Google Doc | Author: Mati Roy | Created: 2019-11-15 | Published: 2020-12-08 | Updated: 2020-12-08 | Comments: EA Forum
Related: Mati's 2019 meta-level recommendations on donating
Other use of time
Focusing on earning money might not be the best use of your time: other careers might be higher impact. Check out 80,000 Hours; they have written a lot on high-impact careers.
Use of money
When thinking about “where should I donate?”, we might think “which charity should I give to for altruistic reasons?”. But there are other ways to use money for altruistic purposes and there are other reasons to donate money.
|For altruistic reasons||For other reasons|
|Other use of money|
In this article, I want to focus on donations for altruistic reasons, but here are quick points on the other 3 sections:
In order of increasing saving requirements:
Check out Two Fun Tools from the MMM Software Department.
Using money for other reasons
Exchanging money for time
If you’re working directly on a priority issue, consider outsourcing mundane tasks to have more time/energy for your work. Contact me for help with this.
Donating money for other reasons
If at least one of those conditions is true:
In order, I recommend donating to:
Note: I actually recommend keeping the money as I might soon create a cryonics Patreon page, but I’m not sure whether I’m allowed to say this :)
I recommend reading When should you use lotteries? before donating money, especially if you’re planning to dedicate less than 25% of your life to altruistic causes.
If you haven’t spent at least a couple hundred hours reading about effective altruism at a high level, ie. moral philosophy, moral economics, comparing cause areas, etc., then I recommend saving that money to donate later as I think you will likely find ways to donate money that are many times more effective (I’m open to betting on that). Even if that means you end up spending 50% of your altruistic time budget on reading, and only 50% of earning-to-give, I still think it’s worth it.
Here are some of my reading recommendations on effective altruism. I also recommend reading about Donating now vs later (very roughly listed in order of importance).
You could save the money in your personal account or in your personal Donor-Advised Fund. The former has the advantage to be able to donate to entities other than charities. The latter has the advantage of tax-deduction, and especially of not paying tax on interests from investments. Assuming 8% interest rate, and a 25% investment tax, this would mean doing 47x instead of 18x over 50 years — over 300 years, it would mean ~10G-x instead of ~40M-x: a difference of 250x. Also check out 10 Reasons (+2) Donor-Advised Funds Are Awesome Giving Tools.
If you know people that share your values, and whom you trust their epistemology, and that has researched this question, you can ask them for / check out their recommendations. This might include looking at what prioritisation researchers recommend (ex.: Effective Altruism, Global Priorities Project, Future of Humanity Institute). But there’s part of the research that needs to be done by you to even be able to identify those people (ex.: by reading this post). Plus, it’s hard to be able to directly differentiate someone 5 steps further the deliberation ladder than you from someone 10 steps further. Note: I have ideas for systems to make that easier, and others have worked on this, but it’s a hard problem.
If you have more than 1M CAD to give away, you can receive personal guidance by the organisation Effective Giving. If you have more than 1B USD, I recommend reaching out to the Open Philanthropy Project. If you have a company and want to give part of your profit, I recommend reaching out to Founders Pledge.
For reference, here’s a list of Charity Evaluators, Funds, and more.
Founders Pledge is working on a Long-term investment fund that would give money in the future. See their case for investing to give later. I would recommend reaching out to Sjir to ask zir how money-constraint that project is. Note: I don’t know what value system the fund will espouse exactly.
Effective Altruism has a few very large donors, so it seems to me like the cause areas and organizations in which they are interested are pretty well funded. I would therefore recommend the following types of donation opportunities:
Otherwise, I would invest partly in a Donor-Advised Fund and partly in a personal account (see previous section for why).
Other places that I think are good, in order of recommendation: Effective Altruism Infrastructure Fund, Long-Term Future (X-risk in practice), The Center on Long-Term Risk’s S-risk Fund (note: the priority between the last two funds probably depends on your values). Those funds, really, are just a way to delegate the decision to people I think are in a good position to make it.
I also think prizes are underexploited. If there’s a research problem you want to help solve, and ideally that has a success condition that can easily be determined, consider creating / funding a prize. It creates an economic incentive for solving the problem, and doesn’t require donors to themselves try to figure out what approaches and teams are most likely to succeed. I would notably like to see a prize for improving certificates of impact.
See: Notes for Canadian donors
If you’re a large donor, and not in Canada, you should probably make your own research to see how you can maximize your donations per dollar donated in your country.
Tax credits and deductions
If your preferred charity isn’t tax-deductible in your country, consider trading your donation with someone in another country. See how on EA Hub’s Donation Swap page.
Cause-agnostic donation match
Look out for donation matches that are not specific to a charity. There are often some during December; notably: Facebook (see: Giving Tuesday) and PayPal.