I ran across this story on the Chicago Tribune website filed under “Happy News,” and I couldn’t resist sharing it with you. According to the Tribune, Grace Groner lived frugally for years on a secretary’s salary and upon her death at age 100, she donated $7 million to her alma mater, Lake Forest College. In addition to this incredible donation, she also created a small scholarship program and gifted money to it consistently for years. What an amazing feat for a woman in her position! So how did she do it?
The Tribune added that Groner’s behemoth donation was the result of a $180 stock purchase she made in 1935, which is now worth $7 million. The shares in Abbott Laboratories, where she worked as a secretary for over 43 years, spilt many times over a span of seven decades. Grace just kept reinvesting the dividends. Grace’s investing strategy of putting all of her financial eggs in one basket is not a strategy we would recommend, but in this case, it worked out very well for her.
The stock purchase turned out to be a good investment and she handled it wisely through the years, but the most interesting thing is how she lived and why she never felt the need to spend any of the money. She lived very frugally and felt no reason to live like her affluent neighbors. She kept a small apartment for years until a friend willed her a home in the neighborhood of Lake Forest, once reserved for servants. The one-bedroom house contained only the essentials, a few pieces of furniture and kitchenware. Rather than buying a car, she walked to work. Her clothes were bought from garage sales and thrift stores.
Grace lived through the Great Depression and was very restrained with her finances, similar to many others who went through this devastating time. She was a kind and caring lady with a great sensitivity to those in need whom she would help with small gifts, according to Pastor Kent Kinney. She helped many people over her lifetime and will continue posthumously to help many more young students realize their educational dreams.
“The foundation’s millions should generate more than $300,000 a year for the college, enabling dozens more students to travel and pursue internships. Many probably wouldn’t be able to pursue those opportunities without a scholarship: 75 percent of the student body receives financial aid,” said Stephen Schutt, Lake Forest College President.
While we all can’t be a Grace Groner or want to live such a restrictive financial lifestyle as she did, we can take a lesson from this—the importance of giving. But you may be saying. “I’m barely squeaking by myself, how am I supposed to help anyone else?” It is possible to give on a budget, you just have to plan for giving and work it in. It doesn’t matter how much you give, just plan to give a certain amount each month. Whether it is $10, $20, $500 or buying stock and planning your estate like Grace did, you can help someone who has nothing or just needs a little help.
Giving increases our emotional wealth, and it can even increase it financially. I’ve always tried to work giving into my financial plan. I’ve even experienced the joys of being on the receiving end; at a time when I was in my darkest financial hour, on my own with two small children and suffering from an illness that kept me from work, a man heard of my story and gave me enough money to get back on my feet. I will never forget him and his example of selfless giving. No matter the reason behind your giving, just give what you can and watch the seeds of your effort grow just as Grace Groner did.
