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Giving with Purpose: Benefit While Helping Others
- August 19, 2026
This article requires an average reading time of 2 minutes 9 seconds.
Charitable giving in Singapore can create a dual benefit — meaningful social impact and more efficient tax planning. But at its heart, it must be driven by compassion.
Charitable giving is often described as an act of kindness, but in Singapore, it can also be a thoughtful part of personal financial planning. When we give to causes we believe in, we are not only helping people and communities in need; we may also reduce our taxable income through Singapore’s tax deduction scheme for qualifying donations.
For donations made to approved Institutions of a Public Character (IPCs), donors can enjoy a tax deduction of 250% of the qualifying donation amount. In simple terms, a S$1,000 qualifying donation can reduce taxable income by S$2,500. The actual tax savings depend on the donor’s marginal tax rate. If you belong to a tax bracket of 15%, you immediately save $375; at the highest personal tax bracket of 24%, you save $600 with a $1,000 donation that attracts 250% tax deduction. Raise this amount to $10,000 and you will possibly save $6,000. The principle is clear: giving can create a dual benefit — meaningful social impact and more efficient tax planning.
This does not mean we should give only for tax reasons. The heart of charity is still compassion: supporting children, families, youths, patients, caregivers, and vulnerable individuals who may be facing difficult circumstances. “Give and it shall be given unto you”. The tax deduction simply makes giving more sustainable. It encourages donors to think ahead, budget intentionally, and include generosity as part of their annual financial plan.
There are many charities with a variety of social causes that you can donate to. There are three charities I would like to highlight for consideration:
- Gladiolus Place — a residential home supporting vulnerable teenage girls who may have experienced abuse, neglect, trauma, or difficult family situations. Their work focuses on care, healing, renewal, and restoration. Donation link: Gladiolus Place.
- Promisedland Community Services — a charity serving cancer patients, people with blood-related illnesses, needy families, children, and youths. Through programmes such as Lifeblood Centre and Living A Promise, it provides practical support, care, and opportunities for beneficiaries. Donation link: Promisedland Community Services.
- Club Rainbow (Singapore) — an independent charity supporting and empowering children with chronic illnesses and their families through social work, therapy, education, arts, vocational development, and other assistance schemes. This charity has a special place in my heart as I had initiated a 1,000km charity run for it back in 2012 called Run4TheirLivesSingapore Donation link: Club Rainbow (Singapore).
Before donating, you can check whether the charity and the specific donation are tax-deductible, and to provide the required identification details such as NRIC/FIN/UEN if you wish the deduction to be automatically reflected in your tax assessment. Donors should also remember that tax savings are not a refund of the donation amount; rather, the donation reduces taxable income, which may lower tax payable depending on one’s tax bracket.
Ultimately, charitable giving allows us to do more than save tax. It reminds us that financial planning is not only about accumulating wealth, but also about directing wealth towards what matters. When giving is planned well, it becomes both a responsible financial decision and a meaningful expression of care for the community. Ultimately, it is more blessed to give than to receive.
Yours,
The author of this article, Mr Sean Ong is a Certified Life Coach, a Master Practitioner in Neuro-Linguistic Programming and a Chartered Financial Consultant who has been featured on the local TV and radio, having begun his career in the finance industry since year 2002. In his efforts to contribute to the society, Sean ran 1,000 km over 87 days to successfully raise more than $13,000 for a children charity in year 2012. He also published a book subsequently where sales proceeds were donated to charity. Sean completed his Masters of Science Degree in Technopreneurship & Innovation in year 2020 and was honoured in the Director’s List for academic excellence. He has keen interests in InsurTech projects and mental wellness initiatives for the youths. Above all, Sean counts knowing Jesus Christ as the most significant event of his life. He is currently a financial adviser representative (OMC100059775) in a leading financial advisory firm licensed by Monetary Authority of Singapore and can be contacted at seanong@insuranceguru.com.sg
