Firm Hope

Supplemental Nutrition Assistance Program (SNAP)

By Firm Hope

SNAP helps put food on the table for some 18 million people per month . It provides low-income households with electronic benefits they can use like cash at most grocery stores. SNAP is the cornerstone of the Federal food assistance programs, and provides crucial support to needy households and to those making the transition from welfare to work.

The U.S. Department of Agriculture administers SNAP at the Federal level through its Food and Nutrition Service (FNS). State agencies administer the program at State and local levels, including determination of eligibility and allotments, and distribution of benefits.

Households must meet eligibility requirements and provide information – and verification — about their household circumstances. U.S. citizens and some aliens who are admitted for permanent residency may qualify. The welfare reform act of 1996 ended eligibility for many legal immigrants, though Congress later restored benefits to many children and elderly immigrants, as well as some specific groups. The welfare reform act also placed time limits on benefits for unemployed, able-bodied, childless adults.

Local SNAP offices can provide information about eligibility, and USDA operates a toll-free number (800-221-5689) for people to receive information about SNAP. Most states also have a toll free information/hotline number.

To participate in SNAP:

Households may have no more than $2,000 in countable resources, such as a bank account ($3,000 if at least one person in the household is age 60 or older, or is disabled). Certain resources are not counted, such as a home and lot. Special rules are used to determine the resource value of vehicles owned by household members.
The gross monthly income of most households must be 130 percent or less of the Federal poverty guidelines ($1,907 per month for a family of three in most places, effective Oct. 1, 2008 through Sept. 30, 2009). Gross income includes all cash payments to the household, with a few exceptions specified in the law or the program regulations.
Net monthly income must be 100 percent or less of Federal poverty guidelines ($1,467 per month for a household of three in most places, effective Oct. 1, 2008 through Sept. 30, 2009). Net income is figured by adding all of a household’s gross income, and then taking a number of approved deductions for child care, some shelter costs and other expenses. Households with an elderly or disabled member are subject only to the net income test.
Most able-bodied adult applicants must meet certain work requirements.
All household members must provide a Social Security number or apply for one.

Federal poverty guidelines are established by the Office of Management and Budget, and are updated annually by the Department of Health and Human Services.

Get all the details and apply for help by going here.

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Debt Strategy: What do you pay off first?

By Firm Hope

Paying down your debt can be a great tool to help you stay on track financially, especially when the economy slows. But how do you know which debts you should tackle first? Where do you put your extra money each month so that it will make the most difference? Below we’ve provided a few tips to help you prioritize your debt pay-off strategy.

Priority #1: High-interest-rates

No matter if you have a little or a lot of debt, you’d probably rather spend your money on something besides huge interest fees every month. That’s why most financial experts agree: face those balances with the highest annual percentage rate (APR) first. This tactic can save you money in both the short- and long-term.

The strategy is simple: Pinpoint one high-interest account until it’s paid off, then move onto the debt with the next-highest interest rate. And repeat.

Priority #2: Small balances

Removing a bill or two from the monthly pile can free up at least a few more dollars a month fairly quickly. So if you have several balances that are small, consider paying those off at the same time you are paying down the high-interest-rate accounts.1 Taking care of those easy-to-address, lower balances can give you additional encouragement because you’ll see results right away.

Priority #3: Secured debts

Secured debts are those that are backed by some sort of asset, such as your home or automobile. Unsecured debts, such as credit cards, are not tied to any asset as a basis for the loan. Secured debts tend to be for larger sums of money than unsecured debts, meaning you likely will be paying interest on these types of loans for a longer period of time than smaller, unsecured debt amounts.

That’s why making extra payments on a secured debt like your mortgage has the potential to really work in your favor. By making additional principal payments, you may be able to pay off your loan faster — shaving years off your loan term — and helping you save hundreds or even thousands of dollars on interest payments down the road. Plus, if you pay off your mortgage early, that gives you more money by the end to invest in things like retirement or other savings accounts.

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You CAN get out of debt!

By Firm Hope

If you’re like most Americans, you have debt. If you’re like many Americans, you try not to think about just how much debt you have and what it’s really costing you. If you did think about it, you might not sleep well.

But ignorance never was bliss, and in order to get out from under the burden of debt, you need to face the uncomfortable (and perhaps downright ugly) truth: it may take you 30 years to pay off that credit card balance.

