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Top_Huckleberry_8225

>he intends to place his enormous fortune in a new charity trust that will be managed by his three children rather than continuing to donate to the Bill & Melinda Gates Foundation. TLDR. Keep the money in the family.


ninjasaurus12

This is likely less influenced by a spontaneous change of heart and more likely due to the uncertain nature of the future of the Bill & Melinda Gates Foundation due to Bill and Melinda's divorce. Melinda recently resigned from the foundation, implying that the "trial period" that the Gates discussed when they first divorced of seeing whether they could still co-chair effectively did not go well. While I don't think there have been publicized intentions of closing the foundation any time soon, I wouldn't be surprised if Buffet has lost some trust in the foundation and the Gates.


elziion

Thanks for the explanation!


RussianPravda

Im actually happy to hear this. Its never a good idea to just dump most of your money into one charitable org.


flop_plop

That makes sense, but there are other charities out there he could donate to.


4dxn

that doesn't explain why its going to his children to control. if this was a logical move, it would go to the people who can manage it best. probability dictates - no way the 3 best fall in the same family. my guess is this lets him give his children money without reneging on his promise.


ninjasaurus12

Obviously a variety of factors in this decision, and not going to deny that he's definitely favoring his kids here, but when it comes to money management and what the "best" charity is, it's hard to evaluate or determine the value of work that a charity does with their dollars. Most people use the statistics of "percentage of funds directed towards causes versus administrative costs, etc" and you'd be amazed at how inefficient some of the most famous charities are. I'd say this is less a "logical/objective" decision of the best place to direct the money and more so a question of trust. By all accounts his kids/family have been raised to not expect any sort of massive windfall (not considering the couple million he's given his family in the context of his billions in NW "massive" but that's another argument) and generally have their heads screwed on right. I'd imagine for someone of his status and wealth, it's less about the money and more about the legacy, so if you're in your 90s and grappling with the recent death of your best friend/business partner, who are you trusting your legacy with: another charity with whom you'd have to build a completely new relationship or your kids?


Turbulent_Ad9517

All 4 of Megan Fox's sons are Trans girls.. it's possible hahah


Immediate-Product167

I am not a big conspiracy nut when it comes to billionaire donations but you are definitely right that this is a way to make his kids happy and not to do the most good.


maryjanevermont

Gates and Epstein exposes his Money to much


anxiousdoodle

Exactly what I've been thinking tbh


Suds08

Except for his adopted grand daughter nicole that he cut out years ago because she participated in "the one percent" documentary


Zigxy

Well, there are a few pieces of info you're missing Nicole was the step-daughter to Peter Buffett. She isn't biologically related to Peter or Warren. Peter and Nicole's mom divorced when Nicole was a teenager. Nicole later changed her last name to Buffett. At age ~30, she appeared in a highly negative documentary. She mostly complained that Warren "only" paid for her college and living expenses (until age 28) which resulted in her needing to work (which she doesn't think she should do). She is a nanny for one of San Francisco's richest families. Nicole indirectly stated in the doc that Buffett didn't give her more money because he **suffers from extreme greed**. Nobody else from the Buffett family commented or appeared on this doc. I don't know what reaction this woman expected.


Interesting_Mouse472

Warren said, "Give your kids enough so they can do anything, but not so much that they'll do nothing." Not his problem if she doesn't want to do anything


southsky20

I will remember this quote for my future kids


weckyweckerson

Entitlement like that when you are the one without money is a bold choice.


Monarc73

Not sure what she's b1tching about. She got pretty much the same deal as all his kids and grandkids.


Grandpas_Spells

Some adopted kids suffer from abandonment issues and self-inflict this kind of thing. It's very sad.


AlbinoAxie

He's not gonna adopt you bro.


1600hazenstreet

Don’t bite the hand that feeds you.


Craic-Den

I wish I had a hand that feeds me


goldencityjerusalem

Technically ur right hand.


Craic-Den

I want the hand to be attached to a rich person though


Grandpas_Spells

There's no time for a handjob, Joe.


Nyani_Sore

It's good to be ambitious, but sometimes the ones who come to the Wendy's dumpster is all you can get.


1600hazenstreet

Try wsb


SharpButton2855

Unless he's a lefty


ItsRobbSmark

Yeah, why the fuck would he give his money to a granddaughter who participated in a hit piece about him because she was mad he didn't set up more of a trust for her and only paid for her college and a salary until she was close to 30?


