A:

The most significant charitable donation Warren Buffett has ever made is his $37 billion pledge to the Bill and Melinda Gates Foundation. This donation, originally pledged in 2006, will take effect upon his death, as he has directed in his will. Individual contributions from Buffett represent some of the largest single charity contributions in history.

His estate consists of Berkshire Hathaway stock that he plans on contributing directly to the foundation and cash that he is leaving for his heirs to keep invested in index funds. Buffett's contribution has given him profound influence in the Bill and Melinda Gates Foundation, and he maintains active involvement in the organization. Buffett has a strong interest in philanthropy and in solving global health and educational problems. This interest led him to actively promote the foundation and encourage others to contribute, especially those with high-value estates.

Warren Buffett's heirs will receive significantly smaller amounts of cash from the estate, and some Berkshire Hathaway stock. Buffett encourages his children to follow his own values, including work ethic and being active in philanthropy. Buffett believes the Bill and Melinda Gates Foundation effectively addresses problems of global inequity in access to health care and education, including significant contributions to help these resources reach the world's poorest women and children. Much of what the foundation does is directed toward these issues. The foundation provides grants to other organizations and does direct research work to develop solutions in addition to its financial contributions. To Buffett, this organization is a wise investment of his estate.

Ultimately, all of Buffet's shares will be donated through annual gifts, set to complete 10 years after the settling of his estate.

On July 16, 2018, Berkshire Hathaway released a press release announcing that Warren Buffett has donated roughly $3.4 billion of company stock to five charities, which is the billionaire's largest contribution yet. Buffett's 13th annual donation consisted of roughly 17.7 million Class B shares (BRK.B) of the company. Shares closed at $192 that same day. 

11,867 of the Class A shares (BRK.A) he held were converted into 17.8 million Class B shares. With this current donation, about 43% of Buffett's 2006 holdings have now been donated to five foundations. Donations were made to the Bill & Melinda Gates Foundation, Buffett's own foundation, named for his late first wife Susan, as well as charities run by his children.

RELATED FAQS
  1. What's the best way to contact Warren Buffett?

    Learn how to contact Warren Buffett and what kinds of contact is most likely to receive a response from him or from his company, ... Read Answer >>
  2. What is Warren Buffett's annual salary at Berkshire Hathaway?

    Learn more about how much Warren Buffett receives in salary and how he continues to stay involved with his company and his ... Read Answer >>
  3. What's the first stock Warren Buffett ever bought?

    Find out about Warren Buffett's first experience in stock market trading. Learn some of the Berkshire Hathaway CEO's basic ... Read Answer >>
  4. Why does Warren Buffett largely avoid investing in the technology sector?

    Learn why Warren Buffett has traditionally avoided investing in technology companies, and read about his value investing ... Read Answer >>
  5. How does Warren Buffett choose his stocks?

    Investors have long praised Warren Buffett’s ability to pick great companies to invest in. Here are the key considerations ... Read Answer >>
  6. Warren Buffett's history in school

    Warren Buffett attended multiple prestigious schools on his path to success, but he places much more significance on real-world ... Read Answer >>
Related Articles
  1. Insights

    Buffett Donates $3.17 Bn in Berkshire Stock

    Warren Buffett has donated more than $3 billion to five charities as part of his 2006 pledge to donate all of his fortune.
  2. Insights

    Buffett Donates $3.4 Billion in Berkshire Stock

    Although Buffett has donated fewer shares, the rising price means the value of his donation increased.
  3. Investing

    Where Does Warren Buffett Keep His Money?

    Understand who Warren Buffett is and where he has invested his money over the years.
  4. Insights

    Warren Buffett Biography

    Warren Buffett is one of the top investors in the world. Learn more about his amazing life and path to success.
  5. Managing Wealth

    The Christmas Saints Of Wall Street

    Learn how some of world's richest people spread holiday cheer year-round.
  6. Managing Wealth

    Warren Buffett's Bear Market Maneuvers

    This esteemed investor rarely changes his long-term investing strategy, no matter what the market does.
  7. Managing Wealth

    Warren Buffett: Oracle No More?

    Though he's an investing icon, critics are pointing to several past events that signal Buffett's reign may be ending.
  8. Managing Wealth

    Buffett's early days as a value investor

    Warren Buffett has been honing his investing process for years. Check out how he become a billionaire from early days as a value investor.
  9. Insights

    Warren Buffett Remains Calm Ahead Of Earnings

    Warren Buffett remains calm and upbeat on the economy ahead of Berkshire Hathaway's earnings and annual meeting.
  10. Managing Wealth

    Rules That Warren Buffett Lives By

    Warren Buffett, the Oracle of Omaha, has some timeless words of advice. Here are some of his guiding rules to successful investing.
RELATED TERMS
  1. Warren Buffett

    Known as "the Oracle of Omaha", Buffett is Chairman of Berkshire ...
  2. Charitable Donation

    A charitable donation is a gift, which may be cash or other property, ...
  3. Berkshire Hathaway

    Berkshire Hathaway is a holding company for a multitude of businesses, ...
  4. Proof of Charitable Contributions

    Proof of charitable contributions refers to the substantiation ...
  5. Quid Pro Quo Contribution

    A quid pro quo contribution is one in which the donor receives ...
  6. IRS Publication 561: Determining The Value Of Donated Property

    IRS Publication 561: Determining The Value Of Donated Property ...
Trading Center