Family Giving: Finding Common Ground
LEG CY Welcome to the newly imagined Legacy magazine. The fresh design and in-depth articles present a dynamic and thoughtful look at issues facing the modern philanthropist. We hope you find it engaging and informative as you consider your charitable planning. Please contact our giving experts at firstname.lastname@example.org for strategic philanthropic advising.
FEATURE STORY by Naomi Strongin Multigenerational Giving and the Pandemic’s Silver Linings
CONVERSATIONS Meet Longtime Donor Arthur Greenberg
GAINING PERSPECTIVE by Dr. Lee Hausner What Does “Wealth” Really Mean?
MEET OUR EXPERTS
We’re Here to Help
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About The Jewish Community Foundation Established in 1954, the Jewish Community Foundation of Los Angeles manages charitable assets of more than $1 billion entrusted to it by over 1,300 families and ranks among the 10 largest Los Angeles foundations. In 2020, The Foundation and its donors distributed $127 million to 2,700 nonprofits. Over the past 12 years, it has distributed more than $1 billion to thousands of organizations across a diverse spectrum. Visit jewishfoundationla.org.
REFLECTIONS From the President & CEO
Reflecting on L’dor V’dor With the recent loss of my father, of blessed memory, and the birth of a new grandson two days later, the concept of L’dor V’dor — the transmission of our culture’s values, rituals, and traditions to the next generation — has taken on even deeper meaning for me. When my grandson was named Levi — a modern Hebrew version of my dad’s name, Lou — the impact was profound. Just as a patriarch or matriarch’s name in a family is carried forth from generation to generation in special ways, so too our charitable values are handed down in various forms to our offspring. This has been a rich part of our Jewish tradition for centuries. And just as our tradition has evolved with new interpretations and customs developing, so too our charitable values are transformed in different ways by the next generations. L’dor V’dor is a concept deeply embedded in our work. For a long time, Foundation professionals have been actively helping our donor families transmit their charitable values to their next generations. This oftentimes involves the third generation of their family and even their fourth
For a long time, Foundation professionals have been actively helping our donor families transmit their charitable values to their next generations.
generation on occasion. It’s been something of a mishpocha affair for us, and we cherish this sacred work. You’ll read about the challenges of intergenerational philanthropy in this issue of Legacy. Frequently, multiple generations of a family have different approaches to charitable giving. They gravitate toward different causes that resonate with them, and their philosophy on giving may be incongruent with other generations of the family. Yet there is usually a path forward and a way to build consensus that allows each family member to implement their vision and values for a better world. It’s quite rewarding to observe and facilitate this transmission of charitable values L’dor V’dor. I can’t say for sure what kind of values or traditions my new grandson will absorb from his parents, but I’m certain of one thing — as he matures, he will learn a lot about giving back to the community. And just like his parents, grandparents, and great-grandparents did before him, so too Levi will one day explore creating a charitable fund to fulfill his particular philanthropic passions — L’dor V’dor.
Marvin I. Schotland President & CEO Jewish Community Foundation of Los Angeles
This article is dedicated to the memory of Lou Schotland, beloved husband, father, grandfather, great-grandfather, and Holocaust survivor, who lived from 1922 to 2021. jewishfoundationla.org 3
Naomi Strongin Vice President, Center for Designed Philanthropy
and the Pandemic’s Silver Linings Earlier this year, I met with a family that has three children in their 20s. For this family, philanthropy is a given, and they tend to support causes that honor the legacy of generations past. But their kids hadn’t been as interested in these philanthropic pursuits, focused instead on the competing priorities of school, jobs, friends, and extracurricular activities. Despite the parents’ attempts to engage them, philanthropy was never a priority for any of the three children.
Why Millennials Give In her book with Michael Moody, Generation Impact: How Next Gen Donors Are Revolutionizing Giving, Sharna Goldseker speaks to the top three reasons for giving among the next generation of donors, namely millennials. She explains that they are supporting a mission or cause that fits with their personal values, fulfilling their duty as people of privilege to give back to society and seeing that their contribution is making a real difference and the organization has impact. She says: “As these people are entering the working world and gaining more resources, they are caring about values more than valuables, and they’re making choices in alignment with those values.” When the pandemic hit, these reasons for giving that Goldseker discusses became top of mind for many young donors. Loss of jobs, homes, and access to food, 4 jewishfoundationla.org
Studies show that engagement of the next generation in philanthropy is front and center for many parents and grandparents who are looking to the long-term future of their family’s giving. “
alongside the overcrowding of hospitals and inequitable healthcare, were all over the news. COVID-19 brought longtime economic and social inequities to the forefront, and that was before racial injustice returned to center stage with the murders of George Floyd, Breonna Taylor, and many others.
