Here’s how the super billionaires donate: Warren Buffet put $300,000 aside ten years ago, a “bet the increase”. The $300,000 increased to $1 million ten years later. So he got to take an exemption of $1 million, instead of $300,000, by donating appreciated assets he did not work for, or pay ordinary income tax of 39% for.
It is much harder for small charitable givers to do this, and making the charity wait 10 years so you can take a huge freebie of appreciated assets does not seem fair at all. Warren Buffett could afford to donate $1 million 10 years ago, instead of playing games and making the charity wait. But he is a huge game player. And made the charity wait 10 years.
Had Warren Buffet donated $1 million 10 years ago, with the stipulation that the charity got $300,000 then, and had to invest and not touch the other $700,000, the charity would, ten years later, have $7 million, not a million. Another “cheapest billionaire”!
Since October 2016, Help Holly Help has helped charities raise over $200,000.00. Wish Warren Buffett would contribute a million apiece! He wouldn’t miss it at all. And it would be a great help to those less fortunate.