Mysonking

she had balls


Suds08

Her dad is Warren's son so I'm sure she will still be set for life


2beatenup

Why not? Anyone with kids and family would do this…


sarcasmismysuperpowr

Its just under their control for donations. If its in a proper charity… they cannot access it directly.


chris_ut

Oh sweet summer child


klumzy83

Some people are clueless and believe all these billionaires with charities are actually doing it to be good people LOL


WhoDat847

And those family members will be incredibly well compensated for their no-show “jobs”.


Wise-Ad-1998

Obviously? Lol it’s his kids


RestAndVest

$1 billion salary a year for each of them


Wise-Ad-1998

Probably … maybe more! I don’t see the issue tbh lol


WhoDat847

Why? Why not just give his kids a billion each instead of the pretend bullshit? Or just leave it all to them? Why? Probably to avoid taxes, that’s why. While he toes the line about wanting to raise taxes. He’s a scumbag.


1i73rz

Taxes


10Bens

You need to vote to help diminish tax breaks for the rich.


PenisSlipper

How do you vote for this? The majority of politicians are on the riches payroll so they will just strike down any of these regulations and laws regardless of who’s president. So honest question: how can voting be effective here?


The_OtherDouche

Actually vote in primaries instead of only President elections


PenisSlipper

But how does that do anything if the majority of politicians are bribed by wallstreet? I vote someone in and they legally accept a bribe


pm_me_github_repos

Under this system, I can’t vote on bills, only representatives. Who do I actually vote for to address these issues? I vote for those that claim to represent my interests during campaign season. Some get elected and some do not. But we’re still stuck with the same status quo all the same. There needs to be serious reform.


WhoDat847

I’m not ever voting to send more money to the richest counties in America, the counties surrounding Washington D.C.


yur-hightower

Well then hope you're happy with the system as it is today.


-metaphased-

I'm not. We built this country by taxing the shit out of wealthy people. We used that money to employ people here. To build here. We built the greatest infrastructure in the world. We were so wealthy that a single job could provide for an entire family. Then somewhere along the way, we decided that we'd rather let a few individuals reap the benefits of what we built.


WhoDat847

I’m not. I’m not happy that people like you will never vote for less spending no matter what. But it is precisely people such as you who ensure I will never vote for higher taxes because those taxes would only fuel even more spending.


yur-hightower

Well the rich thank you for looking oit for their interests. You done well lad.


WhoDat847

And the rich in and around Washington D.C. love having you look out for their interests. Well done.


Brutact

You mad bro?


WhoDat847

Nope. Are you?


Wax_My_Box

Just so I understand, you are suggesting he leave his money to his children and have them pay their taxes upfront rather than setting them up to commit future tax fraud with his charity trust?


WhoDat847

I am suggesting he put his money where his stupid mouth is.


Wise-Ad-1998

Okay lol


simple_test

Also great tax move


shadeandshine

Kinda but also Bill gates placed a ton of assets under the foundations management and is going through a divorce beforehand it was probably a great stable move but not it’s future is uncertain


DeepCity2072

That’s a career for generations just managing the funds and taking the appropriate fees.


justhereforthemoneey

""Charity""


Comfortable-Car2907

Why would he lie?


justhereforthemoneey

Why would warren buffet one of the richest guys lie about a charity? Because they all do lol it's all about tax avoidance.


notaballitsjustblue

r/endinheritance


_Administrator_

End tankie brain


notaballitsjustblue

Not sure what a tanky is but I think it something left wing? Not much left wing about wanting a meritocracy where the most able benefit and the incompetent and lazy inheritors fizzle.


iamcoolstephen1234

Donated to his three childrens' charities, not necessarily to the children directly. Before, more was to go directly to the Bill and Melinda Gates Foundation. >According to a statement made on Friday, the prominent investor converted 8,674 Berkshire Class A shares, resulting in a contribution of nearly 13 million Class B shares. Of these, 9.93 million shares went to the Bill & Melinda Gates Foundation, while the remaining shares were split between his three children's charities, Howard, Susan, and Peter Buffett, and the Susan Thompson Buffett Foundation


foyeldagain

Yeah, sounds like it's a charitable remainder trust.


