Gift Hub

New Philanthropists Confound Left and Right

Thoughtful, well-researched article by Howard Husok on  entrepreneurial philanthropy for, well, the deserving poor.  Rather than helping those most in need the thought is to help those who help themselves as best they can. Rather than social change as the goal, or justice, the hope is to incentivize and assist self-reliance, while recognizing that those who have been left behind deserve a fair chance. While the article tries to create a certain polemical edge by suggesting that the new philanthropy flies in the face of established liberal traditions, or "old philanthropy," good programs that work as ventures should be considered a pretty non-controversial good thing in themselves. What you are left with are the undeserving, demoralized, indigent, or handicapped poor, those from whom no venture will turn a profit. Now with sacredness of human life agreed upon by all concerned what will we do with those who are well and truly broken? Let them die in the streets as an example to the others? But what of the smell and disruption of pedestrian traffic? Have the undeserving dig their own mass graves? What?

The Coverage of Philanthropy

"So why don't we have more of an independent press that focuses on philanthropy?,"  asks philanthropybeat. 

How I Spent MLK Day

As a volunteer I met with Tracy Gary of Inspired Legacies and Jeff Grossberg of Guidestone Consulting to talk about "catalyzing billions for social change." If you think about making that happen, it seems impossible, but if you think about why it hasn't already happened, answers come to mind.  Not only do we need donors to be inspired to address the cause of community, but we also need to remove the obstacles, like fear of planning, lack of communication with financial advisors, and isolation of the donor from the communities to be served. Also, clearly lacking is the infrastructure to support legacy planning for grassroots organizations.  Across the political spectrum, there is, I think, an agreement that at the grassroots we can and should do more to help one another, including those most in need. We also require ways to help those who have the resources plan prudently for their legacy, so that their heart, family, plans, and communities of concern are in alignment.  I am so glad that Tracy Gary has taken on this immense challenge and immense opportunity, not only for the donors, and their advisors, but for our society. Martin Luther King, some of us still hold holy that dream from the Gospels as you preached them:  "Justice rolling down like water."  May we, from across the many divides,  succeed in your name and in the name of the man from Galilee to whom your life and death bore witness. 

Here Come the Wealth Consultants

Excellent article by Philip Herrara on the rise of wealth consulting, or values-based planning.  The rising wave is much larger than even this article indicates, but the article does provide an introduction to the thinking of some of the most influential practitioners. Behind that leading edge are many, perhaps several thousand, advisors who are just getting started, trained by those who were trained by others. In other words, supply may soon outstrip reasonable demand, unless this more "sensitive" and values driven methodology becomes the norm for the majority of well-heeled and well-intentioned client families (as I hope it will).

Outsourcing Planned Giving

From The Nonprofit Times. Given the high cost of planned giving, and the critical mass needed, does it make sense to outsource the work? To a third party nonprofit? Or even to a forprofit financial services firm that does values-based planning for philanthropic clients? The catch is, "Who is the client? (Donor or charity?)" And, "Whose is the client/donor? (The charity's or the third party planning firm)?" That is, will a charity that turns over key relationships to any third party be able to control or influence the outcome? Will the third party advocate for, or cultivate the donor's interest in the referring organization, or will the client be the donor, whose interests may drive the process to another philanthropic outcome, making gifts to causes other than the referring charity? Or, in the best case, will the donor's planning, facilitated by the third party, increase so much that on average the referring charity will be significantly better off? Time will tell.

A Primer for Family Philanthropy

Giving Together: A Primer for Family Philanthropy, by Amy Zell Ellworth and Ellen Remmer of The Philanthropic Inititiative.  Download tpi_giving_together_2005.pdf An excellent, practical overview from an organization that is among the very best in this field.

Serving Donor Intentions: Epigraph?

"None are so busy as the fool and knave. "

John Dryden, The Medal, 1682
English dramatist & poet (1631 - 1700)

We aim to be selfish, and from such selfishness all good things arise, as Hayek proved. No less paradoxical is altruism. We aim to be kind, but do endless harm by making others dependent on our largess, as Charles Murray has shown.  Thus, I conclude (trying out as a Think Tank Thinker) that we would all do better to lower our taxes and abandon the poor. 

The Rich Knave says, "I am a selfish bastard and a credit to the human race." The Lean and Hungry Knave, hoping to enrich himself says, "Yes sir, your selfishness is a wonderful thing, and I can prove it, Sir, to the satisfaction of the Foolish Voters, but I need a generous grant." (More here on how to invest in Hudson Institute.)

Gift Planning Resources Center

Huge treasure trove of gift planning resources listed alphabetically with hyperlinks to other sites. US, CA, and UK.

Gift Planning Consultant Directory

From Planned Giving Today,  a directory of gift planning consultants (for organizations wanting assistance in setting up major and planned gift programs).

Wiser Advisor

Matching clients and advisors. I had not heard of this service and don't know how good it is, but the concept of an online database matching potential clients with advisors has some interest. Here is Wiser Advisor's pitch and pricing for advisors.