Do you ever wonder what motivates people like billionaire investor Warren Buffet to donate a gift of nearly $37 billion (the largest in history) to the Bill and Melinda Gates Foundation? Is it because he has money to spare and wants to improve his personal profile?

Does he sincerely want to help in the effort to eradicate treatable yet fatal health conditions around the world?  Or are the tax breaks and similar incentives too good to pass up? 

“There is more than one way to get to heaven, but this is a great way,” said Buffet during the announcement of his gift. His comment not only sheds light on what could have inspired him to give but also, what motivates many of us with less in our bank accounts, to engage in philanthropic activities.

A culture thing
 
Giving for the love of humankind or philanthropic giving, as it is now referred to, is embedded in all cultures around the world. The type of giving and motivation behind it varies by country, culture, and even individual. Yet there also seems to be some common sources of inspiration.

In India, philanthropic activity was rooted in the fabric of religion, and the idea that helping the needy will lead to individual salvation. If cash and in-kind contributions were not possible for individuals, giving came in the form of the willingness to volunteer time and effort for a cause.

While philanthropy was somewhat limited to religious organisations in the past, the scope of giving in India has been evolving to include and encompass secular local, national and international organisations that are addressing various social challenges.

The United States also derives some of its philanthropic giving roots from religious beliefs via its churches. In addition, the challenges faced by earlier settlers in parts of the US that were lacking infrastructure and removed from governing structures, forced individuals and groups to come together and help one another fill that void.

This history has cultivated a tradition of citizen initiatives and giving that is quite embedded in the American culture even today. Members of Indian Diaspora in the US are also a growing source and hub of philanthropic giving.

Apart from remittances to family members and communities in India, the average Indian American contributes up to $300 a year to social causes in India, according to Indian Diaspora and Giving Patterns of Indian Americans in the USA. 

Yet knowing that they give still does not explain why individuals are motivated to give?  On an individual level in this era of globalisation, there are several broad and often interrelated reasons for giving that are shared by individuals across cultures. For most people giving is very personal. It is their way of life, their tradition, be it cultural, religious, or specific to their family, their experiences and ties that they have.

Need to give

Dr Srinivasa Rao based in New York and editor of a magazine, Catalyst, dedicated to development issues, succinctly puts it this way, “The ability to see the need to improve other’s condition and the inability to do something about it prompts financial contribution.” 

There are individuals that give for the sake of giving without expecting return, and with the hopes of improving the world in a meaningful way. “In my life, I want to positively affect the environment that I live in. So in my own little way, I give to make a difference,” says Varghese George, CEO of Westex Group Inc. based in the Washington DC metro area.

Others are motivated to give upon being moved by catastrophic or violent events in specific regions and their associated imagery, such as in the case of natural disasters like the tsunami, or the raging civil war and humanitarian crisis in Darfur in Sudan.

“Imagining everything wiped away in one second compelled me to give,” said Gautam Siram, a medical resident, who made a financial donation to Hurricane Katrina funds. 

Along similar lines is an individual’s sense of guilt, and giving as a way to clear one’s own conscience. The sense of guilt does not necessarily exist as a result of doing something “wrong” or “sinning,” but could also be a result of one’s own belief that there are people that are far less privileged, and suffering considerably more in the world. Tax breaks and incentives can enhance philanthropic giving too.

Catalyst for change

Regardless of personal motive, philanthropic giving around the world has served as a catalyst for change and growth in many communities. Many religious and citizen sector organisations have filled the gaps of the government in providing critical services to the community. Similarly, many organisations have given a voice to those who have been denied basic human rights.

If philanthropy means a love for humankind, the question we must ask is how can we deepen and sustain this type of giving and commitment?

Trusted platforms that serve as a link between the contributors and the determinants are very important. Transparency within organisations that use public funds can spur giving. Whatever the motivation for giving, philanthropy can, to a certain extent, help bridge the two Indias that we see around us today!

(Venkatesh Raghavendra is chief philanthropy officer with the American India Foundation in New York & Malini Sekhar is an independent consultant specialising in international development issues)