The Torah in Parashat Re’eh (Debarim 15:8) commands that when there is a fellow Jew in financial straits, “Pato’ah Tiftah Ed Yadecha Lo” – we must generously “open our hands” and give him what he needs.
The highest standard of performing this Misva is to give charity indirectly. As the Sefer Ha’hinuch explains, this is done by giving money to the collector, the administrator of the fund, who distributes the money that he collects. This way, the recipient does not know the donor, and the donor does not know the recipient, thus avoiding embarrassment, unpleasantness and discomfort. Indeed, the Rambam observes (in Hilchot Matenot Aniyim 9:3) that all Jewish communities in his time that had at least ten Jews would establish a charity fund for the needy members of the community.
In discussing this Misva, the Sefer Ha’hinuch dispels the common misconception that Sedaka means only giving money to the poor. This Misva requires giving even to a wealthy person when he is in need, such as if his assets are inaccessible for whatever reason. This could be because of investments, because of an illness which prevents him from obtaining his money, or because he is far from home without cash or other means of spending his money. Whenever somebody currently needs financial help, regardless of his general financial situation, there is a Misva to assist him. Likewise, the Sefer Ha’hinuch adds, there is a Misva to give not only money, but anything that a person needs, such as a practical favor, or words of encouragement and comfort. These are also included in the Misva of Sedaka.
The Sefer Ha’hinuch writes that one who gives charity will receive great reward – “Secharo Harbeh Me’od.”
If a person in need refuses to accept charity because of his pride, one may offer him money as a loan and then never claim it. Such deception is allowed in this case for the sake of helping a needy individual.
If a person has money but does not want to spend it, and, as a result, he lacks his basic necessities, there is no Misva to give him charity. Since he has money which he could use, one is not obligated to give him money.
The Sefer Ha’hinuch writes that we have been assured that nobody will ever become poor as a result of giving charity. To the contrary, the verse in Yeshayahu (32:17) states, “Ve’haya Ma’aseh Ha’sedaka Shalom” – giving charity brings blessing and peace. Earlier in Yeshayahu (1:27), we read, “Sion Be’mishpat Tipadeh Ve’shabeha Bi’sdaka” – that our redemption will arrive, and Jerusalem will be rebuilt, in the merit of the Misva of Sedaka.
This Misva applies in all times and in all places, and is binding upon both men and women. If a person is solicited to give charity to somebody in need, or knows of somebody in need, and he refuses to give, then he transgresses this affirmative command.