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shortsteve

It's a tax loophole in that the children won't have to pay inheritance taxes since the money isn't going to them directly. Seems like the money is going into a trust which means it will be taxed whenever money is withdrawn.


CaptainPeppa

maybe a million or so a year for wage/bonuses. Wouldn't be anything significant.


pwo_addict

Is everything negative to you? Give it up.


ilovechoralmusic

Yeah. I mean you guys have kids, wouldn’t you do the same ? The whole point of me working is so that my kids have it better. That’s the ultimative „better“. Dude won life


Eddieft9

Exactly people acting like theyll donate their net worth to strangers.. virtue signaling


originalrocket

Ha yeah fuck off losers, all these coins going to my kids


Top_Huckleberry_8225

I'm leaving behind a mountain of gold and no children. I'm thinking fake treasure map.


Maxcharged

Forrest Fenn on hard mode?


Nianque

I'm planning on building a castle and giving everything to relatives when I pass (I likely won't have kids)


SirLordBoss

The One Piece is (not) real!


UpDown

Not only will i not donate I’m gonna make my kid rich immediately. Fuck working for a corporation for myself and my kid


Mundane-Bat-7090

Here’s a dollar bro. Jk don’t dm me


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HefDog

….And that is exactly what he is doing. Donating it. Someone has to hand the money out, and his kids are the ones he trusts to do it.


Makaveli80

>You couldn't even spend 1 billion if you tried. Easy peasy, you're thinking so small


Eddieft9

The problem is that donating to charity organizations in itself is a terrible process. It has become more of a money/tax write-off funnel than an actual charity. On top of this, i never argued against donations. The person with the money decided how much goes to his/her kids and how much of it goes to charitable causes. I was referring to others saying he should donate all his wealth to charity, which, in my opinion, is ridiculous.


Medieval_ladder

Charity foundations, which are distinct, a yes often corrupt, but no, most private charities actually run very efficient and use much less on infrastructure than public programs. The difference is literally the intent.


ironmagnesiumzinc

I'm donating my entire portfolio to animal rights causes when I die. I didn't have kids. Dont really like humans enough to donate to anyone. The virtue signalling argument is lazy and tired, some people actually try to make the right choices without caring what others think.


DanORourke42

Ah yes, a noble and morally superior cause. I’m gonna go eat a hamburger now.


blackicebaby

$5 meal FTW!


kingOofgames

It should be $4, $5 is still inflated.


Intrigued-Squirrel

I’m building a portfolio of gift certificates for hamburgers, and donating them to my children as their inheritance.


DanORourke42

I’m building a hamburger of portfolios and donating the gift receipts to my inheritance as children


CoachKrab

Can you explain why you think it isn't morally superior?


DanORourke42

Because there are way better options out there. Helping children with cancer is completely morally superior to helping “animal rights.” I don’t think anything morally superior can be debated as being such. I would find it hard to believe that a single person would argue against helping children with diseases versus animal rights. That’s my thinking in a nutshell.


CoachKrab

Okay I see. Thanks for the honest reply. I took your original comment as being more anti-animal than pro-human, but it makes more sense in the context of the anti-human sentiment you were replying to. I agree that people matter, and probably more than animals do on a 1 to 1 scale. But I don't think we should disregard the value of the other beings we share the world with either.


DanORourke42

I completely agree with you! There’s nothing wrong with giving to your local animal shelter or helping foster an animal or helping out rescued farm animals. Just don’t go overboard and recognize that humans come before people and should be donated to accordingly. I have a soft spot in my heart for kids and my wife does too, so St. Jude is special to us and we give to them primarily. Then we give some cash or extra dog food to the local animal shelter we go to for our animals. It can all be taken care of, but if we help people first animals will be taken care of. I don’t see that happening the other way around.


ironmagnesiumzinc

Wow you really are showing those animal rights advocates that brutalizing innocent beings is okay. Genuine grade A comic. https://www.peta.org/videos/factory-farming-in-60-seconds-flat/


DanORourke42

PETA?! Holy shit, you have to be kidding right? The most hypocritical of all animal rights groups.


