This study is crucial to see the reality of some philanthropic institutions that use religion to carry out their activities. There is many cases misused public funds, how the Prophet carried out philanthropic activities is important to review. This study uses a qualitative method, namely qualitative research using text as study material. The data source for this study is primary data from philanthropic institutions and hadith which discuss philanthropy and secondary the statements from scholars and experts on philanthropic activities. The data collection method was carried out by gathering information about philanthropic institutions in Indonesia and hadiths that relate to philanthropy. Data processing was carried out by elaborating with a multidisciplinary approach through linguistic, psychological, hadith science, and Syariah approaches. The findings of this study indicate that the collection and management of funds, philanthropic activities today are different from philanthropic activities during the Prophet’s times and companions. Philanthropy is an activity that has a parallel goal with Islamic law. Then needs to be emphasized that many philanthropic institutions actively collect donations from society must have a legal basis and be supervised by a competent supervisory agency.