Unfair taxes?

First I would like to say that I am proud to live in a country where people can hold demonstrations or rallies to have their voices heard even if it is differing from my opinion.
Two days ago, tax day, there were rallies across the country for people who believe they are being unfairly taxed.  This is interesting considering our current tax systems have been been benefitting the rich, not the poor who need it most, but I digress.  

Now, I am certainly not rich, but I can sympathize with the notion of not wishing to have more money taken out of my paycheck or given to the goverment when I file my taxes.  That being said, if five more dollars a paycheck could save programs that help vulnerable children or get one more homeless person off the street then I am for it.  I think we all should do our part to help the community around us, hence why I am such an advocate for volunteering.  Sure, people could just donate money to important causes or volunteer to help these causes and we may not need higher tax rates, but most people generally do not volunteer or donate money to help out the local community.

I don't think of myself as a socialist, rather I want to help out those who are less fortunate than myself.  If the increase in taxes go to save a persons job, again why is this such a bad thing?  Those are my thoughts, but I always like to hear others.

Related Posts: Casting About: Your MA State Ballot,  Presidential Election, Registering to Vote, and the Questions, Handgun bans and Dogs

Picture Courtesy of:  http://www.nj.com/news/index.ssf/2009/04/antitax_teaparties_rallies_hel.html

*This increase in taxes may not go to help these municipal services, but that is why I also think it is important to have your voices heard and talk to your local representatives about your opinions or attend rallies to peacefully demonstrat your views.  

If I Had a Million Dollars

I have had that Barenaked Ladies tune stuck in my head all week thanks to Casey's post. It inspired me to write another blog post about what would you do if you did receive $1,000,000.00 dollars. Would you go out and buy yourself a new wardrobe? Would you buy a house? Would you do some globetrotting?

Have that image in your head, good. NOW imagine all the possibilities you could do if you donated all or even a portion of that money.

We have already learned what $150 dollars does for Boys & Girls Club of Boston, but what about other monetary amounts? The average amount of rent for a 1 bedroom in Boston is $1,400. What if you were to donate that amount to help house kids with cancer and their families? That's less than 1% of the $1 millon you have [theoretically] just received.

The average cost of school supplies for children in the beginning of the school year is $55 -$76 (depending on the age of the child). By those numbers you could buy 125 children school supplies for the entire year for less than $10,000! Think about what a difference that would make for children who are emotionally and behaviorally challenged.

Oprah is challenging people to do relatively the same thing, asking you what would you do if you if you were given $100,000 dollars and had to give it all away.

If you were to give all your newly received money away that would be AMAZING. But even if you were to give away a portion of it, you would still be doing copiousness amounts of good for the community around you. It's always good to share what you have received with those that are less fortunate.

I haven't ever come into a million dollars (but still crossing my fingers), but I have found various dollar bills on the ground when I am around town. I usually give it to a homeless person, or donate it to a cause when I see a donation jar.

I am not trying to sound altruistic, but just trying to prove that it doesn't always take huge donations to make a big difference in the community around you.

So I ask: If you just received $1 Million dollars,

WWYD? (What Would You Donate)?

Photo courtesy of loc.gov

Take Action

I was reading the news on my way into Boston this morning when I happened to read this story. The part that struck me was that a passenger was able to take the wheel over from the bus driver after the bus driver was impaired with some certain illness. According to a witness, a sharp turn had to be made, and the witness was unsure of how the passenger was able to make the turn. Not too many people will take action when they see a dangerous situation in front of them. This passenger did take action and now we have a happy end to this story.

This news article reminds me of what happens when people don't take action: The Kitty Genovese case. For those who aren't familiar with the story because it happened before they were born or didn't study it in college (thank you Psychology Degree), Kittty Genovese was murdered in Queens, NY, on March 13, 1964. After she was attacked she screamed out loud to try and scare off the attacker. Lights went on and windows opened from nearby apartments. One person even yelled at the attacker to "Let that girl alone!" This scared off the attacker momentairly.

Kitty was able to drag herself to her apartment buiding where the attacker returned 15 minutes later and stabbed her fatally. It was 15 minutes after the fatal stabing that police first received a phone call, 30 minutes after her first scream.

