Our January Giving...and a statement on our giving

When we decided to give 25% of our income each and every month the hope was that a community of similarly-minded individuals and families would not only do the same, but that we would collaborate on where our donations could drive the most good and impact. Here is the first of many monthly lists of where our money will be going this month. Before getting to the list of organizations that we are personally contributing to each month I wanted to cover some basics of what went into our giving approach.

Our 25%

In announcing our desire to give more to those in need we disclosed that we wanted to give away 25% of our salary (an increase from about 4% prior). We also mentioned that we feel that we could give even more away and hope to do so in the near future. How soon that is will solely depend on how disciplined we stay with our consumption and giving. I plan on putting together a detailed post around best-practices to live on less, but that is for another day...lets get into the fun stuff like investing our money in others, not ourselves. 

First, few "full disclosure" statements on our giving. The 25% of our salary is a post tax calculation. This dilutes the actual amount we are currently giving as it is not a calculation of all our pre-tax income. Example being that if my monthly salary is $10,000 a month, yet the post tax (and post 401k contribution) is $7000 a month, we are actually donating around $1750 a month vs $2500 if we were donating a % against our pre-tax amount. Also, it should be pointed out that we make a very small income on a rental property that we currently reinvest back into via random fixes, saving for larger improvement needs, and/or paying off the mortgage sooner if possible. The final disclosure is we do have a variable monthly compensation portion of our income that usually ranges from an additional 5% to 20% of our monthly take home. Giving its sometimes high-level of variability I have also not included this into my calculation. In summary, if we were to calculate all our giving against all our pre-tax income that actual percent of our giving would be more in the 15% range. Again, we feel humbled by being able to give away these funds, but we feel strongly that we can and will do more in the future. 

When we started giving at our current amount we made two significant decisions. The first is that we took the vast majority of what we were saving and investing already and transferred that into our "giving" budget. Which on top of the small amount we were already donating monthly become the current monthly donation totals. The second decision we made is that because we live off a single income we needed to work to find other sources of revenue to save and invest for the future. We decided to put all of the monthly variable compensation directly into saving, but the most important step we took was to make an effort to live off of 25% of our income. This required us to cut out most discretionary spending beyond food, basic household purchases, and the occasional date night out, indoor soccer league fees, kid's event, or other entertainment spending. The short-term goal is that we will have spending that is roughly 25% on housing, 25% utilities, groceries, transportation, etc., 25% giving/donating, 25% savings/investing. The long-term goal involve much less mortgage debt and much more donating. The important aspect is our firm commitment to our monthly donations. If we consume more than we should each month then that first comes out of our savings before it starts impacting the other spending buckets. However, as long as we have an income, of any amount, we are committed to giving our share (at least 25%) to those in greater need.  

What is the best way to give? 

I have heard philanthropic experts talk about the need to contribute on a consistent monthly basis. This allows organizations to properly plan for a steady level of funding. It would also provide them the ability to plan out more impactful programs with that consistent funding. On the flip-side, I have read other experts that relish in the ability to target your giving in, hopefully frequent, lump sums. This provides us, the givers, the flexibility to be agile with our funding. An example would be the one mentioned in our earlier post on Giving 25%, where we talked about pushing back against political action or inaction, or emergencies. 

I subscribe to the latter argument, but only slightly. Giving can't start and stop at inserting our credit card number into our computer screen. We have to keep our eye open and go to where the suffering is, and sometimes that changes on a monthly (if not daily basis). Therefore I need flexibility with the funds I give to periodically contribute to those in a position to alleviate any immediate suffering. 

That said, we also feel strongly about contributing on a consistent monthly basis to those organizations that we have a long term giving relationship with already and are counting on this predictable income. Furthermore we want to lock-in a consistent monthly contribution for those organizations that are directly saving the lives of people everyday, right now. The Against Malaria Foundation being an example. Others are described in our Top Charities list.

