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Not if you control the charity. In the US, charities can have a huge investment portfolio. So you put money into the charity, then the charity invest in what yo

Not if you control the charity. In the US, charities can have a huge investment portfolio. So you put money into the charity, then the charity invest in what you want to boost, including friends companies or your own. The remaining can be spent on reasearch projects which you can benefit from as well. Basically is tax free investment and R&D mechanism. The gates foundation is famous for it, even caught investing in companies doing the total opposite of the foundation mission statement, such as weapon makers. But the best part is that people think bill is a great guy because he gives away so much.

maxxxxx 8y ago
It's also a good way to give high paying jobs to friends, family or other people you want to give money to.
- prostoalex 8y ago
  Getting a deduction on 20% capital gains tax and having a family member pay ~35% of income tax on it is not exactly a sustainable strategy for wealth transfer.
  - maxxxxx 8y ago
    It's not only about the money. The receiving person gets a prestigious job and the donor gets good PR for his/her charity.
throwawaymath 8y ago
> But the best part is that people think bill is a great guy because he gives away so much. I'm inferring that you think people are silly for buying into some kind of curated persona. But to provide a counterpoint: even after what you've said, I still think Bill Gates is a great guy for his philanthropy. I don't really care if Gates is motivated by purely ascetic altruism or a complex sea of competing incentives. I'm really happy with the work he does. That's not to say he's perfect. Some of his charity is controversial, that's definitely true. And I'm generally skeptical anyone is wholly motivated by altruism. But much of his work has had a profoundly beneficial impact on the world on a global scale. I like the world with the Bill & Melinda Gates Foundation as it is more than I like the idea of the world without it.
- fjsolwmv 8y ago
  He's using his personal funds and under-informed judgement to redirect the malaria and education industries toward his ve pet theories regardless of scientific consensus. He also "donates" to creating dependencies on Microsoft/Windows products. And "his" money is money he largely extorted from the computer using public using illegal market manipulation. It's our money.
  - Skrillex 8y ago
    >"his" money is money he largely extorted from the computer using public using illegal market manipulation. It's our money. From this perspective, I believe that it could be argued that "our" money is in fact the money of long-dead people and/or now-extinct societies.
troydavis 8y ago
The IRS has fairly specific requirements for recipients of funds from DAFs. The gist is that they need to be charities: https://www.irs.gov/charities-non-profits/charitable-organizations/reliance-criteria-for-private-foundations-and-sponsoring-organizations-that-maintain-donor-advised-funds https://www.irs.gov/charities-non-profits/charitable-organiz..., https://www.irs.gov/charities-non-profits/charitable-organizations/new-requirements-for-donor-advised-funds https://www.irs.gov/charities-non-profits/charitable-organiz... Obviously some charities can have missions that not everyone agrees with, but that constraint is still, well, constraining.

maxxxxx 8y ago

It's also a good way to give high paying jobs to friends, family or other people you want to give money to.

prostoalex 8y ago
Getting a deduction on 20% capital gains tax and having a family member pay ~35% of income tax on it is not exactly a sustainable strategy for wealth transfer.
- maxxxxx 8y ago
  It's not only about the money. The receiving person gets a prestigious job and the donor gets good PR for his/her charity.

throwawaymath 8y ago

> But the best part is that people think bill is a great guy because he gives away so much. I'm inferring that you think people are silly for buying into some kind of curated persona. But to provide a counterpoint: even after what you've said, I still think Bill Gates is a great guy for his philanthropy. I don't really care if Gates is motivated by purely ascetic altruism or a complex sea of competing incentives. I'm really happy with the work he does. That's not to say he's perfect. Some of his charity is controversial, that's definitely true. And I'm generally skeptical anyone is wholly motivated by altruism. But much of his work has had a profoundly beneficial impact on the world on a global scale. I like the world with the Bill & Melinda Gates Foundation as it is more than I like the idea of the world without it.

fjsolwmv 8y ago
He's using his personal funds and under-informed judgement to redirect the malaria and education industries toward his ve pet theories regardless of scientific consensus. He also "donates" to creating dependencies on Microsoft/Windows products. And "his" money is money he largely extorted from the computer using public using illegal market manipulation. It's our money.
- Skrillex 8y ago
  >"his" money is money he largely extorted from the computer using public using illegal market manipulation. It's our money. From this perspective, I believe that it could be argued that "our" money is in fact the money of long-dead people and/or now-extinct societies.

troydavis 8y ago

The IRS has fairly specific requirements for recipients of funds from DAFs. The gist is that they need to be charities: https://www.irs.gov/charities-non-profits/charitable-organizations/reliance-criteria-for-private-foundations-and-sponsoring-organizations-that-maintain-donor-advised-funds https://www.irs.gov/charities-non-profits/charitable-organiz..., https://www.irs.gov/charities-non-profits/charitable-organizations/new-requirements-for-donor-advised-funds https://www.irs.gov/charities-non-profits/charitable-organiz... Obviously some charities can have missions that not everyone agrees with, but that constraint is still, well, constraining.