The Giving Pledge

On May 5, 2009, two of the wealthiest men on the planet convened a secret meeting over dinner in New York City. It’s every conspiracy theorists dream come true.

Hosted by Bill Gates and Warren Buffet, the attendance list was said to include George Soros, David Rockefeller, Michael Bloomberg, Ted Turner, Oprah Winfrey, Eli Broad and many others with lesser public profiles but equal amounts of wealth. What all the guests had in common, besides the vast fortunes they had accumulated and the incredible power they each wielded, is that each of them is also known as one of America’s great philanthropists.

Gates and Buffet said that the meeting had no particular agenda other than to see if there was some commonality of thinking which might lead these philanthropic giants to work together. The outcome of that dinner was quintessentially American. There was no agreement to address a communal cause or a collective course of action to follow. They didn’t want to tell people what to do with their money, but they wanted people to do something. They imagined the amount of good that could be generated in the world if each of us would give back more in our own way.

The challenge as they saw it was that if billionaires weren’t willing to give back, how could they possibly ask anyone with far less means to do so. As a result, these wealthy people took it upon themselves to make a commitment to give away the vast majority of their fortune, and to make that generosity public. Their hope is that the rest of us may be inspired to be generous as well.

And thus began perhaps the most unprecedented commitment to philanthropy in the history of the world. It’s known as The Giving Pledge.

The official statement from this informal group reads, “While the Giving Pledge is specifically focused on billionaires, the idea takes its inspiration from efforts in the past and at present that encourage and recognize givers of all financial means and backgrounds. We are inspired by the example set by millions of Americans who give generously (and often at great personal sacrifice) to make the world a better place.”

Thus far, 57 of America’s billionaires have taken The Giving Pledge and promised to give away the majority of their wealth to philanthropic causes during their lifetime or through their estate plans. The Giving Pledge isn’t about telling a person where to give their money. Rather, it’s a simple commitment that when you’re gone and you no longer need your wealth, the majority of it will be given away for the betterment of the world. Each individual who has taken The Giving Pledge is asked to write a letter to the public explaining their motivations for giving in hopes that it will resonate and motivate others to give back as well.

“More than 99 percent of my wealth will go to philanthropy during my lifetime or at death,” writes Warren Buffet. “Measured by dollars, this commitment is large. In a comparative sense, though, many individuals give more to others every day.”

Buffet continues, “I’ve worked in an economy that rewards someone who saves the lives of others on a battlefield with a medal, rewards a great teacher with thank you notes from parents, but rewards those who can detect the mispricing of securities with sums reaching into the billions. In short, fate’s distribution of long straws is wildly capricious.”

When Tom Monaghan sold Domino’s Pizza, the Detroit Free Press headline announced that Monaghan’s plan was to “die broke.” Monaghan took The Giving Pledge and writes in his letter, “I would not be living out my faith if I did not use the abundant resources God has given me to help others.”

Larry Ellison, founder of Oracle, took the uncomfortable step of making his pledge public because he hopes others will follow his path. “Many years ago, I put virtually all of my assets into a trust with the intent of giving away at least 95 percent of my wealth to charitable causes,” writes Ellison. “Until now, I have done this giving quietly – because I have long believed that charitable giving is a personal and private matter. So why am I going public now? Warren Buffet personally asked me to write this letter because he said I would be ‘setting an example’ and ‘influencing others’ to give. I hope he’s right.”

In Door County, the “Wealth in Wisconsin” study conducted in 2005 estimated that more than $2 billion would transfer from one generation of Door County residents to the next during the first 20 years of this century. Imagine if each of us took our own personal giving pledge, promising to include a gift to our favorite charity or cause in our own estate plans.

Pam and Pierre Omidyar, the founders of eBay, put it best when they took The Giving Pledge: “Truthfully, it’s not up to the small minority of those with money to spare; lasting change requires all of us working together.”

Make your own personal giving pledge and remember to give back today and through your estate plans. Collectively, we can have a tremendous impact on this wonderful place we are blessed to call home.

Bret Bicoy is President & CEO of the Door County Community Foundation. In 2008, he and his wife Cari returned to Wisconsin to raise their six children in the community they love. Contact him at [email protected].