The Bill & Melinda Gates Foundation, the world’s largest private philanthropic organisation, has approved a record $9 billion annual budget for 2026 as it accelerates its “spend-down” strategy ahead of its planned closure on December 31, 2045. The foundation’s board endorsed the historic payout to expand its work on global health, poverty reduction, education and other priority areas over the next two decades.
The increased spending is part of a broader plan to allocate nearly all of the foundation’s resources, and a large portion of co-founder Bill Gates’ personal wealth, to high-impact grants before winding down operations by 2045. Gates has publicly stated that he intends to give away virtually all of his wealth through the foundation over the next 20 years, a shift from previous long-term funding models in favour of addressing urgent global challenges now.
To maximise the amount of funding directed to charitable work, the foundation’s board also approved measures to limit operating expenditures, including a cap on overhead costs. As part of that plan, the foundation will reduce its current headcount by up to 500 positions by 2030, representing about 20 percent of its roughly 2,375 employees. The staff reductions, which will occur gradually and be reviewed annually, are intended to free up more funds for direct programmes rather than administrative costs.
CEO Mark Suzman said the operating cap and budget structure are designed to ensure as much money as possible flows toward partners and initiatives that save and improve lives, especially in regions facing persistent health and development challenges. With approximately 70 percent of the budget earmarked for global health work, maternal and child health, vaccine development, and disease eradication efforts remain top priorities.
The foundation has already distributed more than US$100 billion since its founding in 2000 and plans to double that in total giving by 2045. The accelerated payout model reflects a broader trend among some major philanthropists who prefer “time-limited” giving, prioritising immediate impact over perpetual endowment growth.
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