EZ Office Products

6 Benefits of Giving Back to the Community

Experience these economic and emotional benefits when you give back to those in need.

The holiday season is a time of celebration and reflection as we express gratitude for the gifts in our lives. Giving back to the community is an admirable way to share the magic of the season with our neighbors in need. If your company is considering a charitable giving effort in the upcoming year, there are numerous emotional and economic benefits of giving to the community. Here are just a few: There are many benefits of giving back, including enhancing your company’s brand image.

  1. It’s the right thing to do
  2. Strengthen the community
  3. Enhances your brand image
  4. Qualifies as a tax deduction
  5. Attracts and retains team members
  6. Helps you earn new business

Read more about these benefits of giving back below.

It’s the right thing to do 

Arguably the most noticeable benefit of giving back to the community is that it often makes you feel good about making a difference. Think about how you felt after donating time or resources to an organization or cause you care about. Did it lift your spirits? Researchers refer to this feeling as the “helper’s high.” When we give to charities and people in need, scientists believe that it helps produce feel-good endorphins in the brain and activates regions associated with pleasure, social connection, and trust. Giving back may also play a role in decreasing stress levels, which can help improve physical health and longevity, and stave off disease. Now that you’re feeling good about helping those in need, let’s review some of the business benefits your company can enjoy.

Strengthens the community

While corporate giving can benefit you and your company, it can have an even more significant impact on our community. When we come together to support local organizations in need, the Madison economy grows stronger as more dollars and resources funnel back into initiatives that help the environment, families, and businesses right here at home.

Enhances your brand image

When your company gives back, the chances are good that Madisonians will take notice. Your charitable efforts can play a crucial role in forming – or shifting – perceptions that help paint your company in a positive light. Whether you join us in sponsoring local events like the Brat Fest or promoting literacy awareness in schools, it’s essential to find a cause that aligns with your business goals. Then, roll up your sleeves and dive in! By showing up to support the community throughout the year, you’re likely to earn a brand image that can distinguish you from competitors, attract new customers and growth opportunities, and help build resiliency.

Qualifies as a tax deduction

Giving back to the community also has economic incentives for your company, including tax deductions. To take an itemized deduction, be sure to give to a qualified charitable organization. They must be U.S. entities that are tax-exempt 501(c)(3) or fall under Section 170 (c) of the Internal Revenue Code (IRC). Tax deductions are available for contributions to organizations including the American Red Cross, Boys and Girls Clubs of America, some veterans’ groups, educational organizations, medical research organizations, private foundations, and many others. You can search for an organization’s tax-exempt status on the IRS website to ensure they meet the requirement. Keep in mind that there are limits on how much you can deduct, deadlines for claiming the deduction, and other fine print associated with this benefit, so be sure to check with your company’s accountant or tax advisor for guidance.

Attracts and retains team members Attracting and retaining employees is one of the financial benefits of giving back.

Companies that choose to be philanthropic often have higher employee retention rates, and research backs up this argument. Studies have shown that a whopping 67% of people would rather work for a company that supports social initiatives as compared to one that doesn’t. Even more surprising, 50% of millennials said they would voluntarily take a pay cut just to take a position that matches their values. By giving back to the community, your company can help attract and retain top talent, which can give you a competitive edge.

Helps you earn new business

While consumers may think they make more logical than emotional purchasing decisions, studies suggest this is not true. Well-documented brain imaging studies show that consumers use their personal feelings and experiences to evaluate a brand instead of relying on information like features and facts. Researchers have also concluded that positive emotions about a brand influence consumer loyalty far more than logistics and brand attributes.

These studies conclude that if consumers see you giving back to the community, they’re more likely to purchase your products or services. Macy's is a national brand that exemplifies this theory. Every holiday season, they launch a ‘Believe’ campaign where they contribute $1 to the Make-A-Wish Foundation for every letter to Santa they receive. With a strong emotional connection to its audience, Macy’s maintains its position as a top holiday shopping destination.

These are just a few of many benefits to giving back. If your company is ready to make a difference for Madison, read our articles on the ways to give back to the community and 20 organizations we’ve supported that also need your help. It’s our honor and duty to support charitable causes that heal, feed, protect, preserve, teach, and empower – and we hope you join us in this mission.

If you’re not yet an EZ Office Products customer, call our local customer concierge to discuss how we can help your Wisconsin-based business thrive at (608) 310-4300 today.