When it is America’s biggest business tycoon, the “Oracle of Omaha,” it always makes headlines. It happened on 23rd June, Wednesday, 2021 when Warren Buffet quit as a trustee from the Gates Foundation. The investing icon has also pledged half of his Berkshire Hathaway shares to charity. He gave another $4.1 billion as part of his annual commitment to philanthropy.
The billionaire described himself as an “inactive trustee” for years at the Bill and Melinda Gates Foundation where he contributes funds.
“I am now resigning from the position. Just like I have done at all the corporate boards except Berkshire’s.” – said America’s biggest business influencer.
As per the records, the buffet has funded more than $27 billion to the Gates Foundation over fifteen years. Alongside Bill Gates and Melinda Gates, who called off their twenty-seven years of marriage last month, Warren Buffet was the third board member of the foundation.
But Why Did He Quit?
“My goals match with that of the foundation”-
Said the sixth-richest member of the Forbes 400.
The twenty-one years old Gates foundation has turned out to be one of the biggest influences on global health. To combat disease and poverty, they have spent more than $50 billion over the last two decades.
According to the reports of last year, Buffet, with a whopping net worth of $108 billion, donated more than $2 billion to the Gates Foundation. The gesture was a part of his before-announced plans to give away his entire fortune before his demise.
The Giving Pledge Campaign
Over a decade ago, Buffet and Gates pioneered “The Giving Pledge” campaign. It urged the U.S billionaires to donate at least half of their fortunes to charity. Since then, dozens of billionaires have been active in philanthropic movements covering everything like cancer research, education, arts, gun control, libraries, and much more. Their campaign also influenced MacKenzie Scott, ex-wife of Amazon founder and billionaire Jeff Bezos, to donate over $4 billion for emergency relief funds and food banks.
Though Buffet hasn’t shared a specific single reason behind his resignation from the Gates Foundation, he shared a lot about his take on Philanthropy.
The Unavoidable Impact
Mr. Buffet’s sudden move was uncertain, especially after the Gates couple announced their plan to split. According to the Wall Street Journal’s report last month, Bill and Melinda are planning to change their foundation’s structure after deciding to divorce. They want to add up more independence to the work culture of the Gates Foundation.
On Wednesday, 23rd June 2021, the Berkshire chief executive and chairman disclosed his detailed thoughts on his statement. After serving as a trustee of the Gates Foundation since 2006, he shared his take on philanthropy, the public, and the government.
After his disclosure, it is clear now that he is halfway through his vow (made in 2006) to donate all the Berkshire shares. It covers more than 99% of Buffet’s net worth.
He also addressed the tax deduction issues that matter “particularly to the super-rich” people who donate a lot of philanthropy. He shared his remarks after a nonprofit news organization published an article about the official income and tax-pay details of some of the wealthiest Americans including Mr. Buffet and Amazon guru Jeff Bezos.