Currently we have settled on a 40/60 balance where we are locking in 40% of our giving to consistent monthly contributions. 

Where is the best place to give? 

One of the motivations of this forum is to constantly, and collaboratively, be asking the question of, "Where is the best place to give?" or "Who should we give our money to?" A hope is that we will be able to pool our giving to a shortlist of causes and therefore to a group of extremely impactful non-profit organizations. I would also say that this is very much dependent on what you are passionate about, what causes are important for your community, and where can your resources make the most impact (lives saved and/or improved, hope created, etc.). 

Where we are giving in January?

Monthly contribution giving (40% of total monthly donation)

15% - International Justice Mission - The foremost global organization that protects the poor from violence in the developing world

15% - Against Malaria Foundation - The highest ranked Give Well charity...AMF protects people from malaria by funding nets and ensuring they are distributed and used.

15% - Deworm the World Initiative (Evidence Action) - Virtually nonexistent in developed countries today, there are more than 870 million children at risk of parasitic worm infections worldwide.

11% - These Numbers Have Faces - Consistently optimistic about the future of Africa...TNHF is investing in the next generation of African leaders

10% - African Renewal Ministries - We are funding the schooling of two young students in Uganda

9% - Charity Water - Bringing clean and safe drinking water to people in developing countries

5% - AnnieCannons - They stand for the proposition that no one with the insight or potential to change the world should be ignored because of her gender, race, or previous condition of servitude. 

5% - Glide - A radically inclusive, just and loving community mobilized to alleviate suffering and break the cycles of poverty and marginalization.

5% - Virginia Garcia - They provide high-quality, comprehensive, and culturally appropriate primary health care to the communities of Washington and Yamhill Counties with a special emphasis on migrant and seasonal farmworkers and others with barriers to receiving healthcare.

5% - Basic Rights Oregon - Working to ensure that all LGBTQ Oregonians experience equality by building a broad and inclusive politically powerful movement.

5% - Black Parent Initiative - They engage with Black parents and caregivers utilizing historically predominant Black churches as the organizing place, based on the notion that the missing link was Black families’ absence from conversations around education reform.

Lump sum giving (60% of total monthly donation)

100% - Holla Mentors - They are a school-based mentoring program that works with administrators, teachers, social agencies and families to serve kids of color at several Portland schools. The organization is directed by two of our pastors from church, Imago Dei, and we couldn't think of a better way to give our first month's lump sum amount than to the efforts of Holla, the young adult mentors, and the junior high and high school girls and boys that are being impacted by the love and care they are shown. (Full disclosure - we actually made this donation in Dec at a fundraiser that they had)

Finding your Motivation to Give

                     I really could keep this post to a single sentence or two. If I did it would read something like this, "More than one billion people in the world live on less than one dollar a day. In total, 2.7 billion struggle to survive on less than two dollars per day. Poverty in the developing world, however, goes far beyond income poverty. Get out there and do you part to alleviate that povery!" Another sentence might have more of a local or national focus and read, "Congress is only a step or two away from repealing the Affordable Care Act. The nonpartisan Congressional Budget Office says in a new report that repealing major parts of 'Obamacare' without a replacement plan could lead to an additional 20-25% hike in premiums above existing projections. And it says 18 million Americans would lose their healthcare outright. Agnostic to your political beliefs, as a concerned citizen and/or person of faith, you have a duty to do all you can to help your community members in need." 

            I can't prescribe the motivation that will produce a reflective moment for yourself or your family to act and give all you can (money, time, etc.). That said, we can all think back to moments in our history that gave us pause, and those moments of reflection to ask ourselves, “Am I doing enough?” It might have been that volunteer event you did for your community, the story of a loved one or colleague that was suffering through an illness or difficult situation, a philanthropic endeavor by your company, an experience in a foreign country. Perhaps it was merely a book, TedTalk, or blog post that impacted you. What I can and will do here is provide some insight into my personal motivations and I hope that they resinate with people. 

