More Money to Philanthropy

The pot of money going to support charitable work just got a whole lot bigger, as this story from the Wall Street Journal notes.

An excerpt.

“Billionaire Oracle Corp. founder Larry Ellison will join film director George Lucas and 38 other mega-wealthy people in following a call by Warren Buffett and Bill and Melinda Gates to pledge to give the majority of their riches to charity.

“On Wednesday, Mr. Buffett announced that 40 of America's wealthiest individuals and families, from former Citigroup Inc. leader Sandy Weill to hotel mogul Barron Hilton, have signed the "Giving Pledge."

“Mr. Buffett and Mr. Gates in June had asked the individuals and families to publicly commit to give away at least half of their wealth within their lifetimes or after their deaths.

“The pledge stemmed from a series of dinners the two men held for the nation's billionaires over the past year to discuss the effects of the recession on philanthropy.

“Rob Guth discusses the public pledge by 40 billionaires, led by Bill Gates and Warren Buffett, to give away at least half their wealth before they die.

“The push by Mr. Buffett and Mr. and Ms. Gates is publicizing what had been a private matter for many wealthy people. Many of those who joined the pledge already
had intended to give away much of their money.

“The effort comes during the second consecutive year in which philanthropy experienced its deepest decline ever recorded by the Giving USA Foundation, which has tracked annual giving since 1956.

“Donations fell 3.6% to $303.8 billion last year, down from $315 billion in 2008, according to Giving USA. In 2008, charitable giving fell 2%.

“In an interview, Mr. Buffett said that while the pledge push might produce a short-term boost in giving, the main goal is to set an example over the long term for others to get involved in philanthropy.

"The behavior of those before does affect what happens with those after, particularly if those people are somewhat admired in society," Mr. Buffett said. "If Carnegie and Rockefeller hadn't done what they'd done, there'd be less philanthropy in the United States today."

“Mr. Buffett said he and Mr. Gates in coming months will meet with wealthy individuals in China and India to talk about the pledge in the hopes of adding more names from outside the U.S.”