Feel good about your submission by donating to the Playing for Change Foundation.
- The 2020 Tesla Model 3 ranges up to 250 miles on a single charge.
- The consumer-level model goes up to 140 mph, going from 0 to 60 in 5.3 seconds.
- This charity giveaway supports the global music education initiative, Playing for Change.
Join multiple Tony and Emmy Award-winning actress Judith Light live on Big Think at 2 pm ET on Monday.
In this Big Think Live session, multiple Tony and Emmy Award-winning actress Judith Light (Transparent, Ugly Betty) and host, writer, and actor Winsome Brown will discuss the art of acting, the challenge of choosing the right roles, and why any career is made better by asking "How can I be of service?" instead of "How do I get more...?"
We wouldn't want to live without it, so how can we create art that's durable?
- You cannot kill the arts. This is particularly true when you talk about poetry, which does well in a world of social media as its easy to digest in its short form.
- Measuring success in art can be tricky, though. Impact and influence can be felt immediately, so how does art find that everlasting durability?
- Philanthropy can encourage and enable art, and as a result, potentially lengthen its lifespan. If we can find ways to measure art in its own terms, we can effectively give a platform to new voices who complete the cultural picture.
Philosopher Peter Singer broaches an uncomfortable truth about the Make-A-Wish Foundation and GoFundMe pages.
- None of us have infinite bank accounts so when we make charitable donations we have to weigh up how to do it most effectively. What is the most suffering you can reduce for the amount of money you have?
- Philosopher Peter Singer uses the Make-A-Wish Foundation as an example. It's a much loved charity for the joy it gives to dying children. Yet the cost of the average wish is $7,500—an amount that, if spent effectively, can save one, two, three, four, or more children's lives, says Peter Singer.
- "We ought to think about that before we respond emotionally to what seems like a great idea," says Singer. "If you compare saving a child's life with giving a child one great day then anybody—the child, the parents—anybody would say 'Oh, so much better to save the child's life, of course.' And you can save not just one child's life but more than one."
It's estimated that $68 trillion will pass down from Boomers to millennials. Here's how ultra-rich families can do the most amount of good with what they inherit.
- Approximately $68 trillion will pass from boomers to millennials over the next few decades in what's known as the Great Wealth Transfer.
- 90% of family wealth is gone by the time the third generation comes around, primarily due to familial conflict.
- Social capital advisor Richard Tafel suggests 4 steps families should follow so they transfer wealth in a way that does the most amount of social good.
1. Remove the secrecy, establish transparency<img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yMjgwODgzOS9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTY0MDA3NTg2MH0.GMJlICctVUrQRGWcMCCPma_0z_ZrkHhXzPLMYM6B2jw/img.jpg?width=980" id="014e3" class="rm-shortcode" data-rm-shortcode-id="cb19c5faff6d82a478f3b95dcc140997" data-rm-shortcode-name="rebelmouse-image" alt="A golden key in a door. Key with money symbol." />
Photo: Shutterstock<p>Addressing the secrecy around money in families is an important first step.</p><p>In my first job after graduating from divinity school, I served on the staff of Memorial Church at Harvard. Part of my job required me to meet some of the best-known wealthy families in America and ask their support for our annual appeal. What struck me the most at these meetings was the families' trepidation about giving money away because they were not sure how long their funds would last. They explained that there was secrecy within the family around their inherited money, which left them with a lack of clarity about their own philanthropy. </p><p>Secrecy breeds fear in these situations. HNIs often underestimate the effects of secrecy and the ability of their inheritors to see the big picture. One solution is to begin an open dialog facilitated by a dispassionate professional coach. As an outsider, a coach is in an ideal position to interview all of the stakeholders about their values, hopes, and fears, and to bring everyone together, in person, if possible. </p><p>The meeting should include a candid conversation about the extent and current status of the family's assets, as well as an honest discussion around the family's values. A trusted advisor such as a CPA, attorney or wealth manager can be helpful in providing factual information and historical background, if appropriate. </p><p>Having worked with hundreds of clients in these situations, I've discovered a pattern; we all share some pretty common values, including variations on family, love, creativity, honesty, faith, health, truth, knowledge, and economic security. Finding out individual values ahead of the family meeting can help move everyone toward an articulation of the family's values together. A question can set the stage for a productive outcome: What legacy do we as a family want to pass on? What are our family values that will guide those decisions? What tangible steps can we take to make sure our decisions reflect our values?