The next generation of Buffetts—Howard, Susie, and Peter—is set to become a dominant force in philanthropy after their father, business magnate Warren Buffett, passes away. In June, Buffett announced that he would be donating his fortune, currently valued at nearly $144 billion, to a charitable trust managed by his children instead of giving it to the Gates Foundation, as he had previously indicated. The next generation will have 10 years to distribute the funds. Meanwhile, Buffett continues to make substantial annual donations to the Gates Foundation and his family foundations.
Howard Buffett, the middle child, expressed gratitude for the opportunity his father has given them, stating that giving away money intelligently is not as easy as it seems. He also mentioned that his father is as sharp as ever and he hopes he lives a long time. Buffett has been giving significant annual gifts to the Gates Foundation since 2006, totaling $43 billion to date. James Ferris, the founding director of The Center on Philanthropy and Public Policy, noted that wealthy individuals are typically reluctant to entrust their fortunes to others for distribution, fearing it might hinder their own ingenuity. Ferris sees Buffett’s evolving philanthropic intentions as a positive development, showing his ability to adapt to changing circumstances.
The Gates Foundation, which has received large annual donations from Buffett over the years, did not disclose when it learned of his decision or how it would impact its budget. The Susan Thompson Buffett Foundation, the largest of the family foundations, focuses on providing access to contraception and abortion worldwide. Susie Buffett chairs the foundation’s board, while Peter Buffett is a board member. Susie also leads The Sherwood Foundation, which supports early childhood development and local projects in Omaha, Nebraska. Peter’s NoVo Foundation advocates for the autonomy of girls and women and fights against gender-based violence. In 2020, Peter and his wife expanded their support to Native American communities and projects centered around agriculture and food access.
The Howard G. Buffett Foundation concentrates on conflict mitigation and agriculture globally. Since 2022, it has donated over $800 million to humanitarian initiatives in Ukraine, including food distribution, demining activities, and infrastructure rebuilding. In a rare interview, Howard Buffett mentioned that he and his siblings have yet to determine precisely how they will distribute their father’s fortune but assured that they would continue taking risks to make a significant impact. He emphasized the importance of their collective experience and diversity in their approaches to giving.
Although the Buffetts have given away more than $15 billion since 2006, they have avoided attaching their family name to buildings. Kathleen Enright, president and CEO of the Council on Foundations, acknowledged the magnitude of the Buffetts’ philanthropic endeavors and the challenge of spending down such a large fortune. She noted that the Buffetts have effectively turned philanthropy into a family business, with the next generation becoming seasoned donors and building enduring institutions within their foundations.
Warren Buffett’s stipulation for his charitable funding is that the full amount must be granted within a year. The next generation of Buffetts runs their foundations with small staffs, similar to how Warren oversees Berkshire Hathaway with only two dozen employees. Howard Buffett’s foundation, for example, employs just 22 staff members. While this limits their capacity, they have overcome it by building strong and lasting relationships with other organizations to implement their ideas. In contrast, the Gates Foundation, funded by donations from Bill Gates and Warren Buffett, has a $75.2 billion endowment and employs over 2,000 people worldwide.
Howard Buffett believes that wealthy individuals should give away their money within their lifetimes rather than establishing perpetual foundations. He sees it as a shared responsibility among family members to distribute their wealth and prefers doing it as a partnership with his siblings. He believes that ultimately, the money will be spent or given away, and he would rather see it done in collaboration with his family.
