Giving

• “Andrew Carnegie’s religious faith led him to the conclusion that such wealth should be put to use for the betterment of humanity; he subsequently gave most of his money to public libraries and other charities. He had no illusions about the effect of unearned money on children. In a letter to a friend, Carnegie said: ‘The parent who leaves his son enormous wealth generally deadens the talents and energies of the son and tempts him to lead a less useful and less worthy life than he otherwise would’” Beating the Midas Curse, by Perry L. Cochell and Rodney C. Zeeb, Page 39
• “We make a living by what we get, but we make a life by what we give.” Winston Churchill. Beating the Midas Curse, by Perry L. Cochell and Rodney C. Zeeb, Page 145
  “Earlier we cited a statistic from the Boston College of Social Welfare, which estimated that over the next four decades some forty-one trillion dollars will be transferred from one generation to the next. Paul Schervish, one of the authors of the study, estimates that as much as six trillion dollars of that transfer might be devoted to philanthropic purposes. Schervish also says there has been a fundamental shift in the motivation for giving. ‘The rich used to give money only when they were scolded into it,’ he says. ‘Now they are increasingly giving out of a sense of doing something they want to do, that meets the needs of others, that they can do better than commercial interests, government or existing philanthropy. They can express gratitude for their wealth, and their identification with others less fortunate, and that makes them happy.’” Beating the Midas Curse, by Perry L. Cochell and Rodney C. Zeeb, Page 148 -149
• It is only when a man supremely gives that he supremely finds.” (Joshua Lawrence Chamberlaine, Address to 16^th Maine, 1898)
• “The government will take from the ‘haves’ and give to the ‘have nots.’ Both have lost their freedom. Those who ‘have,’ lost their freedom to give voluntarily of their own free will and in the way they desire. Those who ‘have not lost their freedom because they did not earn what they received. They got ‘something for nothing,’ and they will neither appreciate the gift nor the giver of the gift.” Howard W. Hunter, former President and Prophet of the LDS Church.
• ”Within the journey of becoming a donor is a philanthropic curve – here is what it looks like:
  • Level One – you become a donor: A complex combination of personal and religious values, family background, business, and social pressures, ego, and heartfelt response to the world around you motivate you to become a donor. Giving becomes part of your way of life, your position in the community, your yearning to be a good person. Over time, giving becomes somewhat automatic, demands on you increase, and you are on many lists. Your gifts, with few exceptions, are distributed in small amounts to an increasing number of organizations. Sound familiar?
  • Level Two – you decide to get organized: The goal is to get control of the giving process, instead of the process controlling you. You review what you have done over the last several years, and think about what gifts have given you the most satisfaction, and what really interests you. You decide to be less reactive to requests, learn how to say no, begin to determine priorities, develop criteria, and make fewer but larger gifts.
  • Level Three – you become a learner: You realize that you don’t really know enough about the issues that interest you. You roll up your sleeves, do some research, visit your community foundation, talk to experts in the field and with other donors, make site visits to relevant organizations, and survey the literature. If you cannot do all this, you hire someone to do it. Out of that process comes a clearer focus, a clearer understanding of the issue, and the organizations you support to reflect that focus. You have now made a distinction between the gifts you must make, and your real philanthropy.
  • Level Four – you become an issue and results-oriented: You want to maximize giving, and increase the chances of making a difference. You are more concerned with results and evaluation. You look harder at the underlying issues, and the ways your available resources can be best applied. You invest in the most talented non-profit entrepreneurs. Gifts to organizations focus on building their capacity. You have become increasingly proactive and rather than simply responding to requests, you go out or have someone go out, search for and fund the best people and organizations.
  • Level Five – your philanthropy is leveraged: You develop and fund custom-designed programs that meet specific programmatic objectives. You collaborate with other donors, you establish networks that cross domains and include public-private partnerships, and collaborations with business. You attempt to create models that can be adapted, and that will attract other private and public resources. You have become increasingly competent about the issues, about what works, and about what can really make a difference.
  • Level Six – alignment: Your values, your passions, and your interests are aligned. Philanthropy is among the most exciting and satisfying things you do.” Reflections on Two Decades of the Poetry and Practice of Philanthropy by Peter Karoff. Page 7.
