May 21, 2013 | Read Time: 2 minutes
Giving money away to good causes is the most satisfying part of life for at least half of America’s millionaires and billionaires, according to a survey released Tuesday.
Philanthropy ranked highest for a bigger share of the rich than the possessions and lifestyle that come with wealth, according to the study of 711 people with at least $3-million in assets beyond their home.
Young rich people were more likely than others to cite philanthropy as the best part of wealth. Nearly 7 in 10 people ages 18 to 32 cited philanthropy as their top pleasure, while just 35 percent of those over 68 felt that way.
About 76 percent of the wealthy said that supporting charities has a positive influence on society; 80 percent said the same thing about volunteering.
People’s top reasons for giving, according to the study released by U.S. Trust, a subsidiary of Bank of America:
- About 80 percent cited “creating a positive impact on issues or causes while still alive.”
- About 54 percent listed “setting an example for family members.”
- About 38 percent cited “tax considerations such as estate or income taxes.”
- About 25 percent cited “the ability to define their legacy.”
The survey also assessed charitable activities among 263 of the wealthy who said they were retired. Sixty percent of them said they were members of charity boards or involved in other volunteer jobs, and women (68 percent) were more likely than men (58 percent) to volunteer after retiring.
Learning From Relatives
More than a third of the wealthy said they learned charitable values from parents and other family members, while half of people 18 to 32 said so.
The interest of young people in giving reflects the example that wealthy older donors have set in recent years, said David Ratcliffe, a managing director at U.S. Trust.
He points to donors such as Warren Buffett, who in 2010 created the Giving Pledge with Bill and Melinda Gates to encourage wealthy people to give at least half their fortunes to charity.
“They’ve done a good job of mentoring and made philanthropy more visible,” Mr. Ratcliffe said.
