“Show me the money,” Cuba Gooding Jr. famously intoned in the 1996 film Jerry Maguire. When applied to billionaires in philanthropy, the statement resonates today. Last month marked a decade since many of America’s billionaires began pledging to give away at least half of their net worth. Those who have are commendable, although their number is small. On the surface, these proclamations of great philanthropy can be inspiring to others and give hope to organizations that serve to improve society. But here’s the truth: It’s not nearly enough.
As a nation we face a multipronged threat to our very existence. Covid-19 has wreaked havoc upon the economy and exacerbated inequities that have always existed within our society. The televised murder of George Floyd suddenly left no escape hatch for those who believe racial inequity is not a real issue. Were this not enough, climate change continues to threaten communities around the nation and throughout the world.
Yet you wouldn’t know the house was on fire by looking at the giving by most of our nation’s wealthiest individuals. In June, the Washington Post compared the size of donations toward Covid-19 relief efforts by billionaires with the $97,300 median net worth of households in America. When viewed this way, the donations by most of the rich and famous are ridiculously, if not embarrassingly, small. Consider, for example, Mark Zuckerberg. The Post noted that he gave $58 million to support aid in the San Francisco Bay Area and medical research. Sounds like a lot, right? When his net worth of $67 billion is taken into account, compared with the median household, it equates to $84.
If billionaires are to go beyond mere window dressing with their pledges, they need to step up and give much more of their considerable wealth now. What is stopping them from giving now? People are homeless and hungry; hospitals are bursting at the seams, and unemployment is off the charts.
I don’t want to hear invocations from the wealthy to others in philanthropy to be “bold” and “take big risks.” Actions speak louder than words, and I’m tired of the feel-good pledges. Pledges and admonitions do not feed the hungry or help the unemployed with rent.
I am confident that if all the nation’s billionaires gave away 50 percent of their money now to help others, none of them would be relegated to surviving on store-brand peanut butter and saltine crackers. So, what should they do?
Give Big Now
For starters, they could make good on actually giving away at least half of their wealth if not now, then very, very soon. They could also take a cue from the small foundations and other donors my organization represents — those with few or no staff and under $100 million in assets. According to data from my organization, Exponent Philanthropy, these donors are contributing at least 8 percent of their assets every year. If these philanthropists can manage 8 percent, the billionaires can certainly manage a whole lot more.
The needs of our fellow citizens who are out of work, out of housing, and out of access to food build a compelling case for the ultra-wealthy, if not all of us, to give substantially more. Lives are not improved on percentages. They are changed with real dollars.
It’s Not Only About Altruism
If altruism isn’t reason enough to open their wallets, perhaps the billionaires need the motivation of self-preservation?
While wealth may help shield someone from the Covid-19 virus, no one is immune. Witness the athletes, actors, politicians, and others who have tested positive. Nor will money shield the wealthy from the impact of climate change. As the Americas warm and diseases for which we have no natural immunity spread north, (think Zika) wealth will not prevent infection.
This is not to say that there are no good models of the extremely wealthy stepping up right now. There are. In July, MacKenzie Scott announced that in her relatively short time in philanthropy, she’s given $1.7 billion away — mostly to organizations devoted to equity and largely led by women, people of color, and LGBTQ individuals. She employs the most fundamental, essential good philanthropic practices to advance equity, namely racial equity, in her grant making.
Jack Dorsey, co-founder of Twitter and financial-payments company Square, is another example of how philanthropy should be done. He pledged nearly 28 percent of his net worth to pandemic relief efforts. And he’s tracking the effort in a spreadsheet for all to see. “The needs are increasingly urgent, and I want to see the impact in my lifetime. I hope this inspires others to do something similar,” he wrote on Twitter.
Like Dorsey, I, too, hope that this giving inspires others to do something, and to do it now. We are facing a devastating pandemic, the worst economy since the Great Depression, stark racial inequities, and a global climate crisis. The facts make the moment more urgent.
What are the billionaires waiting for? If not today, when? It’s time for those of wealth to show us the money.