How can this be, you ask? You may have balances totaling less than $5000. Surely this will be paid off in no more than a couple of years. The credit card company wouldn’t let you take so long to repay them, would it?

The answer is: yes, it would. In fact, if you took 30 years to pay off your balance, you would be the ideal customer.

It’s important to understand that the credit card companies don’t allow you to pay back your debt in small amounts out of the kindness of their hearts. This is how they make their money. Paying the minimum payment (usually around 2% of your balance) each month, guarantees that you will be filling the credit card company’s cash coffers with your hard-earned money for many years to come.

You should be absolutely unwilling to pay only the minimum balance on your credit cards each month. If you can’t afford to pay more than the minimum balance, you can’t afford whatever it was you charged to the card in the first place.

Your payments include both interest and principal (the amount you borrowed). When you pay only the minimum payment, most of it goes towards interest, which is why it takes so long to pay off the original debt. You wouldn’t pay $7,000 for an item that is clearly marked with a $2,000 price tag, would you? Yet that is exactly what you’re doing when you buy it using a credit card with an 18% interest rate and then only pay the minimum balance each month. No wonder you feel like you just can’t get ahead!

If you need to buy on credit, at least do it with your eyes wide open. If you’re already in debt, use these tips to get out and get ahead:

Don’t get any deeper into debt. Save the credit card with the most favorable terms and cut the rest up. Put the one you saved in a safe place (not in your wallet) and use it only for emergencies (not to include a big sale at Macy’s!)
Pay more than the minimum balance. Much more.
Shop around for cards with low interest rates, but beware of come-ons that offer a low introductory rate and then take a big jump. The Internet makes choosing a credit card easy, but be sure to read ALL the fine print.
Move balances on cards with high interest rates to cards with lower interest rates.
Use your savings to pay down debt. It makes no sense to earn 1 to 3% interest on your savings account while paying 12 or 15 or 18% interest on credit cards.
Come up with a written plan for reducing your debt systematically.
Add up all the money you spend each month on credit card payments, and think about what you could do with this money if you weren’t paying it to the credit card company.

One of the best methods of systematically paying off your debts is what I refer to as the Credit Crunch. List your debts, including the balance and the interest rate for each one. Each month, pay the minimum balance on all credit cards except the one with the highest interest rate. Pay as much as you possibly can on this card each month until it is paid off. Then start paying as much as you possibly can on the card with the next highest rate, while continuing to pay the minimum balance on the others. Keep doing this until they’re all paid off. This is the only time you should ever pay the minimum balance on any card.

SOURCE: About.com

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L.D.S. Church Helps People Help Themselves During Tough Economic Times

By Firm Hope

Americans are struggling with stagnant wages, rising debts and increased expenses during these tough economic times. What happens when a corporate executive loses a job or a family simply can’t make ends meet to put food on the table? What about the refugee who needs to learn English to get a job or the homeless man who wants to get off the streets before winter sets in?

The Church of Jesus Christ of Latter-day Saints’ extensive welfare program is a system unlike any other because it provides temporary relief while at the same time helping people help themselves. The fine-tuned program has been in operation for decades and is run almost entirely by volunteer labor. Although it was primarily established for members of the Church, the program also assists others who are struggling.

Based on the principle of self-reliance, the Church welfare system includes canneries, farms and factories throughout the United States that provide food and commodities for those in need.

In addition, thousands find jobs annually through its employment centers and on-the-job training at Deseret Industries stores. Thousands more add to their own home food storage to prepare for a rainy day.

Charlene Cummings from Leonardtown, Maryland, learned firsthand how the Church welfare system can change lives. Charlene dealt with abuse as a child and struggles with a diagnosed mental illness, but she recently moved from a supervised living group to her own apartment. Charlene credits much of her newly discovered ability to function independently to the watchful care she receives from her friends at church.

In Charlene’s situation, local members of the Church taught her financial management skills, including budgeting and savings. Because she’s diabetic, members assisted Charlene with menu planning, shopping and other areas involved in managing her illness. When times were really challenging in her life, the Church provided both financial and food assistance to help Charlene bridge the gaps in her personal income. “The Church has become the family I’ve never had; they’ve taught me things I’d never learned,” Charlene explained.

Mormons are counseled, as a part of Church practice, to develop such independence and self-reliance.

