Warren Buffett Net Worth, Money and More
Net Worth: $58.2 billion
Career/Profession: Business magnate, Philanthropist
“Someone is sitting in the shade today because someone planted a tree long time ago.”
This single humble man is considered to be the most successful businessman of the 20th century. He is the chairman and CEO of Berkshire Hathaway, and is undoubtedly one of the richest personalities of the world. He is also known widely for his philanthropic causes and charitable works. He had pledged to donate 99% of his wealth to charitable causes.
The Birth of Greatness
Warren Buffet was born in Omaha in 1930 to U.S Congressman Howard Buffett and Leila. He went to the Rose Hill Elementary School in Omaha and later moved to Washington D.C where he attended junior school and graduated in 1947. Ever since his childhood days, Warren Buffett was very particular about making and saving money in all possible manners. He made money by doing chores like selling newspapers, Coca Cola, selling golf balls and car detailing and many others. He was also interested in the stock market from a very early age. In 1947, he joined the Wharton School under the University of Pennsylvania and later went to University of Nebraska-Lincoln and graduated with a bachelor’s degree in business administration. He then got his masters degree in Economics from the Columbia Business School.
Hard Earned Success
In 1950, when Buffett was all of 20, he saved almost $ 9,800 and in 1952 when he discovered that Benjamin Graham was on the board of GEICO insurance, he took a train to Washington D.C and reached the GEICO headquarters there. He met the Vice President of GEICO and discussed about business. He also worked for Benjamin Graham there.
After returning to Omaha, Warren Buffett was working as a stockbroker and simultaneously was taking Dale Carnegie public speaking course. Using that knowledge and experience, he went on to teach Investment Principles at the University of Nebraska, Omaha.
He got married in 1952 to Susan Thompson. In 1954, he started working with Benjamin Graham, where he earned $12,000 a year. After Benjamin Graham retired, he closed the partnership. So Buffett, who had by then saved $1,74,000, started his own investment company, Buffett Partnership Limited.
By 1962, Buffett became a millionaire because of all the partnerships we was operating at that time. He merged all those partnerships into one company and then started Berkshire Hathaway as a textile business. But after his partnerships started purchasing shares of Berkshire Hathaway, he had to close the textile business and moved the company to the insurance sector. Within a few years, Buffett was named in the Forbes 400 list for the first time when his net worth reached $620 million. This was the time when Buffett began acquiring shares in the Washington Post and ABC. He also purchased stocks in the Coca Cola Company and purchased 7% of the company, which is regarded as one of his most successful investments.
“I am a billionaire now”
In May 1990, when the market was closed at $7, 7175 per share of Berkshire Hathaway, Warren Buffett officially became a billionaire. In 1998, he made an unusual move by acquiring Gen Re for stock, which provided reinsurance when Buffett got involved with Maurice R. Greenberg at AIG. Greenberg was forced to resign due to the AIG fraud and Berkshire Hathaway got a compensation of $92 million form AIG.
In 2002, Buffett’s net worth was $11 billion and used to forward contracts and delivered US dollars in return for other currencies. His profit from these contracts was more than $2 billion and he decided to give away 85% of the Berkshire profits to charity, the largest of which went to Bill and Melinda Gates Foundation.
In 2008, Buffett was the richest person in the world with a net worth of $62 billion.
Warren Buffett is perhaps the richest man to do the most numbers of charitable donations.
1. Bill & Melinda Gates Foundation
In 2006 when Warren Buffett decided to give away 85% of his wealth to charities, he declared that 83% of it would go to the Bill & Melinda Gates Foundation. This became the largest donation ever in history.
2. The Giving Pledge
This organization in the US is one which encourages the richest people in the country to donate most of their wealth for charitable purposes. Buffett is a part of it and one of the highest donors to charity.
3. Lunch with Buffett
Every year, whoever wins the Lunch with Buffett auction, Warren Buffett has lunch with him and all the collections from the auction goes to charity.
For a man as high as Warren Buffett, we all expect him to have high end cars and posh mansions. Let’s have a closer look what this man has got
1. Laguna Beach Home
This house was purchased by Buffett in 1996 for $1,00,000 but later sold it in 2005. This mansion is isolated from the busy city and offers a beautiful view of the Pacific Ocean. This house stretches over an area of 3,103 sq. ft. and has four grand bedrooms and four bathrooms. The house has glass walls which make the view of the ocean even more beautiful.
2. Omaha Home
This is probably the most modest home any billionaire has lived in. This house in the Happy Hollow neighborhood is where Buffett still lives, without any security. This house, bought in 1958, has an area of 6,234 sq. ft. and has 5 bedrooms and 3 bathrooms.
3. The Indefensible Private Jet
Buffet’s private jet is one of the most luxurious business class jets in the world. This 16-seater has leather seats and a Rolls Royce powered engine.
4. Lincoln Town Car
This luxurious sedan was owned by Buffett before he auctioned it off in 2007 for charity.
This one man shows us how humble and kind hearted a man can be even after tasting immense success.