Donating to charity is silly if you’re deep in debt
If you’re in debt and you’re donating 10% of your income towards charity, you’re not doing ANYONE any favours…AT ALL.
BUT WHAT ABOUT THOSE IN NEED?
Let’s say you earn $6000 net a month between two people, and you’re collectively $50,000 in debt together. You donate 10% of that, which is $600 a month to those in need, and all things said, that in and of itself is a very generous thing to do.
…..except for the glaring fact that you are $50,000 IN DEBT.
WHY DON’T YOU CLEAR YOUR DEBT AND THEN BE GENEROUS?
To put it into perspective, even with an income of $6000 net a month, you would need to live on less than $22,000 net a year (or $1833/month) for one whole year, to be able to clear that debt.
Why don’t you put forth your frugal efforts to live on less than $1800/month NET, clear your debt in a year, and THEN be generous?
If you can’t do that, and you need 2 years to clear your debt, then so be it; but make sure that you are out of financial worries before you start giving away your money.
After you clear your debt, you could live on the same amount of money if you wanted, have about $4200 in disposable income, and you could give 10% away very easily. Or 20%.
THINK ABOUT WHAT WOULD HAPPEN IF YOU LOST YOUR JOB
If you lost your job, think about what would happen: You’d still be $50,000 in debt, and probably kicking yourself for having given $600/month away to those in need.
In all actuality, you were the ones who are currently in need of that money, as you racked up that bill to get the degrees you needed to land those cushy jobs.
Not only that, you were prioritizing OTHER people’s needs over your own and your own family’s.
YOU WON’T BE ABLE TO HELP ANYONE IF YOU CAN’T PAY YOUR DEBTS
If you get in trouble and can’t give that $600/month any more, you won’t be able to help anyone else.
Help yourself first, get out of debt AND THEN be generous.
Lest you think I’m a cold-hearted miser, I followed this rule to the T.
I didn’t donate a penny towards any kind of charity until I myself was out of $60,000 of debt, then I set a rule for myself, saying that for every year that I worked and made money, I would donate a percentage of that to charities that I felt strongly about.