Diwali giving: Make charity part of your financial plan, but watch out for these red flags

1. What is giving?

Giving isn’t just about donating money. You can give money, time, skills, belongings or attention to someone who needs them.

*Donate part of your pocket money.

*Give books, clothes or toys you no longer use.


*Volunteer at an animal shelter or community organisation.

*Teach someone a skill you are good at.

*Volunteer at an animal shelter or community organisation.

*Help a younger student with homework.

2. Where to start

*Schools often organise books, toys, stationery or clothes donation drives.

*Pass on things you no longer use that are in good condition.

*Look closer to home too. The children of your household help, the security guard or other support staff may need books or school supplies.

*Or choose a cause close to your heart. Give your time or raise money for it regularly.

3. Make giving part of your money plan

Whenever you receive pocket money or cash gifts, think of your money in four buckets:

Spend: Buy something you enjoy.

Save: Keep some aside for a future goal.

Invest: Help your savings grow over time.

Give: Share a small part with someone else.

You don’t have to give every time. But giving occasionally can build a lifelong habit of sharing.

4. Giving with dignity

How you give matters just as much as what you give. A thoughtful giver:

*Helps without making someone feel embarrassed.

*Doesn’t show off or publicise every donation.

*Respects the privacy of the person receiving help.

5. Red flags: give wisely

Be careful when you give.

*Don’t give because someone is pressuring you.

*Ask a parent or trusted adult before donating online.

*Never share your OTP, PIN or password.

6. Paperwork

*For small donations, you may get a receipt or acknowledgement.

*If your family makes larger donations to registered charities, some may qualify for tax benefits.

*Your parents can check the charity’s registration and the documents needed.

7. Money challenge: festive giving

This festive season, perform one act of giving. Choose one:

*Donate a book or toy you no longer use.

*Contribute a small part of your festive gift or pocket money.

*Buy notebooks or stationery for someone who needs them.

*Spend an hour helping a younger child study. Thoughtful charity is more valuable than ‘giving the most’.

8. Did you know?

Giving has been part of Indian festivals for centuries.

Diwali: daan (giving) and feeding people

Eid: Zakat (charity for those in need) and Sadaqah (voluntary giving)

Gurpurab: seva (selfless service) and langar (a free community meal)

Christmas: giving and sharing

The traditions differ, but the idea is the same: celebrations are also a time to share what we have.

Content courtesy Centre for Investment Education and Learning (CIEL, FinX). Contributions by Arti Bhargava, Labdhi Mehta & Namita Bankawat.