• “We are indebted to our parents for many things but one of the most important examples for us was that no matter how tough times got, my mother believed that we were better off than some and had an obligation to share with those less fortunate.” Remarks to The 2008 Annual Membership Meeting Society of Financial Service Professionals, Bethesda Country Club. Bill Walace, CLU®, ChFC® JUNE 13, 2008
• “We live in a world of both incredible wealth and startling poverty. There are more wealthy Americans than wealthy individuals from any other industrialized country. Thus, the moral, social, and economic responsibility of this country’s private sector to give of its excessive wealth to those in great need continues to intensify. While foundations and corporations get much of the visibility and recognition for their charitable giving benevolence, the vast majority, over 80%, of giving comes from individuals.” Remarks to The 2008 Annual Membership Meeting Society of Financial Service Professionals, Bethesda Country Club. Bill Walace, CLU®, ChFC® JUNE 13, 2008
• “The top three reasons why advisors believe their HNW clients engage in charitable giving are consistent with the top motivations reported by HNW individuals themselves, which are: being passionate about a cause, having a strong desire to give back, and having a positive impact on society and the world. After that, however, reasons provided by HNW individuals and advisors differ significantly:
  • The next three most cited reasons by HNW individuals were: to encourage charitable giving by the next generation (30%), religious or spiritual motivations (23%), and because they believe giving back is an obligation of wealth (22%). Meanwhile, advisors believed their clients’ next most popular motivations would include: reducing their tax burden (46%), religious or spiritual reasons (41%), and creating a family legacy (30%). The study found that, in fact, just 10% of HNW individuals cite reducing taxes among their motivations for giving.
  • Further evidence of a disconnect on the topic of taxes was found when advisors cited a belief that 40% of HNW individuals would reduce their giving if the estate tax were eliminated, and that 78% would do so if income tax deductions for donations were eliminated — whereas just 6% and 45% of HNW individuals, respectively, indicated that they would reduce their charitable giving if these tax policy changes occurred.”
  • THE U.S. TRUST STUDY OF THE PHILANTHROPIC CONVERSATION: Understanding advisor approaches and client expectations OCTOBER 2013 Conducted in partnership with The Philanthropic Initiative (TPI)

• “Americans, by choice, tradition, and the workings of a tax system organized to promote citizen development and responsibility, give more money to favorite causes than any other people on earth. The encouragement of giving through public policy, the very size of the nonprofit sector, the sheer scale of giving, and the sophistication of their grant-making processes continue to set American family philanthropy apart.”  NCFP, “The Value of Family in Philanthropy“
• “Our family tradition of giving began before there was any wealth at all,” said one trustee. Said another: “The Depression remained a strong influence on my parents, and they knew what it was like to give when you weren’t sure you had enough for yourself. Why would we not give out of abundance?”NCFP, “The Value of Family in Philanthropy
• “In a study sponsored by The Philanthropic Collaborative, economists Robert Shapiro and Aparna Mathur concluded:  “Each dollar that private and community foundations provided in grants and support in 2007 produced an estimated average return of $8.58 in direct, economic welfare benefits. As a result, the $42.9 billion in grants and other support provided by private and community foundations in 2007 produced some $367.9 billion in direct, social, and economic benefits.”  Robert J. Shapiro and AparnaMathur, The Social and Economic Value of Private and Community Foundations (Washington, DC: Sonecon, 2008), p. 2. Available online: http://www.philanthropycollaborative.org/FoundationStudy.pdf.
• “It was a surprise to me when I found out that not every family in the country had the same way of looking at the world, which is that if you’ve got stuff, you’re absolutely obliged to give it back, and why wouldn’t you? It wasn’t called philanthropy. It was just what my father, my role model, my uncles and aunts and cousins, who were older than me, were always engaged in. That’s where I first became aware of philanthropy.”  – Richard Rockefeller
• “Rituals around holidays are especially meaningful when they include the value of giving. This can be as simple as donating a book to the library on each family member’s birthday or delivering a turkey to a homeless shelter on Thanksgiving. Some families host an annual Christmas cookie party where everyone brings coats and warm clothing for global aid programs. Other families have created a Mother’s Day tradition of doing a good deed for someone else’s mother.”  Remmer, “Raising Children with Philanthropic Values“
• “Any family can develop its own philanthropy program and craft the activities that will encourage a generous spirit in the next generation. Philanthropy, in all its many shapes and forms, is a wonderful way for parents to share their values with their children while making a meaningful contribution in the larger world.”  Remmer, “Raising Children with Philanthropic Values“