View Full Version : Asked to donate $1 at register do you.
sam123
May 16th, 2012, 08:29 PM
I've always wondered who gets the benefit? Would the store be able to donate the $ and then claim the rebate? If so, seems like a money maker for them. Anyone know?
CDNPatriot
May 16th, 2012, 08:37 PM
I've always wondered who gets the benefit? Would the store be able to donate the $ and then claim the rebate? If so, seems like a money maker for them. Anyone know?
I never do. Rather lump it into a much larger amount and get a tax break and in turn contribute more. Stupid concept.
stealth
May 16th, 2012, 08:48 PM
I never do. Rather lump it into a much larger amount and get a tax break and in turn contribute more. Stupid concept.
Finally we agree on something :razz:
sandikosh
May 16th, 2012, 09:23 PM
I went to wally world to pm a game but they didn't have it. On my way out I decided to buy a croissant for 55 cents and the cashier asked me if I wanted to donate a $1. I said, "Are you serious?. If I donate a $1 I would almost triple my purchases! No. I am not donating."
Dilton
May 16th, 2012, 09:34 PM
I went to wally world to pm a game but they didn't have it. On my way out I decided to buy a croissant for 55 cents and the cashier asked me if I wanted to donate a $1. I said, "Are you serious?. If I donate a $1 I would almost triple my purchases! No. I am not donating."
You really told that cashier! Good job bro! Should have hit them too!
ishfish
May 16th, 2012, 09:36 PM
No.
I hate it when they ask.
The store takes the credit (and I wonder if there is some tax break for them).
I know Safeway stores give little prizes to the staff who bring in the most donations (weekly I think).
pmbpro
May 16th, 2012, 09:48 PM
Interesting timing, my seeing this thread, because I was asked this very thing at the Sportchek store (Eaton Centre) after work today.
I said "no". I don't know this charity well and I also donate directly to charities myself. Besides, us "little people" may want to get a tax break once in a while too. It's not just exclusive to these multi-million dollar corporations. Anybody know if these companies sit on the money long enough to collect interest before writing out that big donation cheque?
On another note, I was also asked if I'd mind submitting my postal code. I said "no" to this too. I'm coming into a store to buy something, and they need to have my postal code? o_O They're not shipping my item. Frankly, I got sick of that long ago too, and I just say no if I'm asked.
I read a while back, that store Management pressure (some really heavily) the employees to ask these things. Sometimes I can even tell the employee is embarrassed or hesitant to ask and I feel bad for them.
arm2000
May 16th, 2012, 09:49 PM
I do. I don't care who takes the benefit but I'm sure at least some part goes to declared target
ishfish
May 16th, 2012, 09:56 PM
On another note, I was also asked if I'd mind submitting my postal code. I said "no" to this too. I'm coming into a store to buy something, and they need to have my postal code? o_O They're not shipping my item. Frankly, I got sick of that long ago too, and I just say no if I'm asked.
I read a while back, that store Management pressure (some really heavily) the employees to ask these things. Sometimes I can even tell the employee is embarrassed or hesitant to ask and I feel bad for them.
Yes I have started to think twice about all those businesses that ask for my phone number and email. I've asked why they need it and told that it is because they want a way to contact me if there is a problem with my purchase. maybe. But i do not just automatically provide it.
And yes the cashiers are pressured to ask the questions and are spoken to if they do not. So it is best not to be rude to the cashier but rather to complain higher up the food chain. Definitely the store benefits or why else would there be so much pressure of the employees to collect. And who makes certain they donate all plus the interest?
nalababe
May 16th, 2012, 10:02 PM
I have....though not always. Depends on the person asking. Do they really seem to care? Or are they just mindlessly repeating what they are told to say.
I will also support through employee groups.
Sure for big ticket donations (Church, Cancer, HS) I get a receipt. But there are others (charity lotteries or Poppies) where I don't.
wal3145
May 16th, 2012, 10:04 PM
I would only donate if they could assure me that 100% of it goes to charity that is well known.
