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On Giving Tuesday, industry leaders are warning donors to be vigilant when making donations

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John O'Hara, CEO at the Better Business Bureau Serving Mississippi
Justin Sellers, 2016

Nonprofits and other charitable organizations across the U.S. have experienced a drop in donations in 2023 compared to previous years. It's a funding gap many are hoping to make up during this year's Giving Tuesday. But industry leaders are warning donors to be vigilant when making donations. 

Michael McEwan

On Giving Tuesday, industry leaders are warning donors to be vigilant when making donations

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The first Tuesday following the Thanksgiving holiday marks the beginning of one of the nation's most prolific fundraising periods for charities and other organizations. It's had success in Mississippi, where an estimated 30 percent of tax returns include charitable contributions.

"Mississippi is always in the top three per capita in giving and that's something our state should be very proud of," says John O'Hara, CEO at the Better Business Bureau Serving Mississippi.  

He says that amid news nonprofits are expecting funding declines this year, donors hoping their contributions will serve as a possible solution need to do their research before choosing to support certain organizations.

"Not all charities are created equal," he explains. "Some charities, a lot of the money just goes for overheads such as expenses for marketing or board members."

"For the better Business Bureau - to be an accredited charity - at least 70 percent of what you collect in has to go toward your mission."

It's estimated Americans donated $3.1 billion during last year's Giving Tuesday.

All the more reason, says O'Hara, to take note of exactly how certain organizations approach requests for donations.

"If you're getting unsolicited phone calls, you need to definitely do your homework on those. They could be scammers or they could be a charity that gives sometimes as little as two to three percent to helping the calls that they're involved in."

According to Giving USA, less than half of Americans gave to charity in 2022 compared to more than two-thirds who gave in 2000.