You want to donate money to Ukraine for Christmas? Why this expert advises against escalating the dispute over the public transport fare system: the federal government accuses the canton of Zurich

Advent is also a time of mercy. In no month is so much donated as in December. Swiss aid organizations received more than two billion Swiss francs in 2021. Most of the money comes from private households. The aid organizations know this too: begging letters are currently piling up in the mailboxes.

Finding the right organization is not that easy. But with these seven tips you can be sure to get the most out of your money.

take your time

Many people spontaneously decide on their donation. Usually when they let themselves be convinced by an NGO on the street. Or they take the most famous organization that comes to mind.

That is good. But with a little research, you can certainly do more good with the money donated. You must first ask yourself what is actually important to you. Health issues? Animals? Development aid? climate protection?

If you are already overwhelmed by this question, you should follow the science.

rely on science

Yes, there is now a whole movement dedicated to good giving. Effectively called altruism, it was coined in the early 2000s by philosophers, economists, and mathematicians.

Sebastian Schwiecker is one of these effective altruists. A few years ago, the graduate economist founded the portal “effektiv-spender.org”. The name is program. Schwiecker regrets that people donate relatively thoughtlessly: “When you buy a new phone or go on vacation, you read test reports and watch videos. When it comes to donations, many do not.”

There is a huge gap when it comes to donations. “You can help up to 100 times more people with the same money,” says Schwiecker.

Science provides proof of this. For example, there is the Center on Long-Term Risk, which conducts research into the major long-term threats to our species and our ecosystem. Similarly, the “Global Priorities Institute” uses data analysis to figure out which global grievances should be prioritized.

On its website, Schwiecker joins the research results of “GiveWell” – an organization that examines which aid organizations save or improve the most lives per franc. Schwiecker recommends that people who want to maximize their impact with their donation should invest in the following areas:

Think global – focus on developing countries

If you want to help as many people as possible with your money, look beyond national borders. “A lot of people have to tighten their belts here. But the poorest in the world are hit even harder,” says gift expert Schwiecker.

Humanity’s greatest problems are also those that do not receive proper public attention. “Hundreds of thousands of children still die from malaria every year.” There are cheap and effective measures against this: mosquito nets and prophylactic medication.

Low-threshold measures in particular often have the greatest effect. The best example is the “Deworm The World” initiative. It was founded by three Nobel laureates in economics. Through them, children in developing countries spend 50 times more time at school than through many other aid measures.

Anyone looking for a similarly effective NGO with Swiss participation can take a look at “New Incentives”. The organization is committed to improving access to vaccines for babies. The Swiss Patrick Stadler is co-founder of the project.

Administration costs and (Zewo) quality mark are not that important

Well-known selection criteria for the right organization are the administration costs and the quality mark. These provide important information, but say little about effectiveness.

The administrative costs of an aid organization provide insight into what percentage of the donation income is spent on its own administration – instead of on the aid projects. But organizations with high administrative burdens can be much more effective with targeted measures.

The situation is similar to the quality mark: in Switzerland, Zewo certifies aid organizations that you can trust. This can be useful as a first piece of information. However, the seal is overrated, says Sebastian Schwiecker. “Organizations like Zewo don’t do a bad job. But they answer the wrong questions.” Schwiecker compares it to the MfK test: “You check whether the car is allowed on the road. Not if it is the best car.”

Sponsorship is not a good idea

A particularly ineffective way of donating is child sponsorship. “At best it’s a misnomer, at worst it’s a very ineffective or even counterproductive form of development aid,” says Schwiecker.

There are many reasons for that. So sponsorship would not combat the causes of poverty, would isolate and arouse jealousy of the supported children, would destroy family and social structures and would also be very expensive.

Organizations like World Vision, on the other hand, would operate under false labels, as they do not offer individual help at all, but “project work in the environment of the godchild”, as stated in the fine print.

How much should you donate?

Once you have found an organization or a project, the question arises what the amount of the donation is.

There is no general answer to this. There is, however, sufficient guidance: one could, for example, look at Swiss development aid. In 2021, for example, Switzerland spent about 0.5 percent of its gross national income on development aid. Another possibility is to use the church tax as a guideline.

Effective altruists like Schwiecker donate 10 percent of their income. “If you get involved, I believe this is possible for most people in our latitudes.” Even middle-income earners in Central Europe were among the richest five percent in the world. “In all challenges: we complain at a high level.”

Schwiecker therefore recommends thinking about the last time you lived on 10 percent less. “Then you have to ask yourself: was it a very difficult time or was my life not good enough then?”

Bonus: Why You Probably Shouldn’t Donate to Ukraine

Many will probably consider donating money to Ukraine this year. There’s nothing wrong with that. On the contrary. Here you will find an overview of possible aid organizations.

Still, donation expert Schwiecker points out that there are better options: “I am grateful to everyone who donates to Ukraine. But thanks to media coverage, a large part of global donations are already going to Ukraine.”

This means that areas that receive little attention and are already underfunded are now receiving even less. “But that also means that every franc now does even more,” says Schwiecker.

Moreover, it is extremely complicated to provide meaningful assistance in active war zones. “There is a great risk that the money will fall into the wrong hands.” Because the most important resource for effective altruists is missing: data.