Aligning Family Values
understanding of their ability and position to make an impact. Practically in an instant, the family’s conversation shifted from how to engage our next generation in philanthropy to how to align our family’s values to give to causes, as a family unit, we all feel good about. This shift is not unique. The past year has changed us all, too often upending everything we thought we knew. But some silver linings have emerged, and one of them is the emergence of youth and young adults as a fledgling philanthropic force, more eager than ever to help the most vulnerable populations in our community. This development comes at a critical juncture for many families, too. Studies show that engagement of the next generation in philanthropy is front and center for many
A switch went off for the three young adult children I worked with as they watched these events unfold. Almost overnight, they seemed to gain a clearer jewishfoundationla.org 5
FEATURE STORY Parents and grandparents have told us how thrilled they are to see their children and grandchildren step up to the plate. But this newly found interest also brings up myriad questions, such as: parents and grandparents who are looking to the longterm future of their family’s giving. And the potential of this generational changing of the guard is vast: a 2014 report by the Center on Wealth and Philanthropy at Boston College estimated that $59 trillion will be transferred to the next generation between 2007 and 2061, the largest wealth transfer in US history. Given this data, how can we ensure not only engagement by future generations but also confidence in how they will allocate funds and ensure our legacy?
The Foundation Can Help For decades, the Jewish Community Foundation has worked with families grappling with intergenerational questions and challenges just like this. During my 12 years working at The Foundation’s Center for Designed Philanthropy, a significant part of my role has been guiding donor families, many composed of two, three, and even four generations, on questions related to giving as a family unit. This past year, younger generations have stepped up in unprecedented ways, aiming to direct their resources toward the mission of tikkun olam, repairing our broken world.
• How do we align values and interests across generations? • How do we give as a family when there are fundamental differences in our core beliefs, values, and politics?
• How do we honor the lives, values, and philanthropic pursuits of past generations while giving a voice to future generations? • What resources, beyond dollars, can we use as a family to make an impact on the world — and how can we use our voices and our time to effect change?
• How do we know what kind of restrictions and parameters, if any, to put on our philanthropy as we transfer our wealth to the next generation? None of these questions have right or wrong answers. Rather, the responses are unique to each family, and figuring them out often comes from deep and meaningful conversations that take time and effort.
Silver Linings For all of the pain and suffering caused by the pandemic, this past year has provided a unique opportunity for families to come together to discuss how they want to make a difference in the world. It has created a gateway of sorts to begin discussing some of these challenging questions in order to work as a single unit to alleviate the pain and suffering of others. Multigenerational giving is not easy, and to do it effectively requires commitment and flexibility. Our team of trained experts at The Foundation is poised to work with families as they begin or continue their journey to help bring greater peace and justice in our community — L’dor V’dor — from generation to generation.
Some ground rules for a successful family discussion about philanthropy:
Listen While family dynamics can be complicated, interest areas may differ, and core values may not align, each family member, no matter their age or stage of life, deserves to be heard. Listening to one another with respect and without judgement can lead to important, honest, and meaningful conversations.
CONSIDER what is most important to you and your family. For some families, fulfilling the legacy of past generations rises above all else. For others, the interests of future generations matter most. And still for some, the impact of the dollars, no matter the particular cause, is what resonates. Through meaningful discussions, families can pinpoint their core values and the best way to act on those values and find common causes to support as a family unit.
Find common ground There will be many issues where family members will differ. One family member is interested in supporting Jewish causes; another sees childhood poverty as a top priority; and yet another is focused on environmental causes. There are ways to critically examine values and priorities to find areas that do align.
WORK WITH EXPERTS to consider your options. At the Center, we have guided families in a number of ways. Some families choose to create a formal family foundation with an overarching mission and vision that will continue for generations to come. Other families have chosen to open individual Donor Advised Funds for each of their children and grandchildren so that each one can choose how to give. And many more fall somewhere in the middle — engaging family members in conversations around philanthropy at the Thanksgiving, Shabbat, or Passover tables. jewishfoundationla.org 7
CONVERSATIONS With Our Donors
I’ve made arrangements in my estate plan that will enable my sons to use The Foundation for their own charitable giving.”
A Life of Service and Philanthropy For legal legend Arthur Greenberg, giving back is as natural, and as essential, as breathing. The 93-year-old founding partner of powerhouse law firm Greenberg Glusker says philanthropy is “the price we pay for living, something we should all make an indispensable part of our vital daily routines.” Growing up, Arthur was struck by his parents’ commitment to strengthening community. “They were of very modest means, but they always gave something to charity,” he recalls. It was a lesson he would carry with him into his own adulthood and pass on to his sons. To facilitate his philanthropy, Arthur turns to the Jewish Community Foundation. Partnering with The Foundation is a seamless and strategic way to distribute charitable dollars, he says — and, he notes, a smart approach to ensuring continuity through intergenerational giving.
