Donation

As the economy is getting worse, more social organizations require donations from the public. We may donate a few dollars on street, but how can we know whether an organization is worth to donate if we want to donate more say a hundred dollars?

I think a simple way is to know the background of the charity you want to donate. We can go to see the website of the charity and see whether you like to support the services provided by the charity. In addition, you need to see the annual report to find out how the charity has spent its donations. If a charity has spent a substantial amount of donations to its staff salary, you should be careful. A good charity should, from my point of view, spends 90% of its income to its services. Anything between 80% and 89% is acceptable. Lower than 80% is not a good charity. If a charity cannot even provide a financial statement in its annual report, don't donate.