If someone called the police right after the first scream, the whole story could have had an entire different ending. Some say people didn't call because they were being selfish, they didn't want the attaker to turn on them. While others argue they thought some one else would call and they felt less obligated to do so, otherwise known as the bystander effect. Only the people who heard her screams could really know the answer behind their decision.

I was really blown away by this case when I read it in undergrad and it still makes me wonder what will happen if I am in a situation where I depend on the help of a stranger. Would I be ignored by a bystander? I would like to say that I would have called the police if I heard Kitty scream, but I wasn't there, and this was not to be my call to action.

Perhaps this is why I enjoy being a part of OYFP, because I am taking action in the community around me. Either way, the story today about the passenger on the bus in reminds us all, to step up and take action when we see another person in need of help. Will you?

Get On Their Feet

Web-based microfinancing helps poor entrepreneurs Get On Their Feet.

Kiva, which means “unity” in Swahili, a web-based non-profit incorporated in November 2005, lets anyone lend money directly to a specific needy person in a developing country.

Recipients of a Kiva Loan are referred to as "entrepreneurs" or "borrowers", contributors to a Kiva Loan are referred to as "Kiva Lenders". The key word here is: Loan. The loan allows the entrepreneur to boost themselves out of poverty. Lenders can loan as little as $25. Lenders also receive updates and get repaid when the business succeeds. Loan terms range from 4 months to 18 months. Currently, at repayment lenders receive no interest on their loan, this might change in the future. Astonishingly, the repayment success rate is 99.86%. This means that only 0.14% of all entrepreneurs default on their loan. Take a moment to let that success rate sink in. I will tell you how they are so effective in a second.

Funds. According Kiva’s website, since inception and as of January 30, 2008, Kiva has distributed $20,999,835 in loans from 239,127 lenders. A total of 31,864 entrepreneurs have been funded. The average loan size is $568.19.

How it works. The loan success rate is so high because every entrepreneur is interviewed and screened by a Kiva “Field Partner.” Kiva currently has 78 partners in 40 different countries. A partner can be a volunteer, an aid worker or anyone from an established community service institution. After the entrepreneur is interviewed and approved, the Field Partner posts a profile of the qualified entrepreneur on the Kiva website. Lenders browse and choose the entrepreneur they want to fund. Kiva then forwards the funds to the Field Partner who gives the money to the entrepreneur. The Field Partner also collects loan repayment funds and forwards the money upstream to the original lender. Often, when the original lender receives funds they re-contribute to another needy entrepreneur.

Matt Flannery, the founder of Kiva, says: "philanthropy of this kind can become addictive, especially as lenders know they will see their money again. By choosing a business on Kiva.org, you can "sponsor a business" and help the world's working poor make great strides towards economic independence.”

Accountability Found.

After a recent call to wallets by the American Red Cross (donation ask here, story here) I wondered, where does my money go? Is my donation being used effectively?

I’m not the only one asking these questions. In 2007, Holden Karnofsky and Elie Hassenfeld, both in their late 20’s, discouraged by the lack of transparency in charitable giving founded GiveWell. GiveWell studies charities, evaluates them publicly, ranks them on their effectiveness, and provides grants to those they believe are doing the best jobs.

Mr. Karnofsky and Mr. Hassenfeld are former hedge fund analysts who are familiar with asking tough questions. Their research for GiveWell found that many of the charities they contacted were unable to provide reliable, neutral evidence that their programs actually worked. Surprisingly, Mr. Karnofsky and Mr. Hassenfeld have encountered some resistance while asking these tough questions.

In the age of information and with the clear lack of accountability in today’s markets, it’s amazing that the need for GiveWell hasn’t been heralded as the next big thing in the non-profit sector. Increasing accountability and transparency will increase donor confidence which will ultimately increase donor participation. You can read more about GiveWell on their website or blog.

I’ve personally reached out to Mr. Karnofsky and Mr. Hassenfeld and hope they comment back. Heck, I’ve even invited them to the salsa event on Wednesday, February 13th.

photo_credit_Judith Pszenica for The New York Times