Los Angeles Calls Born in 1927 to Russian Jewish immigrants in Detroit, Arthur and his family migrated west 10 years later in search of a climate better suited to his father’s health. Their destination was Los Angeles, which would serve as a hub of high achievement and distinction for Arthur over the next eight decades and counting. When he graduated from LA’s Manual Arts High School in 1945, Arthur volunteered for the US Army, and he went to Stanford for his freshman year because of the government’s one year of free college for enlistees. He thrived in Palo Alto but also felt the pull of home; after finishing his freshman year and completing his army service, he decided to transfer to UCLA. He stayed there
for law school, joining UCLA School of Law’s inaugural class and receiving his juris doctor in 1952. Seven years later, he hung out his own shingle, partnering with Philip Glusker and Irving Hill to launch Greenberg Glusker — today, the largest single-office, full-service law firm in California.
A Focus on Philanthropy As his business prospered, Arthur began investing in his local community. His philanthropy was both personal and professional. “I believed from the outset that the firm should be involved in charitable giving and that we have a collective obligation to help others by supporting organizations that do good things,” he says. Following his example, attorneys from the firm started taking on leadership roles in various nonprofit groups citywide. Arthur’s charitable pursuits were wide-ranging: He was a founding member of the Los Angeles County Museum of Art, the Museum of Contemporary Art, and the Skirball Cultural Center; a national officer and board member of American Jewish Committee; a past president of Leo Baeck Temple; and a former president of the Legal Aid Foundation of Los Angeles, to name a few. He gave
CONVERSATIONS With Our Donors
The Torah is passed from generation to generation at grandson Ted’s Bar Mitzvah.
as generously with his financial resources as he did his time, ultimately teaming up with The Foundation to allocate his gifts.
Arthur Greenberg and Claire Travis attend a Foundation event.
“It’s easy to give through The Foundation, and its staff is available to offer any support you may need,” Arthur says. “I had a lot of peace of mind knowing I could write a check to one central place that would assist me in disseminating the money.”
Pride and Purpose Preparing for the future does not distract a man with Arthur’s energy and drive from maximizing every moment in the present. In non-COVID times, he still went to the office every day, a practice he looks forward to resuming. “Being at the firm gives me pride and purpose,” he says. “To have taken a small shop of three people and grown it to more than 100 — I’m enormously proud to have played a role in that success.”
A book of life stories compiled and presented to Arthur on his 90th birthday. 10 jewishfoundationla.org
Arthur’s other passions include stewarding his extensive art collection, which has been celebrated by arts institutions worldwide. His interest in art and architecture extends beyond the museum and gallery: In the 1990s, he commissioned renowned Mexican Modernist architect Ricardo Legorreta to design and build him a house in Brentwood — an iconic landmark where Arthur still lives.
“ Arthur Greenberg and Claire Travis at home.
I’m grateful to be in a position to contribute — and to have The Foundation as a trusted resource by my side.”
Creating a Legacy One of Arthur’s primary goals in collaborating with The Foundation is to provide a structure his family can rely on to assist with their philanthropic endeavors over the long term. He has made it easy for his two sons and four grandchildren, based in Los Angeles and the Bay Area, to continue his legacy of community impact through a Donor Advised Fund. “I’ve made arrangements in my estate plan that will enable my sons to use The Foundation for their own charitable giving,” he says.
Surveying his many accomplishments, Arthur ranks his philanthropy as among the most important. “In a compassionate society, people should be entitled to help and relief,” he says. “I’m grateful to be in a position to contribute — and to have The Foundation as a trusted resource by my side.”
GAINING PERSPECTIVE by
Dr. Lee Hausner Former Foundation trustee and family wealth consultant
What Does “Wealth” Really Mean? The concept of wealth is not just a number on a bank statement, as people feel wealthy in ways that have little relationship to financial resources. Our strong Jewish tradition of tikkun olam, which is typically translated as “repair the world,” is a core value of philanthropy and leads to a sense of spiritual wealth and well-being. When working with families, I like to use the concept of philanthropy as a framework for “healing or enriching the family” as well as our greater society.
How do we define these capital accounts? It’s useful to look at wealth as being the total of four important capital accounts:
• Social Capital • Human Capital • Intellectual Capital • Financial Capital
Successful families work to build up the accounts in each of these areas.
