$4.2bn to go to charity

Aussies are expected to donate $4.2 billion to charity this financial year, with an average contribution of $336 per person, according to research by Finder.com.au. On a world scale, Australia ranks ninth based on the percentage of the population who donated money in 2016, according to the CAF World Giving Index 2017. Of course, there are other ways to give, such as volunteering time or helping a stranger, and when you add these in, Australia moves up to sixth spot globally on the giving index.

There are a number of ways you can donate money. You can elect to make a one-off contribution or arrange something ongoing with your preferred charity. Keep your receipts as you should be able to claim any donations of more than $2 at tax time.

If your employer has a workplace giving scheme, you can arrange for your donation to be deducted from your pay and sent directly to your preferred charity, says the MoneySmart website. The advantage of this is that you get the tax benefit right away rather than waiting until tax time.

Another way of donating is to leave a bequest in your will, says MoneySmart, which suggests you contact the charity directly to discuss your plans.

You should always check the legitimacy of an organisation, warns MoneySmart. The Australian Charities and Not-forprofits Commission website (acnc.gov.au) shows if the charity is registered.