A financial security scheme for descendants of donors could invite donors to donate even more. Donors would not have to retain a part of their fortune for assuring a descent life for their descendants. The financial security scheme would thus increase the money made available to charities.

Many donors would even donate more if they knew for sure that their descendants will have a descent life. Organisations which are promoting the creation of  foundations or normal insurances could provide a financial service that assures a certain minimum living standard for descendants of donors. Contrary to ordinary pension schemes the descendants would only receive an allowance when they are really in a situation of financial need. Thus the donor would be sure that his descendants do not just lay back and do nothing. At the same time he would not need to use so much of his fortune to assure a descent life for his descendants. Many of the descendants will work or build up their own fortune, without wanting to rely on the financial security scheme. Thus there is less money needed to assure a minimum living standard for all descendants than it is needed to obtain the same effect by heritages.

Tags: donation, finance, heritage