Raggie
May 16th, 2012, 10:04 PM
I never 'donate' even though it may make me look like a bad guy to not contribute to the children's cause or the United Way, etc. The retailers are depending on the emotional guilt tripping to get the consumer to donate.
mellyzeng
May 16th, 2012, 10:14 PM
cool
Dina_E
May 16th, 2012, 10:21 PM
I do. I don't care who takes the benefit but I'm sure at least some part goes to declared target
check pm ive got a bridge for sale.
ishfish
May 16th, 2012, 10:25 PM
I never 'donate' even though it may make me look like a bad guy to not contribute to the children's cause or the United Way, etc. The retailers are depending on the emotional guilt tripping to get the consumer to donate.
They want you to think it makes you look bad, i do not think it does...maybe like someone who has the confidence to say no.
But we do feel that way, even in this thread it seems there is a need to say "No, but I donate elsewhere." Why do we feel we have to justify ourselves? We can't possibly give to everything. And we should not feel bad about it.
deltone
May 16th, 2012, 10:33 PM
Sometimes I give and sometimes I don't. I hate when they ask though and it does make me uncomfortable to say no which bugs me as I know I shouldn't feel that way.
One thing that really bugs me is that if the large corporation collects $200,000 and they donate it, I imagine THEY get a tax deduction for it which jsut seems wrong.
Raggie
May 16th, 2012, 10:39 PM
I am a bit annoyed when Tim Horton's runs that fundraiser to send a kid to camp. And they have the police participating for donations. Sorry, I would rather afford to send my own kid to camp than pay the way for a stranger. I known this makes me seem rude, but that's how I feel when these retailers put us on the spot to donate our hard earned money.
uber_shnitz
May 16th, 2012, 11:01 PM
Yes corporations get a tax deduction for it but the whole point is that its an incentive for them to raise the money (as opposed to charities going to harass you over the phone or at your door). Not saying it's right or wrong but it's a way and it's somewhat effective as shown by the fact that they ARE amassing money.
Oh and yeah, store employees are pressured to ask for these things. They even have a daily "objective".
I just say no and move on with my life.
sam123
May 16th, 2012, 11:02 PM
One thing that really bugs me is that if the large corporation collects $200,000 and they donate it, I imagine THEY get a tax deduction for it which jsut seems wrong.
That's how I feel as well. Sometimes I'll ask the cashier who gets the tax deduction, they never have an answer. I stopped doing this because it seems to embarrass my better half. Once at RCSS I took it to the Manager who took my phone # so he could call me with the answer. I wonder if he ever called the # I gave him?
zoomzoom
May 16th, 2012, 11:23 PM
I am really swaying towards saying NO in the future. I recently heard that one charity collected $5 million through contributions, but spent $1.2 million to administer the funds.... good grief.
Xiaozhuli
May 16th, 2012, 11:37 PM
I always say "no":
1) Because I shop quite often to the local supermarket and there is always some charity event going on, and I'm not donating every time I go buy a friggin loaf of bread.
2) Because you don't have time to think about the charity or research it, you have to make a decision on-the-spot.
3) Because I'd rather give a lump sum to a charity I choose myself. I'm a big fan of micro-credit for instance.
4) Because I'm tired of being constantly solicited by phone, mail or in person.
13sundin
May 16th, 2012, 11:44 PM
Dont ever do it... if you work retail u know that the only reason why it is done is because the companies get big tax rebates from it. Also the dollar that you donate is split into many departments like marketing, posters and what not... maybe of 30 cents of your actual dollar will go to help someone.
Manatus
May 16th, 2012, 11:46 PM
Sometimes I do because if there's a long lineup I feel bad saying no - but I avoid stores that do this a lot, and sometimes I avoid that charity afterwards as well. I used to live near a Zellers that had this kind of stuff going on all the time, actually they would allow representatives of that charity to set up a desk in their store and wander around the store soliciting people, it was really very annoying, and to this day I will always avoid Zellers if there is a reasonable alternative. It feels like when you're eating at a restaurant/fast food place and someone comes in going around the tables and asking for change.
gh05t
May 16th, 2012, 11:47 PM
I've done it before and noticed they add it to your bill and can't remember if there was tax on it too.
They get the benefit.
I remember a while ago when they did it, they would give you some fancy piece of paper to write your name on.
Then they'd stick it up on the windows of the store.
Don't see this anymore so they are either matching the donations or just acting as a collector of donations.
akira1971
May 17th, 2012, 12:07 AM
I've always wondered who gets the benefit? Would the store be able to donate the $ and then claim the rebate? If so, seems like a money maker for them. Anyone know?