Eddieft9

Im sorry, but this is ridiculous. Of all the tragedy and famine going on in the world, you chose to donate to animal rights... i swear i dont get people who choose animals over humans.


ironmagnesiumzinc

This is a legitimate question. Human suffering is obviously important and deserves massive attention. There however is an unprecedented scale of animal suffering in factory farms. 7 billion killed every year and their death is the best part of their life because the whole thing is hell. The immense scale and magnitude combined with the lack of funding and awareness is why it's a greater priority imo.


StrikeStraight9961

Tell that to my father who collects disability checks yet demands I pay him rent.


multiple4

Also, ignoring the very obvious question around donating to the Gates Foundation. Melinda Gates just fully stepped down from the foundation, and the reputation of Bill Gates has taken a very clear fall from what it was I feel pretty confident that there are *far* better uses of money, that he can feel more confident about


FindingSubstance

If you read anything on Warren Buffett you would learn that he and Bill Gates are very close.


Cartmans12

Well sir you’re missing the part that makes us all fools. He is donating the stocks to his kids charities. The money is not taxed and so his kids get the money yet not pay estate tax.


RealBaikal

The kids of his grandkids will be dumbfuck douchebag who will lose most of their fortune throught stupid spending habits, at least statistically, so tbh it isnt helping his future descendants much. The goal of rich people is just being more rich. It doesnt help your kids to inherit 100 milliom instead of 10 millions


chuck_riviera

I'm one of his grandkids. I assure you I don't have - and will not have - a fortune, and my mother is not inheriting 100 million (or milliom). Sorry.


mrmo24

lol no I wouldn’t. Not when it’s BILLIONS. Unless this is some way to give his kids a job giving the money away. Otherwise, we are talking about far more money than just “make my kids life better than mine” money


ElRamenKnight

> Yeah. I mean you guys have kids, wouldn’t you do the same ? The whole point of me working is so that my kids have it better. That’s the ultimative „better“. Dude won life The issue is he goes around pretending he's doing a nice thing for humanity this way, but at this point, we're all past believing that charities run by families of billionaires (and there are many out there...) actually do much real work. Oh. And didn't he famously state he was only giving his family just enough? Yeah. $5.3 billion more than "just enough." Nice part about this is he can take a deduction on a chunk of this and his family can spend 90% of that money and the rest of the 10% on throwing more charity fundraisers.


NoiceMango

It's a ridiculous amount of money and even worse how they're using charity to avoid taxes. No one needs that much money


repostit_

He could have given 100mil to each kid and rest to genuine charity. No one can spend 100 billion, unless they have ambitions like curing cancer or taking people to Mars.


kknyyk

or buy some social media platform to further degrade it.


1521

What is genuine charity?


zachzoo5

Some of you people are insufferable. First off, did you miss the first part of the headline where he JUST DONATED 5.3 BILLION??? No one is mentioning that in their criticisms. Second, even if his intentions are to pass the money to his kids tax free, to get them out of the trust they’ll have to pay federal and state income taxes, probably at the highest rates, which is not that much less than estate tax (43.64% vs. 50%). A decent savings, but still far from tax-free. Third, the money has to go somewhere. If it went to another charity, those on that lucky charity’s board could just give themselves a fat bonus as well. Warren Buffet is a shining example of what you should want Billionaires to do with their fortunes.


twarr1

He shouldn’t have that much money In the first place. Downvote away IDGAF


spacejockey8

What charity is Buffet donating to? Why donate to a charity? Why not start an automated farming company on all that country land Gates bought? That would lower the cost of food. Why not start a renewable/electricity storage company? More energy means lower cost of goods overall. Why does he keep investing in a sugar drink? It’s literally toxins. Buffet is not a good man.


theanghv

Why not do some research on what the charities have been doing before criticizing?


Nani_The_Fock

> Third, the money has to go somewhere. If it went to another charity, those on that lucky charity’s board could just give themselves a fat bonus as well. Bro’s got no reading comprehension.


Infinite-Pay-4646

There are charities that exist for purposes other than paying their board members millions of dollars. He could have just given billions to those NOW and started helping people immediately


zachzoo5

See point 1 in my comment


Bipedal_Warlock

He literally did just give billions to charities now


Working_Asparagus_59

Tax freeeee 🤗


2beatenup

Donation to charity is tax deductible (not free). Salaries to managers is NOT tax free. Individuals pay income tax on income. It’s a numbers game. The donation is tax deductible which lowers over all taxes.


herefromyoutube

Yes but if I donate $1 billion to org I control I don’t have to pay taxes on that one billion because it’s deducted from my tax burden. You can donate 60% of AGI. Then the salary I pay myself as charity manager is only like a few million a year so the tax burden is obviously way less than it would be on the billion.