“We teach self-reliance as a principle of life, that we ought to provide for ourselves and take care of our own needs,” suggested late Church leader Gordon B. Hinckley. “And so we encourage our people to have something, to plan ahead, keep a little food on hand, to establish a savings account, if possible, against a rainy day. Catastrophes come to people sometimes when least expected: unemployment, sickness, and things of this kind. The individual, as we teach, ought to do for himself all that he can do for himself.”

Another aspect of these teachings is the need to stock basic foodstuffs in case of any type of emergency. The Church operates over a hundred regionally located storehouses and home storage centers to help members gather their food storage. Other plants process specific food items, such as the peanut butter plant in Houston, Texas.

In addition, many Mormons grow and can some of their own food supplies. Paula Henderson of Raleigh, North Carolina, cultivates an urban garden of about 625 square feet in her yard. From the harvest of fruits and vegetables her garden produces, Paula makes pesto and pickles, cans or dries tomatoes and roasts peppers. “Last fall, after the freeze,” Henderson explained, “I gathered all the green tomatoes, put them in the garage and used them as they ripened all winter. I didn’t buy any tomatoes until March.”

Paula’s experience illustrates one of the practical concepts of the welfare plan: utilize all available resources many ways, adopting a lifestyle of economy or provident living.

The concepts of provident living and caring for the less fortunate have been primary objectives of the Church from the very beginning. Based on the Christian principles taught in the scriptures, Church founder Joseph Smith reached out to immigrants, widows and orphans, providing them with sustenance in their stretched circumstances. Brigham Young, another early Church leader, established a Perpetual Emigration Fund to assist newly converted Mormons in their travels to the Utah territory. The fund, repaid to the Church when the recipients were financially able, circulated to help other traveling families.

Such hand-to-hand concern for others continued during the settling of the frontier lands, but gained additional attention during the Great Depression years of the 1930s. Strained financial situations, unemployment and overall discouragement led Church leaders to implement a more formal application of the self-reliance concepts.

In 1936, then-Church President Heber J. Grant announced “that the gospel plan not only takes care of our spiritual needs, but our temporal needs as well. Our primary purpose is to set up a system … under which the curse of idleness will be done away with, the evils of the dole abolished, and independence, thrift and self-respect be once more established amongst our people. The aim of the Church is to help people help themselves.” A system of work projects and storehouses was then set up that bridged the unemployment gaps of the time and provided for the immediate needs of Church families.

Such a system endures today, a two-way system where one helps another in need and they both benefit. “If you build self-reliance in people,” noted Dennis Lifferth, managing director of the Church’s welfare program, “everybody grows; it is the essence of the welfare plan. Lives can be changed by personal interest and attention.”

SOURCE: LDS.org

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Mothers find help at North Porch

By Firm Hope

North Porch Women and Infant Centers might best be described as a special kind of emergency room. The waiting area is full of comfortable couches and chairs, and in the storage room the shelves are stocked with baby supplies.

The “patients,” mothers who have got to the end of the week or month and have no money for diapers or baby food for their infants and toddlers, get immediate help. Since 1984, North Porch has provided the emergency assistance to thousands.

It seems fitting that an emergency center for mothers and children was founded by women. Ten years ago, a group of Episcopal women began looking around for ways to help the poor here.

When they decided to establish a drop-in center, the Episcopal Diocese provided space in the form of several storage rooms on the lower floor of Cathedral House, its administrative headquarters. The founders, some of them with their husbands in tow, spent hours making the room habitable.

After the cleaning and painting were finished, they brought used furniture from their own homes and toys for a children’s play area. From the beginning, North Porch’s board aimed for a “homey” atmosphere. The upholstered furniture is worn but comfortable, and the floor is carpeted.

“We didn’t want this place to have a gypsy look,” said Marie Obermann, who is the current board president and one of North Porch’s founders. Only by Referral

Because of limits on financing and supplies, the original board decided that the center’s emergency packages would be distributed on a referral basis only. To spread the word about the new venture, the founders held an open house for the social service workers who would be making those referrals.

Clients began arriving almost immediately. Florence Bustamante, past president of North Porch’s board, said that instead of the teen-age mothers the volunteers had expected, most were in their 20’s. Many brought their infants and older children to the center.

North Porch has had a paid manager since the beginning. For the last seven years, Oleeta Randleman has held the job. Ms. Randleman has a special empathy for her clients. “I sat in that chair once,” she said, pointing to the client’s chair beside her desk.

