Most of us have heard of the great philanthropists of the past, and we know about wealthy contributors in today’s world. But how many of us think of children and young adults as potential philanthropists who can, and will, give lots of money, either inherited or earned, to significant causes? Do they really have the compassion, interest, and support to think big and take action?
If you ask Talia Leman, she will say emphatically, yes! What gave the then-10-year-old confidence to get the word out and find donors who amassed $10 million for kids affected by Hurricane Katrina? It all began when Leman saw images of the destruction caused by the hurricane. That motivated her to create a successful charity that raised money through trick-or-treating.
The Art of Fundraising
This was only the beginning of Leman’s philanthropy. Later on, she helped start a nonprofit called RandomKid that encourages young people to do something about the causes they believe in. From 2006 to 2022, the organization has raised $12 million for its diverse projects, according to its website. Today, RandomKid has mobilized the efforts of 12 million youth from 20 countries to provide aid on four continents.When a kid doesn’t have any money but wants to create and fund projects that provide services, what can be done? RandomKid uses a unique approach to provide substantial opportunities for young people to raise money to execute their great ideas. Dana Leman, co-founder of RandomKid and mother of Talia Leman, described how the program works. When a young person, or sometimes a school or group of children, contacts RandomKid for assistance with a project idea, they are guided to make a list of all the ways their project can produce results or “wins.” For example, participating children could learn leadership skills, community building, and how to work together, all while boosting their volunteering records. The organization then drafts a fundraising plan.
Around 2009, RandomKid launched the “Great Strides” project to benefit children in underdeveloped countries who had trouble walking because of a condition called clubfoot. The money would go toward funding nonsurgical medical procedures at the University of Iowa that would correct the condition. “Youth participants raise funds by getting sponsors to pledge money for the number of miles a child walks, at home or during recess at school. The project was very concrete since kids were asked to walk so other children could get the treatment they needed in order to be able to walk,” explained Mitzner Leman. One group of students made a map charting a symbolic walking route from the starting point at their school toward the destination country where the children needing the procedure lived. “They wore pedometers provided by RandomKid and kept track of their progress as they accumulated miles, marking it on the map.” It was a success. “The wins were many: Kids socialized as they walked together during recess, exercised, interacted with University of Iowa physicians, and received affirmations when they completed their last mile, celebrated at a public event,” she said.
RandomKid also encourages young people to hold back 10 percent of what they raise, in order to fund the next child’s project. Nearly 100 percent of children choose this option, making it possible for other philanthropic efforts to get the startup funds they need to launch their ideas for a better world. RandomKid has collected data since 2005 showing that any money invested in a youth project yields a 300 to 1,000 percent return for the intended recipients of those funds. This “big return” encourages adult donors to invest in startup funds through RandomKid. Their giving can be a high-yielding investment in charitable returns and teach children invaluable lifelong skills.
The Next Generation
If philanthropy is beneficial in so many ways, shouldn’t there be more of an effort to educate children and young adults on this topic? Fortunately, there are significant efforts to address this. The most outstanding one in the United States is in Grand Rapids, Michigan.
Moody and fellow researcher Sharna Goldseker also wrote a 2017 book on their findings, “Generation Impact: How Next Gen Donors Are Revolutionizing Giving,” in which they determined that the inherited and earned wealth of young adults today and their innovative approaches to philanthropy are unprecedented. They do things differently and more effectively than past philanthropists. Next Gen donors are more apt to create giving circles—combining wealth to donate as a group—and they prefer to use a more hands-on approach, getting involved in their projects rather than just writing a check. They use new methods to contribute to these causes. According to a 2022 study by the Johnson Center, “A new segment of donors who got rich quickly in the crypto market is now emerging in the sector in a big way. Cryptocurrency contributions to donor-advised funds (DAFs) at Fidelity Charitable Trust more than doubled from $13 million in 2019 to $28 million in 2020.”