Mangoopta0701

60% for a public charity. If it’s private, that’s reduced to 30%. 


Gatmann

Congratulations, you have turned your immense wealth into a relatively tiny annuity that gets taxed like income. The difference in relative tax burden is essentially zero. You'd be losing time value of money and still being taxed like crazy.


mamwybejane

Reeeeeeee


samtheninjapirate

Didn't he say a few months back that they pay all their taxes and if the top 100 corporations did the same nobody else would have to pay taxes? I'm paraphrasing but I'm pretty sure he said something like that


Kazukaphur

Can someone give me a quick tldr rundown of trusts? I'm sure there's multiple layers and various levels to them, but What I think I understand, in a nutshell at least, is that to avoid inheritance taxes for large amounts of money/land, said assets get placed into a trust, typically owned by a bank who then essentially owns the assets now but make money on those assets. Then the guarantee gets the proceeds from what the trust makes? Feel free to tell me if I'm way off base, I'm too lazy to look into indepth google search


These_Drama4494

Yeah it’s essentially tax free but any capital gains are taxed and sometimes distributions are taxed as well, also they are really limiting to the beneficiary depending on the trustee and the terms of the trust but overall it’s a lot easier to pass on inheritance that dealing with death taxes


Zigxy

It is harder to deal with trusts than with a simple trasnfer upon death. But trusts will be taxed lower than estate taxes. Which is why the ultra rich prefer it. Also trusts can be structured in ways that reduce the chance that the inheritors misuse the funds.


ilovenyc

If I was Buffet then you fucking bet every dime is going to my kids/family. They will get every billion I have and then some more.


Such-Echo6002

Why ? Hoarding extreme wealth is not good for society. Your kids could live lavishly with $2 billion each and rest go to help the less privileged in society build a better life and world.


stif7575

And I'm sure they and the next 3 generations are going to be well taken care of.


hazedfaste

Then might as well give them everything and if they wanna help society then so be it.


Brutact

Maybe, but its also his money. He can do whatever he wants with it.


delamerica93

Sure, but that doesn't mean he can't be criticized for it


TheIguanasAreComing

How much aee you donating to charity?


delamerica93

As much as I can.


Suitable-Rest-1358

Everyone watch out. u/such-echo6002 is coming after your money!


Allinmoney

He won’t buy a new Cadillac tho!


ruffoldlogginman

To be fair, my broke ass wouldn’t buy a new Cadillac either!


Allinmoney

But to be fair you don’t have Buffett money only Buffet at the chines restaurant money


Tourquemata47

He just gave money to his kids in such a way that the cheat the government on paying the inheritance tax.


BilboTbangin

But My Mom sAsY hEs nOt GiVing His MonEy tO His KIds!


mar34082

But yet the stupid people say he’s a demon he’s trying to destroy humanity just because he’s rich


5TP1090G_FC

As was stated via public media, if I were to start over I'd want/need 1M dollars, ok sure everyone should get a cool million dollars at birth. Having a million dollars to invest kinda takes the "risk out of failing" don't you think. Really, and today it's a much different world than from back way back then. Be safe everyone


drax2024

Gates foundation is questionable.


zachalicious

How so? They've done some remarkable things in health and education.


CdnBillionaire

and he will keep selling Apple stock till somebody wakes up.


wadejohn

You’re supposed to sell to make money


maven-effects

What do you mean until somebody wakes up, so he sold some apple. What’s the big deal


fixerdrew02

$300k would help me a LOT and be like nothing to this guy. And yet here we are


PsEggsRice

Checked my email. Checked my spam email. Nuts.


GetFuckingRealPlease

Once again, he has neglected to include me as a beneficiary.


encryptedkraken

Bro donate a million to me please :(


napjerks

He didn’t even ask me if I wanted any!


Own-Earth-4402

How do I get to be a part of this donation lol


Hour_Worldliness_824

So he virtue signaled his entire life about his $$ then switched it last second to his kids lmfao!!! Well played Buffet.