Social Capital not only refers to financial contributions, but to volunteerism, public service, and leadership in the nonprofit community. Social Capital plays a role in not only fulfilling the goals of tikkun olam but also provides opportunities to enhance the strength of the other three important capital accounts. Human Capital consists of effective parenting and grand-parenting, collaborating, conflict resolution, team building, communication, shared values, morals and ethics, and spirituality. When a family works together on their philanthropic activities, when everyone contributes to joint decisions, there are opportunities for collaborating, understanding family values, communicating in a productive non-judgmental manner, and building the family team. When multiple generations
Senior family members have a responsibility to ensure that the next generation understands stewardship of the family’s financial resources.”
work together, grandparents are able to share their wisdom and experiences and this enhances the family legacy. This places deposits in the Human Capital account. Intellectual Capital involves education, career choices, coaching and mentoring, and governance, which is the process by which decisions are made in multigenerational families. Members of the rising generation often struggle. Sometimes the types of activities that have involved the family philanthropically open the door to career choices or to seeing work in the nonprofit sector as a career goal. If the family has organized their philanthropy through either a family foundation or Donor Advised Fund, the
younger generation has exposure to governance issues and the accountability of board members to regulations governing philanthropy. This can prepare them for board involvement in the future and gives the younger family member a unique opportunity to be mentored by their more experienced board colleagues. Thus the Intellectual Capital account is increased. Financial Capital encompasses how to make money, manage money, invest money, resolve family business issues, and understand how one’s relationship with money affects financial decisions, good or bad. The importance of building the Financial Capital account needs little justification.
Senior family members have a responsibility to ensure that the next generation understands stewardship of the family’s financial resources. In families of more modest means, all members of the family are involved in daily financial choices. Young family members work during high school to have their extra spending money, as an automatic allowance is not in the family budget. College will require student loans, and money dominates many family conversations. Contrast this to life in a more affluent household where money seems to be readily available for whatever one may desire. In this environment, families must be intentional in building financial literacy within successive generations, and philanthropy offers a way to learn. For example, family members can evaluate their giving by examining the budgets of the requesting organizations and then receiving a report as to how the money was used. If there is a foundation, junior family members can observe the activities of the
investment committee so they begin to understand the world of investing. This can be done with a Donor Advised Fund at the Jewish Community Foundation because investment reports from the organization can be used as instruction for the next generation. Recognizing these philanthropic learning opportunities leads to greater financial literacy.
The greatest reward. Ultimately the joy in philanthropy is what it does to our spirit and sense of self-worth. How fortunate you are to know that your family’s generous giving has made a difference in the lives of others. Winston Churchill summed it up beautifully by stating, “We make a living by what we get, but we make a life by what we give.”
THE LEGACY FAMILY Dr. Lee Hausner is an internationally recognized clinical psychologist, author, business consultant, and family wealth consultant. She served as the senior psychologist for the Beverly Hills Unified School District for 19 years and is the author of The Legacy Family: The Definitive Guide to Creating a Successful Multigenerational Family.
Learn more from our 2021 Series
Intergenerational Legacy Giving
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• Tuesday, July 13 at 12 p.m. • Register at jewishfoundationla.org/2021insights
Winston Churchill summed it up beautifully by stating, “We make a living by what we get, but we make a life by what we give.”
Giving to those not as fortunate as ourselves not only makes them smile, but makes you smile and feel good as you continue in our family’s multigenerational tradition of charitable giving.” — Dorothy and Ozzie, z”l, Goren (letter to their children)
Our grandchildren have become empowered through their Donor Advised Funds by supporting many causes they’re passionate about and selected without our direction. It’s so rewarding to see them grow independently in tzedakah, and it’s exactly what we had hoped for.”
— Peggy and Ed Robin
When it comes to philanthropy, we encourage our children to be independent. We hope that rather than just faithfully executing our wishes, they’ll make their own philanthropic decisions. The Center for Designed Philanthropy has been instrumental in helping our children take on their philanthropic responsibility by showing them how to work together effectively.”
— Rachel and Jack, z”l, Gindi jewishfoundationla.org 17
MEET OUR EXPERTS
We’re Here to Help
The daily work of overseeing competitive grant programs, connecting thoughtful donors to amazing nonprofits, and facilitating values discussions for multigenerational families is incredibly meaningful and rewarding.“
Warren Fong, Senior Program Officer, Center for Designed Philanthropy 18 jewishfoundationla.org
Naomi Strongin, Vice President, Center for Designed Philanthropy
Sara Hahn, Program Officer, Center for Designed Philanthropy
Charlotte Friedman, Program Officer, Center for Designed Philanthropy
Foundation donors bring boundless energy and creativity to their philanthropy.”
Dan Rothblatt, Executive Vice President
Steve Gamer, Vice President, Advancement
Natella Royzman, Vice President, Charitable Gift Planning
Whether guiding donors through the technical aspects of charitable planning or facilitating an exploration of the values and goals driving their giving, seeing the hope and kindness is inspiring.”
To learn more about us and our philanthropy experts, visit our website at jewishfoundationla.org or email us at email@example.com.
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