For me personally, as I sure for most, there wasn't a single event that pushed me to give or to strive to selflessly do more for others.  Often the motivation comes from a combination of events and experiences. For me it started as a volunteer at Glide Memorial, the exploration of my faith, and being a member of that church. This spirit of being a community working to alleviate suffering has continued at my current church, Imago Dei. I was lucky enough to start my business career at a company, Salesforce, that was built upon the philanthropic guidance of Marc Benioff, Parker Harris, and the 1:1:1 model. I am constantly moved by my wife's compassion, her unconditional love of other, and even her stories of visiting groups of children in Uganda. I am constantly impacted by the heart-wrenching stories of modern slavery and human trafficking from a close friend that works for IJM. I was motivation by Peter Singer in his TedTalk and book. I am encouraged by the transformative stories of my friends' experiences in the Congo, Rwanda and South Africa, and their current efforts with CongoVoice and These Numbers Have Faces. I cherish the hope I get from the daily work of the Holla Mentors here in my hometown of Portland.  I seem to be constantly moved to action by the great podcasts found from the Liturgists. I have also found motivation to give out of spite when seeing the excesses sometimes found my own backyard, like the $384,000 that Paul Allen spends a WEEK to maintain is stupid yacht! Imagine the positive impact that could come from that ridiculous amount of money if it were spent on those in need, and not for the mere pleasure of an accidental billionaire!

            As you can take from the above list, for me, in order do as much good as possible each day, week, month or year, I have to remember what has motivated me in the past, what pushes me now, and what gives me hope in the face of hardship. Please join me/us in taking moments to reflect on all that we personally have, putting away our selfish desires, searching for what good is needed in our communities, and then helping to create ways to bring about that positive change.

Donating 25% of our Salary

On a recent business trip I had what many would call an epiphany. I present it here as a confession, wrapped into a positive moment of reflection, and a hope for redemption. Leaving a local cafe, coffee in hand, I started walking down Market Street in San Francisco’s thriving technology and financial district. I was traveling only a few paces behind two men in their early to mid 30’s. They were dressed in dark slacks, crisp white dress shirts, dark sport coats, and no ties. I was in earshot of them and accidentally, and then purposely, eavesdropped as one of them spoke about needing to get rid of his current Audi and purchase a newer model. The other mentioned that he was “over” his current car and was going to buy a new Tesla. Their discussion occurred precisely as they slowly passed a man, who looked to be homeless, and was pulling a small cart in the same direction. The homeless man wasn’t asking for money, but merely walking to his next destination. The luxury car discussing men didn’t offer him any assistance with the cart, nor did they offer him money or food…and neither did I. What I did do was judge both well to-do men in my mind, whom I didn’t know anything about, as tone-deaf rich assholes. Within seconds of this encounter I turned off the sidewalk to enter the building that I was visiting. As I went to push on the revolving door to enter, I saw my own reflection in the window. I looked exactly like them…slacks, shirt, missing tie, and coat. Somewhat similarly to these men, and only moments before my encounter with them when I was sitting in the cafe, I was on my computer checking my investment totals, pondering how much additional principle on my home I should pay off, surfing around travel sites to find a great vacation spot for the new year, and trying to find the newest gadget I could purchase my wife for Christmas.

So as I walked extra slowly through that circular door, $5 coffee in hand, the epiphany hit and sunk in…I was no better than them. In fact I would submit that I was worse. I actually noticed and understood the pain and suffering of the homeless man to a certain degree, and yet I did nothing in that moment to alleviate his pain in any way. In the end it was much easier to pass judgment on two complete strangers, sip my coffee, and go to work. To those two guys out there, I am truly sorry. To others I may have judged in this way, I am also sorry. To the homeless man pulling his cart down that cold San Francisco sidewalk, I apologize for not helping in any way.