The store takes the credit (and I wonder if there is some tax break for them).
Besides, us "little people" may want to get a tax break once in a while too. It's not just exclusive to these multi-million dollar corporations.
Really people?!? For a business to "claim" the tax benefit of these customer donations, they would've first have to declare every donation as revenue, which then would be fully taxable. The donation tax credit wouldn't even come close to recovering the tax payable on the "donation revenue". Of course, this is moot, since the business does not claim these donations as revenue, nor do they attempt to claim the tax credit on customer donations either. In fact, many large companies would match customer & employee contributions (which they would claim the deduction on their portion of the matching contribution, as that part comes out of their revenue.)
I never do. Rather lump it into a much larger amount and get a tax break and in turn contribute more. Stupid concept.
How is it a stupid concept? There are hundreds of very worthy charities other than the big 5 (United Way, World Vision, Heart & Stroke, Sally Ann & Cdn. Cancer Society). Instead of competing with them for the $20+ contribution (for receipt), it's more likely people would donate a smaller amount like $1 than receive NOTHING AT ALL. As an example, I don't have a problem donating $1 to the Toys R Us - Starlight Foundation at the checkout a few times a year. Otherwise, the likelihood of this organization receiving a major (ie over $20) cheque from me is ZERO when my family does it's annual charity allocation.
Interesting timing, my seeing this thread, because I was asked this very thing at the Sportchek store (Eaton Centre) after work today.
I said "no". I don't know this charity well and I also donate directly to charities myself.
How is it a bad thing? As you said, you don't know this charity well - but at least now you've heard of the charity and if you cared enough, might actually look further into it to see if it's worthy of a donation the next time you encounter it again. Otherwise, how much donations would this one get relative to the big 5?
On another note, I was also asked if I'd mind submitting my postal code. I said "no" to this too. I'm coming into a store to buy something, and they need to have my postal code? o_O They're not shipping my item. Frankly, I got sick of that long ago too, and I just say no if I'm asked. [Not really part of this thread, but the reason your postal code is asked is for target marketing. The more purchases made by your area residents, the more likely the store will send flyers to your area to promote special sale events. This is RFD after all...]
I read a while back, that store Management pressure (some really heavily) the employees to ask these things. Sometimes I can even tell the employee is embarrassed or hesitant to ask and I feel bad for them.
Of course management wants to maximize the number of customer donations. It looks good in press releases and annual reports when it says it helped XYZ Charity raise $$$ dollars, especially when the company matches contributions or is tied to the charity. For example, the Jennifer Ashleigh Children's Charity was tied to National Sports/Forzani Group when Norm Clements (founder of National Sports) lost two granddaughters. Having met Norm a few times, he's very passionate about the cause so I wouldn't be surprised if the whole company was just as passionate in asking for donations.
akira1971
May 17th, 2012, 12:32 AM
That's how I feel as well. Sometimes I'll ask the cashier who gets the tax deduction, they never have an answer.
You really expect the low-level front line staff to have a sophisticated understanding of business accounting practices and taxation laws?
Dont ever do it... if you work retail u know that the only reason why it is done is because the companies get big tax rebates from it. Also the dollar that you donate is split into many departments like marketing, posters and what not... maybe of 30 cents of your actual dollar will go to help someone.
What crap are you making up here?!? "Working in retail" suddenly gives you special insight to the company's tax filings or budgeting department???
Let's make this absolutely clear - COMPANIES DO NOT GET BIG TAX REBATES ON CUSTOMER DONATIONS. The only get a deduction credit if they match the contribution (and only on the matching portion, not the customer's donation).
If you want to be cynical of why companies do it, the major reason is probably because they know it's a great PUBLIC RELATIONS move. Big press announcements, showing involvement in the community, etc.
sam123
May 17th, 2012, 06:52 AM
[QUOTE=akira1971;14754953]You really expect the low-level front line staff to have a sophisticated understanding of business accounting practices and taxation laws?
Well, I expect that when they tell/ask the staff to solicit donations they might consider the question of rebate and supply the answer. I ask and request they find out the answer so next time a reply may be forthcoming.
BTW, thank you for your explanation of how this works from a tax perspective.
