Sept 2018
Legacy Matters A feature in the Globe and Mail caught my eye this summer. I printed it with the thought that perhaps it would make for an interesting topic to raise in my next Legacy Matters column. The headline alone was enough to catch my attention: How much money should you leave your kids? The article goes on to talk about how billionaires such as Warren Buffet and Bill & Melinda Gates plan to leave the majority of their respective estates to charities, while leaving a fraction of their wealth to their children. Granted, even a fraction of their estates is a sizable figure, but it still presents an intriguing idea. Buffett is often quoted from a 1986 Forbes Article on this matter, saying that he planned to leave his kids “enough money so that they would feel they could do anything, but not so much that they could do nothing.”
Viewing The Giving Pledge website reveals an array of extremely successful individuals from their 30s into their 90s – 184 individuals to date – have chosen to commit a sizeable proportion of their wealth to a wide range of charities. In effect they are setting an example which will see the transfer of more than $3.9 trillion between generations over the next decade. If you are so inclined, I would encourage you to read some of the stories these people share about why they give or plan to give away the majority of their wealth to other organizations, foundations and charities. As we are bombarded with a cacophony of atrocious news daily, it is inspiring to read some good news. Moreover, if you are motivated to consider leaving a legacy gift and Shawnigan Lake School is one of the charities you might consider supporting, I welcome the chance to discuss options with you further.
Buffett, along with the Gateses, created The Giving Pledge in 2010 to encourage more of the super rich to leave the majority of their wealth to philanthropy. The Giving Pledge is an effort to help address society’s most pressing problems by inviting the world’s wealthiest individuals and families to commit more than half of their wealth to philanthropy or charitable causes either during their lifetime or in their will.
Hilary S. Abbott Legacy Giving habbott@shawnigan.ca (250)743-6236 Hilary S. Abbott
How much money should you leave your kids?