The realization came while standing in the lobby of that 30-story high-rise. For the first time in my life I felt fully conscience of the reality that I had enough. Enough income, enough shelter, enough clean water and access to food, enough opportunity for myself and my family to be content and happy. I didn’t need that next gadget, that next expensive vacation, or perhaps a remodel on my home to be happier or more content. More importantly, I realized that I had a responsibility to give more and do more for those that didn’t have enough. So, now what was to be done with this new revelation?

I had a friend (and pastor) once say that, “Giving isn't giving unless it disrupts your lifestyle.” It is with great desire and excitement that we are now committed to donating 25% of our monthly salary to charity. We acknowledge that this amount might be a struggle for our family. It may be a struggle for many that decide to make a similar commitment. We know that the struggle to give more won’t be from a lack of motivation or empathy. What will prevent us from giving all we can is found in the social pressures to purchase and consume. This post, if nothing else, is a call for all of us to disrupt our lifestyles, so that we can help each other with this new and more fulfilling way to live.

Giving away significant portions of your monthly salary to those in need comes down to three simple realities. First, we have to recognize and empathetically understand the global and local needs out there. Last year alone there were almost a half a million people that died of malaria. According to the Against Malaria Foundation a $5 donation can protect 4 individuals for more than three years by providing bed-nets. For the same $5 donation you can help protect six children from Schistosomiasis, a parasitic disease that is non-existent in developed countries. Killing over 280,000 people a year, this disease can be easily prevented and treated by inexpensive medications. Imagine how many people we could save with 5%, 25%, or 50% of our monthly salaries. I submit that we have a profound responsibility to save as many of these men, women, and children as we can.

One of the conclusions I took from the most recent election cycle is that there are people in our country, of all political affiliations, that are struggling economically and socially. No matter your political ideology or how you voted, you have a responsibility to keep your eyes open and to help out everyone in need. Period. This doesn’t start and stop at the ballot box. Based on the campaign promises and threats via Twitter made by the incoming President, there will potentially be segments of the population under greater social and economic stresses. Governmental service organizations will be under larger budget constraints and we as a community have a responsibility to pick up the slack. There are great non-profit organizations that exist to help those that may lose access to their healthcare, that can help push back at the injustice of deportations, and that can assist victims of religious or racial discriminations. These groups need our monetary support.

The second reality to achieving the greatest impact possible is that we have to work hard to prioritize our consumption. In the face of a society that constantly tells us to purchase a new car, or gadget, or $5 cup of coffee, this will prove difficult for many. A concerted effort will need to be undertaken to retrain us to live on less. Examples include finding ways to decrease fuel consumption, embracing public education for our kids over expensive private schools, or enjoying the lower cost pleasure of eating at home, to name a few. Only then will we be able to transfer the monetary resources we currently use to consume items we don’t really need, and use those freed up resources to help others. As Vice President Joe Biden says, “Don’t tell me what you value, show me your budget, and I will tell you what you value.” By decreasing consumption our family is able to increase our giving, resulting in our ability to support those in need, and to show them that they are valued and loved.

The third and final reality we face when trying to do as much good as possible is that we have to admit that we can’t do this all by ourselves. For years I carried around the ideal that giving should be anonymous because giving is about loving others, and not about the selfishness of advertising my philanthropy. Put more bluntly in the Gospel According to Matthew, “When you give to the needy, do not announce it with trumpets, as the hypocrites do in the synagogues and on the streets, to be honored by others.” With this verse of scripture in mind, we humbly share our plan for giving as an invitation to you, and as an expression of our passion about doing the most good we can for those in need. We also know that we can’t do this alone. We need all of you to help keep us honest, committed, and emboldened to give even more in the future. Our family is committed to playing our small role, and we hope that by sharing our story others will also commit to making the most positive impact they can…both globally and locally. I hope you join us as we share our stories, our struggles, and collaborate on how to best alleviate the hardships of those in our communities.