While the majority of the clients are mothers, grandmothers also visit North Porch, often to get supplies for the grandchildren they are raising alone. Ms. Randleman noted that occasionally even a father will come through the doors. She remembered one father who arrived on a bicycle. “I’ll take anything I can carry on my bike,” Ms. Randleman said he told her.

Sometimes caseworkers from the Division of Youth and Family Services visit the center to take away supplies for newborns who have been left abandoned in Newark hospitals. The North Porch newborn package, which sometimes includes a complete layette, accompanies the infant to a foster home where he or she will spend the first few months of life.

“As far as I know, we are unique,” Mrs. Obermann said.

When the center was first opened, the demand for food and diapers was so great that North Porch almost became a victim of its own success. At the end of each month, and especially in summer, supplies will be completely exhausted. Rather than turning people away, the board instituted a monthly quota system for referrals.

Now, North Porch operates at maximum capacity, serving 50 full-service clients a month, each of whom receives a package containing diapers, baby food and formula. An additional 10 to 15 people receive only diapers. A Limit on Help

The center is open Tuesday through Thursday afternoons, and the flow of visitors varies. Sometimes, Ms. Randleman and the volunteer on duty have the space to themselves. On other days, the main waiting area teems with mothers and children who arrive early, fearing that supplies will be gone before the end of the afternoon.

In keeping with the center’s role as an emergency provider, clients are limited to one package a child per year.

The packages do not come cheap. Though most of the baby clothes and layette items are donated, baby food, formula and diapers must be purchased. The center saves money by buying formula in bulk.

Baby food is purchased at stores in Paterson, where North Porch has established a successful satellite operation in cooperation with the food bank at St. Paul’s Episcopal Church. St. Paul’s buyers get better prices from stores, Mrs. Bustamante said, and the Newark center reaps the benefits.

If money is in short supply at the center, so are volunteers. Over the years, the original corps of volunteers has been diminished, and new ones have not replaced them.

Part of the problem, Mrs. Obermann said, is that many suburbanites do not like to drive into Newark. Volunteers willing to make the trip find that parking is difficult and costly. To rectify the situation, the center’s board is offering to pay for parking for its volunteer workers. Determined to Survive

Though the center suffers from problems common to all nonprofit social service organizations, North Porch’s board is determined to make it survive and flourish. There is some chance that Cathedral House will eventually be sold, Mrs. Obermann said, putting North Porch in the same homeless condition as some of its clients. Whatever happens, the volunteers are committed to staying in Newark, preferably in the same neighborhood.

The women who direct North Porch are also hoping to establish more satellite branches. The three-year-old Paterson branch provides packages for approximately 70 clients a month, and because of its affiliation with St. Paul’s Church it does not have the parent organization’s restriction of one package a child per year.

Mrs. Obermann said the board would like to set up a North Porch outpost in Jersey City and possibly another in Dover. “Of course,” she added, “what we would like most of all is not to be needed.”

It is clear that North Porch will be needed for the foreseeable future, and to stabilize the center’s finances, the board is preparing to begin a drive to establish an endowment. This effort was aided by the recent receipt of a small bequest.

Though the center’s anniversary was in February, its board and volunteers have yet to celebrate. The singularity of North Porch is apparent in the fact that the accomplishment of getting through 10 years is less important to those involved than the accomplishment of helping mothers get through the last 10 days of each month.

More information on North Porch

SOURCE: New York Times

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Beginners Guide to Budgeting

By Firm Hope

Budgeting isn’t a punishment for not being born wealthy. It’s an avenue to know where your money goes and help you reach your financial goals, whether it’s a new home, a comfortable retirement or just making it to your next paycheck. You simply can’t spend more than you make, at least not for long.

What’s going out?
The first step is figuring out where your money goes right now. Use an online worksheet or a plain old notebook to keep track of your spending for a few weeks. Go through your checkbook and credit card statements. Add up the amounts, and you’ll have a good idea about your spending habits.

A few things to consider:

Common budget categories include housing (rent or mortgage, homeowner dues), recurring bills (cable, utilities, insurance and credit card minimums), food and entertainment.

Let your categories fit your life. You might have expenses for school-related items (tuition and books), pet care or travel. If your hobby is your passion, make it a category.

Account for big expenses that occur once or twice a year, such as car insurance.

