Tax data shows that overall giving in Australia has increased steadily over the past decade. Thanks to leadership from philanthropists such as Nicola and Andrew Forrest, and Graeme Tuckey, this rise looks set to continue.
The ability to establish a charitable foundation in one's lifetime, and to claim a tax deduction, is proving a positive incentive. Over 1,000 Private Ancillary Funds have been established in Australia since 2001, with a total value of around $2 billion, showing that Australia's unique culture of philanthropy is evolving. This follows the establishment of The Giving Pledge by Bill and Melinda Gates in 2010, which has since attracted 105 billionaire families from nine countries.
The Forrests have shown great leadership in our philanthropic landscape by making a pledge to give the greater part of their $6 billion in wealth to charity. Already active philanthropists, giving their money as well as their most precious commodity - time - the Forrests are now publicly making a deeper and more enduring commitment
to their philanthropic work. This public commitment paves the way for others of all wealth levels in Australia, the wealthiest country per capita in the world.
Why philanthropy? Aside from the obvious quantum of money going to public benefit what do we as a society gain from increased philanthropy, particularly by our wealthiest citizens?
Firstly, we gain the participation and engagement of influential, successful and creative people in our civil society, applying their perspectives and thought processes to the issues, concerns and needs of others. There are clear benefits in this for charities working to redress disadvantage, or in other ways to enhance our social and cultural life. Engaged philanthropists provide an enormous boost to problem solving and thinking differently about our world and provide funding
for higher risk initiatives that push the envelope. We, as the beneficiaries, avoid the need to always stick with the status quo.
Secondly, when a philanthropist is giving through a perpetual charitable foundation, we gain a sustainable source of future income to be applied to social purposes, issues, problems and needs we don't yet know about. We will be able to distribute the financial benefits of
our current prosperity in the always uncertain future, while holding a nest egg on which charities can rely.
Thirdly, because of the adage "If you've met one philanthropist; you've met one philanthropist!" we gain the benefit of distributions of wealth in a variety of ways to a range of different purposes, causes, groups and institutions. Philanthropists fossick and search for the match in values they need to be fulfilled in their giving - their foundations take on a personality that matches their own. With more philanthropists comes a broader exposure to a healthy variety of personalities, working in the public interest. Thus as a society we avoid being stuck with homogeneity, and our diversity has more opportunity to become visible and valued.
Because philanthropy is not just about money, the vast quantum of the Forrests' gift is not the point. That quantum just happens to be what they have, and what they must deal with. It is the Forrests' attitude to their philanthropy practice, their articulation of the values that bring them to these causes, and their practice of philanthropy which delivers genuine personal joy. All of that is the point. Practising the art of philanthropy is accessible to millions of Australians: the joy is waiting for us.
