Mr. Buffett made a "Thanksgiving donation", and this time it was a big deal. 1,600 Class A shares of Berkshire turned into 2.4 million Class B shares, worth up to $1.1 billion, all donated to four foundations managed by his children.
Buffett is 94 years old this year. In his letter to shareholders, he made his inheritance distribution plan clear. After this donation, he only has 206,363 Class A shares of Berkshire. Since he said he would donate 99% of his wealth in 2006, he has donated 56.6% so far.
His first wife, Susan, had a total of 508,998 Class A shares. They thought Susan would live longer than him and donate all the money. As a result, Susan died first, leaving a legacy of $3 billion, 96% of which was donated to the foundation, and each of the three children received $10 million. Buffett said that this is their idea. Rich parents should give their children enough money to make a living, but not too much, otherwise the children will be ruined.
In June this year, Buffett also told foreign media that almost all the money left after his death would be given to the new charitable trust fund, which is managed by his daughter and two sons, and the use of money must be agreed by all three of them. In the letter, Buffett emphasized again that he never thought about building a family dynasty and did not care about what happened after his death. After his death, his three children will slowly divide up his Berkshire shares, which account for 99.5% of his total wealth.
Buffett also suggested that parents should let their children see their wills, whether they are ordinary families or wealthy families. When the children are sensible, let them see the will before signing it to make sure they understand your decision and what they are responsible for after your death. While you are still here, answer their questions and listen to their suggestions.
Buffett said that he would change his will every few years, but they were all minor changes. He has seen too many families broken up because of wills, especially when the son gets more money or has a higher status than the daughter.
Buffett said he knew he would be rich very early. He said he was born in the United States in 1930 as a white male, and this series of lucky things made him feel very lucky.