The explosion of the use of philanthropic vehicles, coupled with massive intergenerational wealth transfer, means that affluent families are giving in more ways, both collectively and individually.
At the most basic level, the difference between a donor-advised fund (DAF) and a private foundation is the construct, or form, in which each entity is created and operated.
Some families start a private foundation because they want to give back while others are seeking tax savings. Whatever the impetus, private foundations serve as a powerful and flexible philanthropic vehicle and offer tremendous advantages over giving as an individual donor.
For a variety of reasons, Americans tend to be reluctant to discuss the specifics of their wealth—especially with adult children. While there may be discomfort around talking about wealth, there are several good reasons and ways to have these critical conversations.
For your philanthropy to be meaningful and effective, it is important to define, refine, and periodically revisit your philanthropic purpose: to understand your motivations for giving, the collective values that guide your philanthropy, and establish clarity around the various priorities and appr
Governance, a system for who will make decisions and how, is the guiding framework for your family philanthropy’s long-term success. There are many governance constructs that support an effective board, and different methods to engage family within each construct.
The creation of family wealth takes years of dedication, sacrifice, and hard work. To ensure that the hard-earned wealth is sustainable for generations, mentoring family members plays a key role in the successful transition of family wealth.
When we look back at previous generations, it could be argued that the primary focus was generally on creating wealth for wealth’s sake. But current next-generation family members are changing that, and dialing up the human capital and social elements.