So the company takes your donation into revenue and pays tax on it as a sale. They then take the funds collected and submit them to the charity ( and get no tax benefit), sometimes with a matching donation. They only get a tax benefit for the portion they submit on their own behalf.
dnyc
May 17th, 2012, 07:26 AM
i just came up with a brilliant idea you can say that won't make you feel guilty. tell the cashier, "why don't your company knock off a dollar off my purchase to donate that to X cause? Surely your company cares that much."
akira1971
May 17th, 2012, 07:39 AM
Well, I expect that when they tell/ask the staff to solicit donations they might consider the question of rebate and supply the answer. I ask and request they find out the answer so next time a reply may be forthcoming.
BTW, thank you for your explanation of how this works from a tax perspective.
So the company takes your donation into revenue and pays tax on it as a sale. They then take the funds collected and submit them to the charity ( and get no tax benefit), sometimes with a matching donation. They only get a tax benefit for the portion they submit on their own behalf.
No, donations do not fall into revenue at any time as it is not a sale. It falls into an Accounts Payable, which is simply a balance sheet item. It's like a brother giving you $5,000 to pass along to your parents - you wouldn't declare that to Revenue Canada as earned income, would you?
As for front line staff, there's only so much information I can expect them to remember and explain to customers. Accounting practices is not one of them. I'd rather them concentrate on the actual charity itself - who it benefits, what it does, how is the the money used, etc.
akira1971
May 17th, 2012, 07:58 AM
i just came up with a brilliant idea you can say that won't make you feel guilty. tell the cashier, "why don't your company knock off a dollar off my purchase to donate that to X cause? Surely your company cares that much."
Unfortunately, the companies are way ahead of you. Many of them do already donate to the cause - they will match customer & employee contributions. The one I worked for did it up to $1 million dollars.
And the charity usually gets more than just financial support from these companies. Many time these companies organize special fundraisers and "ask" all their employees to volunteer, from head office management down to cashiers. You'd be surprised how many executives actually come out, as I guess it's a good way to be seen or because they've learnt so much about the charity, that they're usually involved for life. I'm much more impressed when people donate their time to help out, not with someone just pulling out their chequebook.
13sundin
May 17th, 2012, 08:35 AM
You really expect the low-level front line staff to have a sophisticated understanding of business accounting practices and taxation laws?
What crap are you making up here?!? "Working in retail" suddenly gives you special insight to the company's tax filings or budgeting department???
Let's make this absolutely clear - COMPANIES DO NOT GET BIG TAX REBATES ON CUSTOMER DONATIONS. The only get a deduction credit if they match the contribution (and only on the matching portion, not the customer's donation).
If you want to be cynical of why companies do it, the major reason is probably because they know it's a great PUBLIC RELATIONS move. Big press announcements, showing involvement in the community, etc.
If you understand how much these companies harass their employees for these "donations" then you know. If this is true, why wouldn't the companies just donate the money outright? Involvement in the community? LoL...Most of these donations are to third world countries... A good public relations move for the company would create a department just for these types of donations, think Ronald House for McDonalds. If a company or organization wants to create a good PR they want their customers to associate the company with the donation... Think NBA cares and how they play videos before and between every game. Do they ask for money? Nope they earn it. Also, why have a third party company like eat a big chunk of your donations when your employees are doing 100% of the work to get this "donation"?
tkddad
May 17th, 2012, 08:50 AM
There are way too many charities these day. I can go incorporate my own corporation tomorrow and start my own "Run for Cancer/Heart/Diabetes" charity. If I am ethical, I would just take the industrial standard 10-15% off the top as admin. cost. Or I can be like the Canadian Cancer Society, who spends 43% of their annual budget on their "fund raising effort".
I personally concentrate all my charity money to give to 3 charities that I believe in and say no to everybody else.
Back on topic, President Choice will match all the charity money they collect dollar to dollar. At least they used to a couple years ago.
thelefteyeguy
May 17th, 2012, 08:58 AM
i hate it...it's everywhere now
Walmart, Ikea!, Loblaws,
i tried to avoid it by using autocheckout...instead they have someone standing there waiting for you to finish and then they ask the question :facepalm: POS.
