There's no bad reason to be philanthropic, but you should know why you are giving

Why do you and others give? Many people believe that the act of giving to charity is motivated by altruism — the belief in or practice of disinterested-and-selfless concern for the well-being of others.

Often, philanthropists think about their giving in terms of the people they donate to and, perhaps, the impact of their gifts. But this is only one side of the equation. Truly strategic, meaningful and effective philanthropy also must meet the internal goals of the donors — who need to feel that they are giving for reasons relevant to their lives.

There is no "bad" reason to be philanthropic. As advisers to philanthropists, we have learned that there are many motivations for parting with hard-earned money in pursuit of a greater good, including gratitude, compassion, religion, ego and recognition and even guilt. Here are some others:

• Healing or strengthening family bonds. Setting a "philanthropy table" helps many families work together with shared values toward common goals, improving overall family dynamics.

• Passing on values. Family philanthropy is one of the most effective ways to help rising generations understand what motivated their elders.

• Prevention of similar experiences. Sometimes, donors who have experienced misfortune or discrimination donate in order to prevent the same thing from happening to others. Examples include victims of racism, sexism or other "isms."

• Access and power. Philanthropy can provide donors with access to influential people, life experiences and opportunities to influence important institutions.

• Connection. Philanthropic activities connect people with others who share their values and help people feel part of a community. The psychological, health and longevity rewards of philanthropy are well-documented.

• Tax savings. The generous tax treatment of philanthropy often motivates people to give, or more likely give more, to charity.

In order for donors to engage in philanthropy meaningfully, it is important that they understand their reasons for doing so. Too often, the conversation with advisers begins and ends with altruism and tax planning, resulting in philanthropy that is primarily transactional rather than transformational for both the donor and the community.