</p><p>This is also a great time for a good facilitator to help uncover fears. Underlying wealth transfer are deep emotions. For example, the younger generation that inherits the wealth often experiences shame at not having created it. This can lead to <a href="https://hbr.org/2008/05/overcoming-imposter-syndrome" target="_blank">impostor syndrome</a>: Parents imposing their values on their children without necessarily listening to their children's thoughts and values. That, coupled with subtle threats of disinheritance, can lead to harmful results. Many inheritors fear that they'll be cut out of the family legacy if they don't go along. Inheritors sometimes share fears that they won't know how to manage the inheritance. Using an unbiased facilitator or coach can be helpful here.</p>
2. Making the legacy real<p>Using the facilitated time to discuss the family's legacy goals can have a profound social impact. Considerations include understanding the difference between charitable giving and social-impact investing; tax consequences of giving; and the pluses and minuses of various charitable vehicles.</p><p>Discuss the structures you will put in place to achieve your goal. For example: How will you identify worthwhile social ventures to donate to or invest in? Do you want to be solicited directly by prospective non-profit beneficiaries? Do you have a family foundation, or will social-impact investing be accomplished in another way? In my experience, more inheritors want to roll up their sleeves and have more of a personal impact in ways their parents did not. Writing out a well-conceived plan helps bring clarity to the family's goals and objectives. That includes deciding how much of your investment will be used to build the infrastructure needed to help the organizations that you support succeed. What budget is necessary to make the legacy dream a reality? </p><p>Having an impact means more than giving away money. It means being very strategic about how, what, and where you give.</p>
3. Selecting the Right Vehicle<img type="lazy-image" data-runner-src="https://assets.rebelmouse.io/eyJhbGciOiJIUzI1NiIsInR5cCI6IkpXVCJ9.eyJpbWFnZSI6Imh0dHBzOi8vYXNzZXRzLnJibC5tcy8yMjgwODk3Mi9vcmlnaW4uanBnIiwiZXhwaXJlc19hdCI6MTYxOTA0MzUxNH0.BvcbiwfuayaxnSyuLJyZlJoAoJ0iKpCfKOPl6BwZj3s/img.jpg?width=980" id="711c7" class="rm-shortcode" data-rm-shortcode-id="7cf86b07efbbea68282566c5593870d9" data-rm-shortcode-name="rebelmouse-image" alt="A coin or money passing between two hands. Giving a coin. Taking a coin." />
Photo: Shutterstock<p>With transparency achieved, values agreed upon, and strategy for the legacy impact determined, it is time to decide on the appropriate vehicle. It is important to consult with experienced advisors who are well-versed in philanthropy at this stage. Relying on poorly informed or strategically unprepared counsel can and most likely will cause more harm than good and can be very costly to the family legacy.</p><p>Your advisors should have deep expertise in the philanthropic arena, including social-impact investing, from both the wealth transfer and non-profit beneficiary perspectives. Far too often, well-intentioned plans are not properly executed. Errors can result in misdirected and/or depleted philanthropic resources, leaving the family legacy in disarray.</p><p>An experienced consultant should be able to quickly explain the difference between a private and a public foundation. They can help you develop and articulate your mission and align that mission with your strategy. They can assist with identifying organizations to get involved with and help determine the right ones where you should become part of the board and which ones you should volunteer at, as well as help you determine how much should be given to any one organization. </p><p>Hybrid organizations that combine charitable giving with social-impact investing often bridge the generational divide. This requires getting the proper structures built early. Families that seek to cut corners in the beginning stages are often frustrated by failed structures later. As someone who has done this work for many years, I'm often humbled working with accountants and lawyers in the field who continue to educate me on the possibilities and the power of getting it right in the beginning.</p>