In Juneau, Alaska, it is not illegal to pan handle. It is illegal, however, to pressure someone or to impede their passing or to be aggessive in some way. This is a small town (30000) and there is a homeless shelter two blocks from me on a busy street. I give or don't give on an individual basis. When I'm walking my dog I usually don't have any money on me- and I tell them that. When I'm by myself I may give them a dollar or two. I too - as noted by someone else above - keep loose money in a pocket instead of a wallet or purse. This way, not only do they not have any idea of how much or whether I have money on my person, they can be pretty sure that I keep spare money ready to give away.

Incidentally some of the homeless here have a saying that I like. It is poignant to me- as one man told me one time: When you are homeless, Death is a constant presence. Often when I part from a homeless person, they say "Be safe." I tell them the same.

As for people buying booze instead of food with the money I give them, I figure that's not my concern. I have enough bad habits of my own without worrying about those engaged in by others.