Rainne
May 17th, 2012, 09:06 AM
Only at Chapters for children and literacy.
akira1971
May 17th, 2012, 09:40 AM
If you understand how much these companies harass their employees for these "donations" then you know. If this is true, why wouldn't the companies just donate the money outright? Involvement in the community? LoL...Most of these donations are to third world countries... A good public relations move for the company would create a department just for these types of donations, think Ronald House for McDonalds. If a company or organization wants to create a good PR they want their customers to associate the company with the donation... Think NBA cares and how they play videos before and between every game. Do they ask for money? Nope they earn it. Also, why have a third party company like eat a big chunk of your donations when your employees are doing 100% of the work to get this "donation"?
You're kidding, right?? Running a charity is not easy - it's a whole new business unit within a business and requires a lot of resources and expertise. And if it's internal department, that means you're no longer asking employees to volunteer a couple of weekends to help out. It's a full-time job and you'll need to pay salaries and expenses. Being attached to an existing charity is more productive and efficient - the administration is already set up and the charity most likely already have some customer awareness and branding (how many RFDers in this thread have said they won't give money to charity they don't know?).
And how is it different when TRU cashier asks for $1 for the Starlight Foundation and a basketball star representing NBA Cares asks for a donation? NBA Cares is not a charity itself - it's partnered with dozens of other organizations like United Way, unicef, special olympics, Red Cross, etc. that it helps raise money for.
RolandCouch
May 17th, 2012, 11:16 AM
Almost never.
Simaahoy
May 17th, 2012, 11:18 AM
No, i already donate money to other causes.
zerg00
May 17th, 2012, 12:44 PM
No, i already donate money to other causes.
you can also tell them you donated money to that charity already
Super strokey
May 17th, 2012, 06:25 PM
I donate because I think the Charity deserves it, i certainly dont donate to make myself feel any better or to get credit like people seem to be obsessed with. Im not that selfish.
Jucius Maximus
May 17th, 2012, 08:01 PM
I give money to charity every month but never at the register because I want the tax benefit for myself.
I almost never provide my email either, but I did provide it at Pro Hockey Life because they will email you the receipt. That is actually useful.
mbg
May 17th, 2012, 08:49 PM
I always say "no" now because if I said "yes" every time I was asked then it'd be too much $$.
And it gets easier to say "no" each time you do it.
The only one I enjoy saying "no" to is Sick Kids.
Super strokey
May 17th, 2012, 09:43 PM
I always say "no" now because if I said "yes" every time I was asked then it'd be too much $$.
And it gets easier to say "no" each time you do it.
The only one I enjoy saying "no" to is Sick Kids.
? you dont give to sick kids? Or am i missing something about this?
mbg
May 17th, 2012, 10:39 PM
? you dont give to sick kids? Or am i missing something about this?
Right. I don't give to Sick Kids.
Why would anyone? It's a freaking hospital and we pay for healthcare with our taxes.
Jucius Maximus
May 17th, 2012, 11:37 PM
? you dont give to sick kids? Or am i missing something about this?
Right. I don't give to Sick Kids.
Why would anyone? It's a freaking hospital and we pay for healthcare with our taxes.
1. Don't get too worked up over mbg's posts. He's a troll. Probably Kommander_Kornflakes's account after he got banned.
2. As I understand it, Sick Kids actually is not in dire need of donations. I have a friend who worked there for many years as a nurse and she said she would never give money because the kids there already have super awesome toys and other kids stuff. Essentially they don't need the money in her view.
transitguy1
May 18th, 2012, 12:22 AM
I only donate to the food bank.
Other than that, if you want to send ur kid to camp, go make money and do it.
Alot of kids in the world do not go to camp and turn out just fine. It's life. Deal with it
pkguy
May 18th, 2012, 10:51 AM
No I don't.. I won't be guilted into giving and I think it's wrong that employees are expected to ask. If it happens at any Loblaws owned enterprise I just tell the cashier that the Weston family has enough billions of dollars that they can fund the charity all on their own and it wouldn't make a dent in the family fortune. I do however donate to organizations that have people standing out front of the store, like the sea-cadets, the Cancer Society, I drop coins into the Guide Dog for the blind at the entrance etc. that sort of thing.
akira1971
May 18th, 2012, 01:58 PM
If it happens at any Loblaws owned enterprise I just tell the cashier that the Weston family has enough billions of dollars that they can fund the charity all on their own and it wouldn't make a dent in the family fortune.
