Why charities use donations for salaries

When clients donate to charities, they expect their money to go toward social programs or those who benefit from the charities.

However, they should know some of their money could go toward employee salaries, says Hilborn, since about 80% of the expenses charities cover are related to full-time employees.

Read: Help clients avoid gift-giving mistakes

The outlet adds that although volunteers help a charity to function, there needs to be full-time staff to manage operations. Read the story here.

Also read:

Most don’t understand charitable tax benefits

5 reasons to use a private foundation

Tax tips for giving to charity

Wealthy plan to donate 4% of estates

Canadians make time for charity

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.