Everyone gets solicited for charitable donations but professional athletes and entertainers get asked far more often and for far more than a quick donation; their ‘presence’ is requested as much as their ‘presents’. You hear: ‘All we’re looking for is…’, ‘If you could just…’ and ‘It would mean the world if you could…’. You’re asked for everything from an autograph to an autographed stick to a day-long commitment at a golf tournament or whole night of entertaining. It’s a lot and it can be a lot of added pressure if it’s not managed appropriately.

This is not to say that these requests should be declined, and most of us already understand the importance of giving back to the community, but many athletes and entertainers have questions about how to be efficient with their time and money.

Having objectives set in advance of these requests can make it easier to be more effective with time, projects, engagements and taxes. This last point is important because of the high taxes you already face. Charitable tax credits are part of our tax system in order to create financial incentives for people to help charities. In turn, the work charities do often relieves a burden from government so they can afford to tax us less. For the system to work properly though, the donors should be taking advantage of the tax incentives.

While we recommend clients incorporate for income derived from advertising and endorsements, charitable gifts should always be made personally, since individuals get a full charitable tax credit while corporations only get a tax deduction. For those with more focused charitable objectives, creating their own charitable organization may provide the right tax benefits and the right structure to deal with requests, while also creating a way to compensate family members for taking on some of the work, to help take some of the pressure off you.