If you're a SiMPLECENTer then you know that we've begun the year blogging about New Year's resolutions, SMART goals, IRA info, and just last week on the topic of MUSC's change bandit program.

So, with that in mind, today we can chat (well actually, it's more like I tell you stuff then you comment; I comment back and so forth) about how "giving" can have an impact on your budget. First, let me remind you that I am not a qualified tax adviser and cannot tell you whether you may deduct this item or that item on your taxes. What I am prepared to share are some tips on how to think about and organize your charitable and crisis giving.

Let's go back to a simple theory of SMART goals and see how this is applied to donations.

Stay in budget. What? No budget item for this? Then, it's a good place to start. When you make your list of expenses include space for "Giving."

Make a goal of how much cash you'd be able to give to causes this year. For instance, you may want to start out with setting aside 10% of your income. Okay, if that's too aggressive, then set an arbitrary amount like $10 a week or $520 a year. (BTW... the stuff in your garage or basement is definitely worth donating to a cause, but I'm focusing on the cash aspect right now.)

Arrange to make smaller more manageable donations through your bill payment service or payroll deduction. For instance, if you tithe to your church, or give regularly to United Way then set up a weekly or bi-weekly amount that fits your budget. By breaking the amounts into smaller, bite-sized amounts, it is easier to manage your weekly or bi-weekly cash flow without breaking the bank (pun intended). This way you're not looking for a large sum of money all at one time.

Retain your documentation in a central location. When you donate online through a secure channel be sure to save your confirmation in a centralized file folder on your computer. If it's a paper receipt, then place it in a file folder or envelope especially marked for the current tax year and keep that in a centralized place, like a drawer in the kitchen, the desk in the home office, or a shelf in the closet. Wherever you decide, be consistent and diligent in storing your receipts until you need them for tax time. 

Train yourself to stick to your goals. However, I know, I know, you're human. Okay, so if you decide to splurge for those new pair of shoes, or that new fishing pole, then please be accountable to your budget for that unplanned moment of euphoric rush and make an adjustment somewhere else in your spending patterns. Maybe it will come from spending one less night out to dinner, or you choose to stay home rather than going out to the movies; perhaps you use the excess in your paycheck this month because you worked an extra hour or so more than before. 

Be SMART about giving, which also means checking with a qualified tax adviser to be sure that what you can deduct you do. Trust me, don't take chances. Being on the radar screen of the IRS is not any taxpayer's dream.

Quick recap ...

• Stay in budget;
• Make a goal;
• Arrange small amounts;
• Retain receipts; and
• Train self control.

There you have it. 'Talk tough with Troy' Thursday just got a whole lot smarter. Don't you think?