Despite being known for his philanthropy and frugal lifestyle, Warren Buffett is said to have often gifted his family members thousands of dollars in cash.
The billionaire’s former daughter-in-law, Mary Buffett, who was married to his son Peter in the 1980s, said she would give him $10,000 in hundred-dollar bills.
But that was until he discovered how family members spent money.
‘As soon as we got home, we’d spend it, wow!’ Mary said in a 2019 interview with Think Advisor.
‘Then one Christmas, there was an envelope with a letter from him. “Instead of cash, he gave us $10,000 in stock in a company he had recently purchased, a trust that held Coca Cola,” he said.
Mary told the outlet that Buffett, now worth $147 billion, told her to cash out the shares or hold on to them.
“I thought, ‘Well, (the stock) is worth more than $10,000. So I kept them and they kept going up,” he added.
He said that from that year on, Buffett continued to give away shares, which would grow in the long term.
The billionaire’s former daughter-in-law, Mary Buffett, who was married to his son Peter in the 1980s, said she would give him $10,000 in hundred-dollar bills.
Mary added that she would continue buying shares in any company her former father-in-law had given her, because “I knew it was going to go up.”
Stocks often rise after Buffett’s company, Berkshire Hathaway, reveals that it has bought certain stocks or shares, as investors believe Buffett is providing a seal of approval.
When it came time to get a Christmas gift for her then-father-in-law, Mary said she realized that because of his extreme wealth, he “doesn’t want anything.” Fortune reported.
Instead, he presented the balance sheet of the music company he owned with Peter to show him that it was profitable.
Mary, an author and personal finance expert, was married to Peter for more than a decade, from 1981 to 1993.
Mary was married to Peter Buffett for over a decade (pictured: Howard, Susie, Warren and Peter Buffett in 2011)
Mary Buffett said her ex-father-in-law Warren would give away company stock for Christmas
Buffett, 94, is famous for saying that he will not leave his astonishing wealth to his children and will give away 99 percent of the money he has earned.
And the renowned investor has spoken about some of his reasons in recent weeks.
The so-called ‘Oracle of Omaha’ said that he ‘never wished to create a dynasty’.
Buffett made the comments last month when he named three independent trustees to oversee his philanthropy after his three children. CNBC reported.
In a letter, the billionaire wrote: “I never wanted to create a dynasty or pursue any plan that extended beyond children.
‘I know all three of them well and I trust them completely. Future generations are another matter. Who can foresee the priorities, intelligence and fidelity of successive generations to deal with the distribution of extraordinary wealth amid what may be a very different philanthropic landscape?
Buffett has three children, who are now 71, 69 and 66 years old. He has anticipated that his wealth may take longer to disburse than his children live.
In addition to appointing trustees, Buffett also donated an additional $1.1 billion in Berkshire Hathaway stock to his family’s four charitable foundations.