Power of Family Foundations

• Bill Gates
• David Packard
• John D. Rockefeller
• Andrew Carnegie

Legendary names and powerful entrepreneurs. They also established successful, influential foundations that have left an indelible thumbprint on our charitable landscape. These and other family foundations represent philanthropy's fastest-growing sector and a positive national force.

What is driving this phenomenon? What motivates a wealthy individual to establish a foundation? The most compelling reason is an inherent recognition that wealth creates responsibility; in this case, social responsibility. Also, there is a growing awareness of the potentially adverse affect of excessive inherited wealth on children, grandchildren and future generations. Warren Buffet reportedly once said, when asked what he intended to leave his children, I want to leave them enough to do anything they want, but not enough to do nothing.

Therefore, in growing numbers, affluent individuals are responsibly and effectively transferring their wealth to their own charity, the family foundation.

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