Melinda French Gates Models Three Strong Lessons for Philanthropists
Gates' willingness to pivot and her focus on her charitable giving vision provide an excellent example for current and future philanthropists.
Philanthropist Melinda French Gates recently made headlines when she announced she was formally stepping down from the Bill and Melinda Gates Foundation. Notably, it was reported by NBC News that she will retain “$12.5 billion that she plans to put toward her ongoing work supporting women and families.”
With (perhaps) a clearer path ahead and a resolve to be hyper-focused on her core areas of support, Gates’ announcement provides strong lessons for current and future philanthropists about the importance of having a plan, being willing to pivot and always aligning your vision with your funding abilities.
Her success affirms that with a plan, a focus area and the knowledge of which partnerships to pursue (or leave), both current and future philanthropists can greatly improve their impact.
From just $107.88 $24.99 for Kiplinger Personal Finance
Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Lesson #1: Always have a plan.
A philanthropic fund can be utilized most effectively when there is an alignment with values, passions and interests. Philanthropic planning allows individuals and organizations to make a thoughtful and strategic approach to charitable giving and to help maximize their donations' impact.
This includes developing an investment policy statement, asset allocation and portfolio construction, fiduciary compliance and oversight, risk management, family legacy planning and customized reporting and analysis for your investment committees.
Starting with a well-thought-out plan helps to ensure that resources are directed toward causes that resonate deeply with you, increasing the potential for meaningful impact. Having this plan in place helps you stay on target for your charitable giving goals now and in the future.
Indeed, as a leader who has centered her work on improving the lives of women and children, Gates has been steadfast in her commitment to supporting the next generation of female leaders. As she began to identify the severe lack of funding for women founders, she launched Pivotal Ventures to invest in early-stage companies led by women.
Lesson #2: Autonomy can be a superpower.
Sometimes, partnerships that start off on the strongest footing will no longer serve you. In the Gates Foundation example, this could be the dissolution of marriage between two founders, or more commonly, breaking ties with a trusted adviser. Indeed, the Gates Foundation made an incredible impact in its decades of existence, but the divorce of its founders certainly shifted the relationship and communication style.
Philanthropists must be flexible and willing to pivot when necessary to ensure their contributions have the greatest impact. According to Philanthropy Miami, “Flexibility goes beyond mere survival — it enables nonprofits to thrive in times of change. By embracing a mindset of flexible leadership, nonprofit leaders can foster a culture of resilience and innovation within their organizations.”
While seeking professional advice and collaborating is essential, philanthropists should not be afraid to go it alone if the original plans or partners aren’t aligned with their goals. This autonomy can empower philanthropists to pursue their vision more effectively and innovatively, attracting new partners as their goals and values evolve.
Lesson #3: Double down to effect the greatest change.
Over the past 20 years, the Gates Foundation has donated $53.8 billion to fight poverty, disease and inequity worldwide. While they have certainly made tremendous strides in those areas, these issues have not yet been eradicated.
Philanthropy is an ongoing endeavor with vast, seemingly endless, amounts of money needed to tackle some of society's biggest challenges. One thing is clear: While easy, micro philanthropy (small sums donated at cash registers or round-up opportunities) will not move the needle.
To effect change, philanthropists must do the deep work to figure out what they love and where they want to help. Open Philanthropy suggests considering the following three factors when evaluating an area to fund:
Importance. How important is this focus area, and how many people are affected?
Neglectedness. How neglected is this focus area?
Tractability. Are there clear ways a funder could contribute and make significant progress?
Gates’ commitment to supporting women and families reflects a concentrated effort to address specific issues that are important to her. By doubling down on these core areas of interest, she exemplifies how focusing on fewer areas can create a more significant and lasting impact compared to spreading resources too thin across numerous smaller initiatives.
It’s clear that in her next chapter, Gates’ impact and influence will continue to grow. By following her model, current and future philanthropists also have a great opportunity to mold a better world in their vision.
ALINE Wealth is a group of investment professionals registered with Hightower Securities, LLC, member FINRA and SIPC, and with Hightower Advisors, LLC, a registered investment advisor with the SEC. Securities are offered through Hightower Securities, LLC; advisory services are offered through Hightower Advisors, LLC.
Third-party links and references are provided solely to share social, cultural and educational information. Any reference in this post to any person, or organization, or activities, products, or services related to such person or organization, or any linkages from this post to the website of another party, do not constitute or imply the endorsement, recommendation, or favoring of ALINE Wealth or Hightower Advisors, LLC, or any of its affiliates, employees or contractors acting on their behalf. Hightower Advisors, LLC, do not guarantee the accuracy or safety of any linked site.
Related Content
- Apple TV+'s 'Loot' Offers Five Lessons for Inheriting Wealth
- Six Charitable Giving Strategies: Feel Good and Cut Your Taxes
- Philanthropy Needs Innovation to Help With Social Problems
- How to Maximize Your Impact With Strategic Philanthropy Tools
- How to Assess the Impact of Your Charitable Giving
-
How to Avoid the Financial Quicksand of Early Retirement LossesSequence of returns — experiencing losses early on — can quickly deplete your savings, highlighting the need for strategies that prioritize income stability.
-
How an Elder Law Attorney Can Help Protect Your Aging ParentsIf you are worried about older family members or friends whose financial judgment is raising red flags, help is out there — from an elder law attorney.
-
Q4 Post-Mortem From an Investment Adviser: Year of ResilienceFinancial pro Prem Patel shares his take on how markets performed in the fourth quarter of 2025, with an eye toward what investors should keep in mind for 2026.
-
This Is How Early Retirement Losses Can Dump You Into Financial Quicksand (Plus, Tips to Stay on Solid Ground)
Sequence of returns — experiencing losses early on — can quickly deplete your savings, highlighting the need for strategies that prioritize income stability.
-
How an Elder Law Attorney Can Help Protect Your Aging Parents From Financial Mistakes
If you are worried about older family members or friends whose financial judgment is raising red flags, help is out there — from an elder law attorney.
-
Q4 2025 Post-Mortem From an Investment Adviser: A Year of Resilience as Gold Shines and the U.S. Dollar Dives
Financial pro Prem Patel shares his take on how markets performed in the fourth quarter of 2025, with an eye toward what investors should keep in mind for 2026.
-
Is Your Emergency Fund Running Low? Here's How to Bulk It Back UpIf you're struggling right now, you're not alone. Here's how you can identify financial issues, implement a budget and prioritize rebuilding your emergency fund.
-
An Expert Guide to How All-Assets Planning Offers a Better RetirementAn "all-asset" strategy would integrate housing wealth and annuities with traditional investments to generate more income and liquid savings for retirees.
-
7 Tax Blunders to Avoid in Your First Year of Retirement, From a Seasoned Financial PlannerA business-as-usual approach to taxes in the first year of retirement can lead to silly trip-ups that erode your nest egg. Here are seven common goofs to avoid.
-
How to Plan for Social Security in 2026's Changing Landscape, From a Financial ProfessionalNot understanding how the upcoming changes in 2026 might affect you could put your financial security in retirement at risk. This is what you need to know.
-
6 Overlooked Areas That Can Make or Break Your Retirement, From a Retirement AdviserIf you're heading into retirement with scattered and uncertain plans, distilling them into these six areas can ensure you thrive in later life.