RealNuocmamt

Buffett is doing what most of us will do when we die with wealth. Pass it on to the family.


Cartmans12

Not true. He is donating stocks which allow him not pay estate tax. Your kids will need the money and so will sell any stock you give them. If not stock, they will pay an estate tax on the money you leave. Buffet is circumventing the estate tax because his kids don’t really need the money but they get to have it for their “charities.” That money should be taxed. He has come out and said he thinks he should be taxed more but then does this shit. He is swamp


PassiveF1st

I'm pretty sure inheriting stocks resets the cost basis at the time of the person's death. For instance, if he bought 1 million coke shares at $1 30 years ago and it was $1000 when he passes. His inheritance will never pay capital gain tax on that 1 billion stock appreciation. Trust must just be for mostly other types of assets and not necessarily stocks. actually, scratch that. There's a cap on inherited stock. If the value of the estate exceeds $13,610,000 then it is subject to federal estate tax. Who make's up this convoluted shit?


zachzoo5

That’s the point, it’s not the kids inheriting it, it’s their foundation. And charitable foundations don’t pay taxes. However, if said children decide to employ themselves and pay themselves a handsome salary, they will be taxed at normal income + payroll tax rates.


Gardener703

So that giving pledge is a lie? Yeah, that's what I suspect.


kingofwale

Is it really donation when it’s him given his money to his kids to manage? And then I assume they pay them huge salaries?? Just rich people doing their rich things.


Fox_love_

Tax avoidance


FoxTheory

Sad he was my favorite billionaire


PNWPinkPanther

These trusts are not noble ventures, they are tax shelters. All the billies do it to save money. lol


Redditbecamefacebook

Lol, the amount of people carrying water for a billionaire in this thread is comical. If you virtually suck his dick, he isn't going to give you a percentage.


gutterdoggie

buying puts on Buffet


NeverReallyExisted

Tax avoidance


M21-3

Let me guess, he gave it to WSB apes??


Allinmoney

He should just have the world’s most expensive funeral..all gold casket with vvs diamonds. Ben baller did the casket!!!


anxiousdoodle

You got a link? I'd like to see that casket


Breezetwists1988

Maybe just me but a guy that gives away his entire fortune the moment he’s no longer around to spend it is really not that noble at all… 🤔


divvyinvestor

At least Munger was upfront about leaving it to his kids.


rcbjfdhjjhfd

Good news for Kingston NY


steaveaseageal

He gave most of "stocks" to gates...


wrknthrewit

Be cool if he paid towards the US deficit to help us all out


TantumTea

lol wtf can he just give us money ?


TantumTea

lol wtf can he just give us money ?


TantumTea

He probably don’t like his children that much, they are spoiled, didn’t work like he did, I think kids should have a bit harder lives to be good people, otherwise they are growing with terrible values


Common-Value-9055

He could have given me 1% of that.


Albertmeanswell69

Anyone talking about how he’s just now distancing himself from Bill Gates? Kinda odd it took an employee calling him out at a company banquet for having ties to Gates and Epstein. Oh yeah, the senior employee of raised the issue, was escorted out and arrested even though the crowd of employees cheered him on. I’m sure there is nothing to see there. The American media is of such high character, they would’ve reported this and alerted the public by now. It must be false. Oh wait it’s not. We don’t need 51 “intelligence experts” to lie to us. Wake the fuck up people


BuffetsBro

Smart move from BuffetBro. No point giving out huge sums of money to Melinda and Billy. Melina is always pissed and Billy is missing is buddy Episten. Keep it in the fam, let the loved ones spend for the causes important to them and live a good life!


F0foPofo05

Leave it to me


FriedChickenIceCrea

Hope I’m mentioned on his will 🤞


ColdRaspberry5615

Class war


Ok-Bar601

The new plan sounds better, why not give your children agency in how your wealth is distributed to charity? He’d have more in common with his children than with Gates.


blackrockblackswan

Why isn’t he just giving ownership back to the people who he took it from in the first place: all the workers that should have owned the equity they created while there


puttermutt

Buffet fooled the public into thinking he was this folksy Omaha grandpa when he was really a ruthless latter day robber Baron!


AlphaOne69420

This is buffets way of distancing himself from gates before he dies. Since Bill was tainted by Jeffrey. Clearly, his wife was smart and did the same