Well, considering that the Weston Foundation itself has granted over $200 MILLION over the last 10 years, I'm pretty sure they're doing their part. And that's just the annual payouts from this foundation - who knows how big the initial donation the family members made to start up the foundation - I'd conservatively guess at least $1 billion? Not at the same level as Gates or Buffett, but enough that it DID make a dent in their family fortune.
And this doesn't include the personal donations each family members make on their own every year, but if you paid attention, the family has always been known to be very generous with gifts to charities and the arts.
But thanks for embarrassing yourself in front of the cashier at Loblaws. Know the facts first.
NG
May 18th, 2012, 02:27 PM
Funny thing is I've become so Pavlovian trained to turn down any question from a cashier (credit card offer, asking for postal code etc) that even if it's a charity I'd want to donate money to I've declined and it my mind only processed it after the cash finalized the payment that I should have said yes.
I guess it doesn't matter since the only charities I support either oppose conservatives generally, support gay rights or support abortion rights and those almost never get asked at the till.
manmanny
May 18th, 2012, 02:50 PM
No problem giving $1. done it few times.
charlotte1983
May 18th, 2012, 03:07 PM
Once I was asked by a walmart cashier in the Dufferin Mall (this cashier works always on the lower level) When I polity said "no thanks". She proceeded to say loudly "oh come on, it is only 1 dollar". You should have seen the look on my face and the look of the lady behind me who heard it as well. I was blown away and definitely did not expect an answer back from a cashier. She repeated the "it is only 1 dollar" and I told her she could donate 1 dollar from her pay check in my name, since it was only 1 dollar.
Sheesh ... ha!
dcyeung
May 18th, 2012, 03:22 PM
I always say "no". It bugs the hell out of me because it's unwarranted solicitation. A lot of charities out there are scams.
IceBlueShoes
May 18th, 2012, 09:15 PM
Almost never do.
Sole exceptions being the poppy drive for Remembrance Day (those vets deserve it, especially considering the sacrifice they made) and sometimes for animals in a coin box.
I do donate to my university though.
Manatus
May 18th, 2012, 09:47 PM
I don't really care what charity it is, I just don't think it's the place of a grocery store or any other kind of store to solicit more from its customers. Nobody would like it if the Loblaws cashier had to ask you whether you would like an extra bag of potatoes for just $2, so I don't see why the stores can't understand that people don't like this either. You go into a store, decide what you want to buy, then pay for it. That's just how stores work. People don't like stores trying to get them to spend more money, whether it's on a charity, extended warranty or anything else. The street just doesn't go that way.
stuntman
May 18th, 2012, 09:57 PM
I don't really care what charity it is, I just don't think it's the place of a grocery store or any other kind of store to solicit more from its customers. Nobody would like it if the Loblaws cashier had to ask you whether you would like an extra bag of potatoes for just $2, so I don't see why the stores can't understand that people don't like this either. You go into a store, decide what you want to buy, then pay for it. That's just how stores work. People don't like stores trying to get them to spend more money, whether it's on a charity, extended warranty or anything else. The street just doesn't go that way.
ha ha.....Loblaws asks if you want the weekly special so I think they do think people would not mind about being asked to buy a $2 bag of potatoes.
I agree with you. I don't like being asked either. I give elsewhere and I don't like the fact that the stores use the donations they collect as a promotional tool.
HOWEVER if Loblaws said. Would you like to donate a dollar that will be matched with a dollar from Loblaws THEN I would not mind at all being asked. I would likely donate a dollar.
manmanny
May 18th, 2012, 10:24 PM
Almost never do.
Sole exceptions being the poppy drive for Remembrance Day (those vets deserve it, especially considering the sacrifice they made) and sometimes for animals in a coin box.
I do donate to my university though.
lol. York U has called me many times and after some bs they just ask is it $25 or more? as If I listened to their bs and agreed. I say hell no and never call again. But they keep on calling. Its almost two years they are calling for. !@#$%
13sundin
May 18th, 2012, 11:01 PM
You're kidding, right?? Running a charity is not easy - it's a whole new business unit within a business and requires a lot of resources and expertise. And if it's internal department, that means you're no longer asking employees to volunteer a couple of weekends to help out. It's a full-time job and you'll need to pay salaries and expenses. Being attached to an existing charity is more productive and efficient - the administration is already set up and the charity most likely already have some customer awareness and branding (how many RFDers in this thread have said they won't give money to charity they don't know?).
