How the obscenely rich stay that way.

I read that Dale Carnegie declared that he thought it was crime for the rich to die that way, so he created the Carnegie charities to give his wealth away. The trouble was, he found that he then somehow got even richer no matter how he tried. The poor guy. Even if I had been around to help him get rid of it, after I got a decent yacht and a couple of houses and maybe lived on a cruise-ship, I would run out of ways for me to spend it and would have to start getting a few hundred thousand others in to help. That's the trouble with us poor people, we just can't think creatively enough about how to squander money. Its damn near criminal of us. Anyway, on with the story.

By Eric Jul. 7th, 2008 at 3:25 pm at http://neosmart.net/blog/2008/richard-stallman-expert-in-the-art-of-fud/

(Reprinted in full)

There are a LOT of correct observations in the comments here including the tax shelter mentioned above.

That's exactly what the B&M foundation was formed for. What most Americans don't know is that many pro athletes (and other wealthy individuals) form these same foundations (IRS 501c3) to shelter their income and all they have to do is utilize a small percentage of the revenue towards the stated goals of the organization as described to the IRS.

I'm also the president of a board for a 501c3 charter school so I know how they are structured and how they work. What most people don't know is that 501c3 status does NOT preclude you from making a profit. There are two types, a non-profit (B&M foundation) and a not for profit. The prior can make money and shelter it within the 501c3 (in a nut-shell).

The other half NO ONE has caught wind of yet (not even RMS) is that the B&M foundation has a large software development team who are actively developing the B&M eCharity platform to manage individual and corporate donations. The B&M foundation is actively pushing this solution at United Way and other large charitable organizations as a middle-man product to collect and manage donations, albeit for a nominal fee. You may say, ehhh.. it's still compulsory usage right? Not exactly... The B&M foundation is pushing hard and getting support.. When you have that kind of cash in the bank (B&M), organizations usually roll over and fall in line.

The CEO of a TX based United Way chapter let me know that this is a MAJOR concern for them because it would centralize charitable donations that Americans normally do through payroll deductions and that cash would then flow through this B&M foundation system. This now creates a vacuum for local charities since the donations would no longer go directly to them (i.e. the local charity chapter). The local charitable organization would have to go this "company" for their money minus the handling (extortion) fees.

Now you have the B&M foundation sitting in the middle of a $300 billion dollar transactional stream taking their cut which goes to the B&M foundation originally formed by Billy G and Warren Buffet to shelter their billions.

You seeing the bigger picture here?? The B&M foundation is not what it's billed as. It is a for profit center (run by a ruthless ex CEO) and they want YOUR money to go to them before going to the charity of YOUR choosing first.