#2/25 Christmas Edition: “What should I give?”

Dear Readers,

“What can I know? What should I do? What may I hope? What is man?” For Immanuel Kant, these are the greatest questions of philosophy. They dominated my studies.

Meanwhile, other questions encounter me daily: “What should I give? To whom? And how? And what may that actually bring me myself?”

Normally, in the newsletter and podcast “Das Neue Geben” (The New Giving), I keep some distance from my entrepreneurial mission with bcause.

Today, I am making a small exception because I believe that many readers are currently grappling with the usual year-end questions - and because I experience that bcause can be particularly useful in these final weeks of the year: For example, as a gift for people who have no material wishes.

With the “Gift of Giving” you can give a foundation credit as a gift that recipients (unlike traditional donation vouchers) can use for their own preferred organizations.

In the New Year, we will return entirely without advertising to the large and small debates, contradictions, and insights surrounding giving. I look forward to your suggestions for this!

Merry Christmas!

Felix

A number that stays in mind: 1%

“How much should I donate?”, I am asked again and again. First of all, it's great to ask the question at all, because most people do not even know how much they currently donate until, years later, they painstakingly search for donation receipts for their tax return.

In Germany, people with high incomes donate half a percent of it per year. People with low and medium incomes give twice as much as a percentage. One percent should be the minimum.

I find the rule that Tobias Thelen recently shared on the podcast to be great: Every year one percent more than the previous year. Thousands of people have even joined the 10% Pledge, which emerged from Effective Altruism.

The good resolution is one thing, but those who actually want to implement it can do so most easily with a total donation into a (free) bcause foundation account. Then you receive a donation receipt for the total sum and can casually distribute it to organizations later. This way, the donation goal is definitely achieved, and the money even multiplies through interest (Premium).

For advanced givers: I think it's not just about donating, but also about investing. For this, see the idea to think further at the very bottom.

A person who inspires me: The many people behind “Donate for Democracy”

"Only when it's dark enough can you see the stars." This sentence from Kamala Harris's sad concession speech has stuck with me. Special times also give rise to special partnerships, and I would like to highlight one because I cannot remember so many so different organizations (which are also often in a certain competition for attention and money) joining forces to create guidance on a topic where many people simply do not know how to get involved financially in a meaningful way.

“Donate for Democracy” highlights four star initiatives with smart local and national strategies that we need more urgently than ever to halt the erosion of our open society and the strengthening of radical and authoritarian parties.

In my many years in fundraising, I have too often experienced everyone baking their own bread. This moment is different. That is why I am pleased that so many great people and organizations are working together here. The donation could not be easier (via bcause), can be made publicly or anonymously, and the money arrives where it is effective.

An idea to think further: Donating or AND Investing? bcause grow

“With a donation, the money is gone.” I have never understood this mindset. It is the same when buying a product. But you get something in return. With a donation, that is a good feeling and the contribution to solving a social problem.

But I believe that a donation should also make economic sense. A donation into a bcause foundation account can be fully tax-deducted and can then multiply through interest or impact investments. Thus, the paid-in amount can grow over time and then be reinvested or donated.

The finance expert (and High-Tech Gründerfonds CEO) Alexander von Frankenberg told me on the phone: “In that case, I'm getting half for my investing gifted by the state!”