And how is it different when TRU cashier asks for $1 for the Starlight Foundation and a basketball star representing NBA Cares asks for a donation? NBA Cares is not a charity itself - it's partnered with dozens of other organizations like United Way, unicef, special olympics, Red Cross, etc. that it helps raise money for.
I never claimed that there was anything wrong with the charities themselves, non of them are 100% efficient, which is why go through another charity to do the work when you already have the capital? IE, using your example, if TRU raises 100 million dollars why give it world vision to have half of that amount swallowed up by the company? If the company wants to market their donations they would have made something that could be associated back to the company itself, this is similar marketing. Donations to these charities give out tax breaks, everyone knows this.
NBA cares has players volunteer their valuable time to go out to high schools and what not to help out the kids. They also host charity games which instead could have used to make money. A real company who wants to improve their PRs donates physical assets or anything else with monetary value, not have their employees go and ask people for the money. If they do so like your example, that money is donated by the customers of Toys R Us and not TRU itself.
MrKap
May 18th, 2012, 11:10 PM
If someone asks for a donation I won't give it. It reminds me too much of the shameless homeless people. Most people approaching me asking for money put me on guard, rather than put me into a giving mood. However, I will drop some coin to a homeless person or a charity if there is no aggressive solicitation on their behalf. There is probably an exception here or there, but generally that's how I feel about it.
I never claimed that there was anything wrong with the charities themselves, non of them are 100% efficient,
It's a huge business all the same. Maybe, they should consolidate the charities, instead of the banks?
pkguy
May 18th, 2012, 11:47 PM
Well, considering that the Weston Foundation itself has granted over $200 MILLION over the last 10 years, I'm pretty sure they're doing their part. And that's just the annual payouts from this foundation - who knows how big the initial donation the family members made to start up the foundation - I'd conservatively guess at least $1 billion? Not at the same level as Gates or Buffett, but enough that it DID make a dent in their family fortune.
And this doesn't include the personal donations each family members make on their own every year, but if you paid attention, the family has always been known to be very generous with gifts to charities and the arts.
But thanks for embarrassing yourself in front of the cashier at Loblaws. Know the facts first.
I'll try to remember your priggish comment next time. I guess we can't all be know-it-alls. But then you already know that.
DaVibe
May 19th, 2012, 04:31 PM
Not usually. I like to decide when to donate on my own time to the causes I pick. Not to mention, I usually don't trust these huge corporations with the 0.5% of donations raised will go towards the cause.
Some are better than others, so you can't say that for them all, but some are very-very bad for what they actually do with the $1 received. You just have to be careful.
sandikosh
May 20th, 2012, 07:38 AM
You're kidding, right?? Running a charity is not easy - it's a whole new business unit within a business and requires a lot of resources and expertise. And if it's internal department, that means you're no longer asking employees to volunteer a couple of weekends to help out. It's a full-time job and you'll need to pay salaries and expenses. Being attached to an existing charity is more productive and efficient - the administration is already set up and the charity most likely already have some customer awareness and branding (how many RFDers in this thread have said they won't give money to charity they don't know?).
And how is it different when TRU cashier asks for $1 for the Starlight Foundation and a basketball star representing NBA Cares asks for a donation? NBA Cares is not a charity itself - it's partnered with dozens of other organizations like United Way, unicef, special olympics, Red Cross, etc. that it helps raise money for.
Charities have gotten so big that they are no longer a "Not For Profit" organisations. There is money to be made when businesses attach themselves to charities. They see it as a way to take advantage of people's willingness to help others. By visiting these companies, purchasing a product and donating to a cause, makes them feel good.
dec12
May 20th, 2012, 09:57 AM
No, donations do not fall into revenue at any time as it is not a sale. It falls into an Accounts Payable, which is simply a balance sheet item. It's like a brother giving you $5,000 to pass along to your parents - you wouldn't declare that to Revenue Canada as earned income, would you?
As for front line staff, there's only so much information I can expect them to remember and explain to customers. Accounting practices is not one of them. I'd rather them concentrate on the actual charity itself - who it benefits, what it does, how is the the money used, etc.
Thanks for the info. I was wondering how they would treat the donation.