posted on: Friday, November 06, 2009

by Yna C. Moore

Many in the philanthropy world is in the midst of some soul searching – What is philanthropy? What is the role of philanthropy in the world today? How do foundations – of all shapes and sizes - fit in the complex world that makes up the charitable sector? Are there things we can do better? If so, what does “better” look like?

In the article “Philanthropy’s Commitment to the Common Good” published in Responsive Philanthropy, Alison Goldberg, who coordinates Wealth for the Common Good, talks about the dual purpose of private philanthropy – to promote the common good and to serve the interests of wealthy families. Wealth for the Common Good is a network of wealthy individuals and business leaders who support policies that promote economic equity and fair taxes.

She writes, “As long as private philanthropy exists, it’s likely there will be a need to accommodate the interests of donors and their descendents and strike a balance between personal priorities and the common good. But right now, that balance is skewed in the wrong direction.”

She raises three interesting points:

• The higher the taxes on high-income and wealthy families, the more money is given to foundations
• Philanthropy can’t be a substitute for government to provide critical services, but government rely on income and taxes to generate the money to support these efforts.
• Our current tax system may appear progressive, but it’s really not. Tax cuts for the wealthy from the past 30 years has shifted the burden to wage earners.

Read Alison’s full article and other postings on philanthropy’s role in society.

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Yna C. Moore is communications director at the National Committee for Responsive Philanthropy (NCRP).