Why the rich give to charity

Ask a wealthy donor why they give to charity, and they’ll give one of two answers: making the world a better place or giving back to the community.

But there’s another reason the rich give back to charity: It makes them feel better about themselves.


A philanthropy study done by the Center on Philanthropy and Bank of America found 46% of respondents said their charitable donations have a “greater impact on their own personal fulfillment” than on those who receive their gifts. The survey polled those with an income of $200,000 or more or a net worth of $1 million or more.

Less than 20% of the respondents believe their donations make a major impact on the organizations they support, and only 6% believe they’re making significant contributions to the improvement of society.

In other words, they know their donations won’t change the world, but it makes them feel better anyway.

Read the entire article: http://blogs.wsj.com/wealth/