How do you decide which charity to contribute to?

Starting when I had small amounts of money to donate, I have sent my money to a charity that does work with elderly people, providing meals and help with activities and holds parties for those who are alone. I also give money to the local food bank. As I got more money, I also donated to the symphony and a local theater in the major city where I live. While I occasionally sent money to UNICEF and othe international organizations, the bulk of my money is spent locally. Because of working full time and often long hours, I haven't always been able to volunteer my time, so I see this choice as a way to help in and give back to my community.

I used to give a few bucks ( $10, $20, $30, like that ) to different groups when their appeals touched me. It was haphazard.

That changed when I bought a house - not because money was tighter but because for the first time I could deduct charity from my taxes so I had to actually track what I'd done and look at it. What I was doing made no sense: 1) causes I didn't really care about that much got a bigger piece of the pie than causes I really cared about. 2) since charities frequently trade donor lists, I got several pieces of junk mail every day. Each of these, according to industry figures, costs $0.75 to $2.00 to produce and deliver. That meant that about half the money I gave came back to me as junk mail. Not what I had hoped would be done with the money!

The next year, instead of emotionally reacting to each solicitation as it came in, I just threw the letter in a box. At the end of the year, I sorted them out by sender and cause. Shockingly, some groups sent me more than 20 mailings in a year. That means that if I'd given them $40, every cent had come back to me as junk mail.

I decided how much of my total I wanted to go to each cause: 25% to US Hunger, 25% to environmental causes, 25% to children's charities and 25% to international hunger and development. Then I picked one or two charities in each area and sent them a check along with a letter. The letter said 1) spend the money on your cause; do not send the money back to me in junk mail. Don't worry, you are on my list. I don't need address labels, pencils, key chains, monthly newsletters or any junk to remember you. I promise to send you another check next year as long as I see the money is well spent and not spent on junk mail. 2) don't give my name to any other charities.

I'm satisfied with the way it worked out. Some groups continued to send me 20+ mailings a year. I don't send them money any more. Other organizations responded and now send me one reminder per year that it is time to renew. Perfect.

So, I suggest 1) make a strategic allocation among causes, as I did. 2) pick one or two charities in each cause 3) send them a check with a letter like the one I sent.

Since there is a certain amount of overhead in the whole process, I think it makes a lot more sense to give a lot of money to a shorter list of charities than it does to spread it around a larger number. It also means you're less likely to get inundated with junk mail from 100s of other charities. It can be really tough to choose among so many good causes, but it's financially more efficient. Of course, you should also check out each charity to see how efficient they are: different groups rate charities based on the reports they are required to file. You must check those to make sure the money you give isn't wasted.

The problem with trying to decide where your money should go is that many non-profits do valuable work that simply wouldn't be done by the for profit sector. It just costs too much for any organization that has to answer to shareholders who rightfully expect a financial return on their investment.
I've been involved as a staff member in non-profit work for quite a long time, so my opinion may be somewhat skewed, but I'll offer the benefit of my experience.
Many charitites offer the opportunity to become involved on the local level as a volunteer. It's probably the best way to decide which one you'll support. Another way is to decide which one has helped someone you know...or know of. Look for concrete support, not just promises, and figure out if the organization helps a person help themselves. Otherwise the cycle of needing help may go on endlessly. Of course, some people can't change their circumstances and you should take that fact into consideration when making your decision. The final test is if the cause touches your heart. Do you believe the work being done is changing peoples' lives? If so, you've narrowed y our choice considerably.
Mailing labels notwithstanding, the March of Dimes has reached its original goal, probably the only charity to do so. Polio has nearly been eradicated and now they've taken on the cause of birth defects. My daughter and grandson were both saved by March of Dimes research and I don't mind their mailing labels at all. I cheerfully send them a small donation and use the labels on all my mail.
Personally, I also think Habitat for Humanity is worthy of consideration. Nothing changes the life of a family like owning its own home. It helps break the cycle of poverty and all of society is better off when a family can support itself without help.
Good luck with your decision and for all of us who are out trying to make the world a better place, thank you!
PS - Be careful of groups that rate non-profits...make sure you understand what criteria they're using when they rate overhead. Once again, you should be able to get a good feel if you spend some time volunteering...that's more important than a rating by some unknown group.

In the past, I made small contributions, usually $10-$15 to a number of well known charities such as Easter Seals, March of Dimes, etc., only to have them solicit me monthly with anything that could be stuffed into an envelope such as address labels, etc. I am sure that all the money I sent was spent on these solicitations. Now, I send larger contributions to Meals on Wheels, my local Food bank and the Salvation Army, which operates a shelter here, serving 3 meals a day, and housing the homeless, mostly families. Christmas presents to family and friends are contributions to Heifer, International, for a flock of chicks or trees, etc. Any solicitation I receive that contains address labels or some such come on goes straight into the recycle bin. I feel that my money is not wasted when sent to these organizations.
Abuela593