Consider making your vehicle its own category. Payments are only the start.

What’s coming in?
When your expenses are tallied, go through your pay stubs and calculate your average monthly income. Don’t forget to include interest income, dividends, bonuses and alimony.

Once you know how much you earn and how much you actually spend, decide where and how much you want to spend. Divide by 12, and voilà – you’ve got a monthly budget. Adjust as necessary until your monthly budget equals your monthly income.

Some things to keep in mind:

Figure out which of your expenses are wants and which are needs. Actual needs are fairly limited: food, shelter, clothing. Nearly everything else is a want, but even the way we fulfill our needs involves choice.

Try “The 60% Solution.” Essential spending comes out of the first 60% of your income. The rest includes retirement, emergencies, debt repayment, fun money, etc.

Prioritize. Fund your retirement first, no matter what. Put enough in your 401(k) to grab the employer match. Then start tackling your debts.

Don’t forget an emergency fund. This will go a long way to keeping you out of debt should the unexpected happen — and it will. If you don’t have funds now, use your income-tax refund or set up a regular electronic transfer from checking to savings.

Take a little off the edges
Once you’re on your way, keep track — at first weekly, then monthly — of where you’re going off budget and adjust your allocations.

Food, for instance, often goes unchallenged. You might wince at the checkout counter, but you do have to eat. Still, there are ways to cut the food budget without sacrificing quality or quantity.

Many stores reduce their products based on a 12-week cycle, so notice when something goes on sale, but don’t buy until it hits the rock-bottom price.

Keep a notebook for a while so you get to know the rock-bottom prices on items that you frequently purchase. Keep track of which products are cheaper store by store.

Food isn’t the only place for savings. Here are some other ideas for keeping your budget on track:

Bookmark deal-finding Web sites and check them before making any purchase online or any big purchase offline. Check sites such as MyBargainBuddy.com, AbleShoppers and Dealnews for online bargains and coupons

Review your habits. Do you need the full-on cable package or caller ID? Do you pay full price at a convenience store for items you could buy for less on your weekly grocery shopping trips?

Some people fritter away cash; others use a debit card as if it had unlimited credit. Whichever you might be, consider converting. A debit card devotee is more likely to think twice about spending cash, especially if you leave your ATM card at home.

If things still aren’t adding up, look at whether you need to adjust your allocations or change your spending habits.

Building the budget habit
Successful budgeting takes time and persistence, so don’t be discouraged if you don’t hit your monthly goals at first. Here are some ideas to make it easier:

Write it down. If you don’t, you probably won’t stick to it.

When good fortune comes your way in the form of an “extra” paycheck or a bonus, pay an annual premium, make an additional mortgage payment or use it for seasonal extras, such as summer vacation costs or Christmas presents.

If you can’t spend less, earn more.

Get into the habit of thinking ahead. If you know your situation is going to change — a new baby, new winter clothes, a new job — plan for it and try to pay cash.

Remember, budgeting is the means, not the end. Keep spending “mistakes” in perspective.

As your income climbs, don’t splurge until you’re sure you’re staying ahead of inflation. A good budget grows with you, so it’s worth re-evaluating your budget every year.

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Tips for an Effective Job Search

By Firm Hope

Whether you are entering the workforce for the first time, returning to the job market, or seeking advancement, the challenges of a job search are similar. Your goal is to find the position that best meets your needs. You must be qualified and able to sell yourself as the best applicant for the job(s) for which you apply. Here are some tips that can help you in meeting your job search goal.

Know Who You Are
Have a strong sense of who you are. Know your assets and how to market them to employers.

Committed to Lifelong Change
Follow job trends. Take the initiative to maintain cutting edge skills that match changing employer requirements.

Be Computer Literate
Increasing your technical computer skills increases your marketability in the job market. Conduct online job searches. Visit employer Web pages and key job sites such as those listed on our Additional Help and Resources page.

Update Your Resume Often
Customize your resume to reflect the assets you bring to each job. Use key words that can be electronically scanned by potential employers to positions you want. Reflect continuous employment in your skill area. Summer employment should support your field of interest. Volunteer or obtain temporary jobs if you are unemployed. Select a resume format that minimizes any gaps in employment.

Be Your Best
Locating a job is a full time endeavor. Give full attention to all that you do. Errors will knock you out of the running.

