominate the news, many of us will receive emails, view online posts, and come across other forms of electronic communication that remind us about the plight of those in need and target our willingness to help others.  With today’s technology, it is easier than ever for unscrupulous people to identify good-hearted people and take advantage of them. 

Estate planning attorneys often work with individuals who want to benefit charitable causes.  The use of a will, a trust, a community foundation, or direct gifts to a charity are usually actions that are carefully considered.  An estate planning attorney can discuss the method of delivering the gift to the charity and help the client research the charity and its practices to insure that the funds are in fact used for the purposes intended.  An estate planning attorney can also discuss the tax benefits that often result from charitable gifts. Not all contributions are tax-deductible. 

Individuals and organizations using social media and electronic communications may not have the same safeguards.  There is no guarantee that the organization handling the gift is regulated or recognized as a charity by the Internal Revenue Service. They may use a name that is deceptively similar to an established charity. In some cases, the solicitation of money can be in direct violation of Florida law.  In other cases, the solicitation could be an attempt to gain personal information that leads to further financial exploitation.

Recent events may motivate you to take immediate action for those who are in dire need of assistance. Technology allows you to do so with a few mouse clicks or taps on your smart phone. Stop and think before you give.  There are resources that help you evaluate the charity, including information about the percentage of donations that actually reaches the persons you are trying to help.  (charitynavigator.org, charitywatch.org, and thegivingpartner.guidestar.org are examples.) There are many, many worthwhile legitimate charities that will share information to assure you that they do exactly what they promise when you give them money. Don’t forget that they may be a better way to get help to the people in need, even if it takes a little more effort that a mouse click on a link in an email or on social media.  

This post is not intended to serve as legal advice and does not establish an attorney-client relationship. Please consult with an attorney of your choosing before making any important legal decisions.