Be Organized
Have a written personal plan for vertical and lateral growth opportunities. Know what you must do each day to move closer to your goal. Stay focused.

Expand Your Network
Maintain and continuously strive to broaden your network. If you are working, network inside the company. Join professional groups.

Research Job Trends and Companies
Select targets of opportunity that match your skill areas. Request and study annual reports of select companies. Reflect each company s image in all communications with each company s representatives. Make good use of library resources. Read trade journals and business publications.

Have a Positive Attitude
A pleasant personality is a necessary asset. Your eagerness to adapt and to be a team player is essential. Show that you are flexible. A sense of humor and positive attitude are pluses.

Disclose a Disability Only as Needed
The only reason to disclose a disability is if you require an accommodation for an interview or to perform the essential functions of a particular job. Your resume and cover letter should focus on the abilities you bring to the job, not on your disability.

Be Prepared to Conduct an Effective Interview
Look your best from head to toe. Dress conservatively. Be brief and to the point when answering interview questions. Maintain a demeanor of success and reflect the company image when you respond. Have full confidence in what you bring to the employer and show how your skills meet the company’s specific hiring needs. Ask thoughtful questions about the job and the company. NEVER say anything negative. Follow up immediately with a thank you letter or e-mail transmission.

Remember, push yourself to go the extra mile in your job search and you will find the opportunity you are seeking.

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Tax Benefits for Donating to a Charity

By Firm Hope

The following is a brief summary of certain federal income tax laws for informational purposes only. We suggest you consult with your tax adviser for the federal, state, and local tax consequences of a charitable contribution.

A gift to a charity may entitle you to a charitable contribution deduction against your income tax if you itemize deductions.
If the gifts are deductible, the actual cost of the donation is reduced by your tax savings. For example, if you are in the 33% tax bracket, the actual cost of a $100 donation is only $67 ($100 less the $33 tax savings). As your income tax bracket increases, the real cost of your charitable gift decreases, making contributions more attractive for those in higher brackets. The actual cost to a person in the lowest bracket, 15%, for a $100 contribution is $85. For a person in the highest bracket, 35%, the actual cost is only $65. Not only can the wealthy afford to give more, but they receive a larger reward for giving.
A contribution to charity is deductible in the year in which it is paid.
Putting the check in the mail to the charity constitutes payment. A contribution made on a credit card is deductible in the year it is charged to your credit card, even if payment to the credit card company is made in a later year.
How to qualify for a charitable contribution deduction.
You can deduct contributions only if they are made to or for the use of a qualified recipient. No charitable contribution deduction is allowed for gifts to certain other kinds of organizations, even if those organizations are exempt from income tax. Contributions to foreign governments, foreign charities, and certain private foundations similarly are not deductible.
There are limits to how much you can deduct, but they’re very high.
For most people, the limits on charitable contributions don’t apply. Only if you contribute more than 20% of your adjusted gross income to charity is it necessary to be concerned about donation limits. If the contribution is made to a public charity, the deduction is limited to 50% of your contribution base. For example, if you have an adjusted gross income of $100,000, your deduction limit for that year is $50,000. The rules on 20% limits and 30% limits are way too complicated to delve into in this space. If you are giving to organizations other than those mentioned above, first consult with your tax adviser to determine whether these other ceilings will apply. If you give an amount in excess of the applicable limitation to charity in one year, the excess is carried over for the next five years.
Rules exist for non-cash donations.
If you contribute property owned for more than one year, the value of the deduction is normally equal to the property’s fair market value. You have an advantage when you contribute appreciated property because you get a deduction for the full fair market value of the property. You are not taxed on any of the appreciation, so, in effect, you receive a deduction for an amount that you never reported as income. You should clearly contribute, rather than throw out, old clothes, furniture and equipment that you no longer use. However, bear in mind the condition of your donated goods. The IRS only permits deductions for donations of clothing and household items that are in “good condition or better.”
Remember to document.
No deduction is allowed for a separate contribution of $250 or more unless you have a written confirmation. A canceled check alone is not enough. Starting in 2007, the IRS requires written documentation to substantiate deductions for all monetary donations - including cash. In case of an audit, you must have a canceled check, credit card statement or a written acknowledgment showing their name, the date of the donation and the amount given. You will no longer be able to deduct those few dollars you dropped in a charity’s collection bucket without a receipt from the charity to back up your claim.