Tradition 7
Short form
Every A.A. group ought to be fully self- supporting, declining outside contributions.
Long form
The A.A. groups themselves ought to be fully supported by the voluntary contributions of their own members. We think that each group should soon achieve this ideal; that any public solicitation of funds using the name of Alcoholics Anonymous is highly dangerous whether by groups, clubs, hospitals, or other outside agencies, that acceptance of large gifts from any source, or of contributions carrying any obligation whatever, is unwise.
Excerpt from the Twelve Steps & Twelve Traditions
Self-supporting alcoholics? Who ever heard of such a thing? Yet we find that's what we have to be. This principle is telling evidence of the profound change that A.A. has wrought in all of us. Everybody knows that active alcoholics scream that they have no troubles money can't cure. Always, we've had our hands out. Time out of mind we've been dependent upon somebody, usually money-wise. When a society composed entirely of alcoholics says it's going to pay its bills, that's really news.
Probably no A.A. Tradition had the labor pains this one did. In early times, we were all broke. When you add to this the habitual supposition that people ought to give money to alcoholics trying to stay sober, it can be understood why we thought we deserved a pile of folding money. What great things A.A. would be able to do with it! But oddly enough, people who had money thought otherwise. They figured that it was high time we now— sober—paid our own way. So our Fellowship stayed poor because it had to.
There was another reason for our collective poverty. It was soon apparent that while alcoholics would spend lavishly on Twelfth Step cases, they had a terrific aversion to dropping money into a meeting-place hat for group purposes. We were astounded to find that we were as tight as the bark on a tree. So A.A., the movement, started and stayed broke, while its individual members waxed prosperous.
Alcoholics are certainly all-or-nothing people. Our reactions to money prove this. As A.A. emerged from its infancy into adolescence, we swung from the idea that we needed vast sums of money to the notion that A.A. shouldn't have any. On every lip were the words “You can't mix A.A. and money. We shall have to separate the spiritual from the material.” We took this violent new tack because here and there members had tried to make money out of their A.A. connections, and we feared we'd be exploited. Now and then, grateful benefactors had endowed clubhouses, and as a result there was sometimes outside interference in our affairs. We had been presented with a hospital, and almost immediately the donor's son became its principal patient and would-be manager. One A.A. group was given five thousand dollars to do with what it would. The hassle over that chunk of money played havoc for years. Frightened by these complications, some groups refused to have a cent in their treasuries.
Despite these misgivings, we had to recognize the fact that A.A. had to function. Meeting places cost something. To save whole areas from turmoil, small offices had to be set up, telephones installed, and a few full-time secretaries hired. Over many protests, these things were accomplished. We saw that if they weren't, the man coming in the door couldn't get a break. These simple services would require small sums of money which we could and would pay ourselves. At last the pendulum stopped swinging and pointed straight at Tradition Seven as it reads today.
In this connection, Bill likes to tell the following pointed story. He explains that when Jack Alexander's Saturday Evening Post piece broke in 1941, thousands of frantic letters from distraught alcoholics and their families hit the Foundation* letterbox in New York. “Our office staff,” Bill says, “consisted of two people: one devoted secretary and myself. How could this landslide of appeals be met? We'd have to have some more full-time help, that was sure. So we asked the A.A. groups for voluntary contributions. Would they send us a dollar a member a year? Otherwise this heartbreaking mail would have to go unanswered.
“To my surprise, the response of the groups was slow. I got mighty sore about it. Looking at this avalanche of mail one morning at the office, I paced up and down ranting how irresponsible and tightwad my fellow members were. Just then an old acquaintance stuck a tousled and aching head in the door. He was our prize slippee. I could see he had an awful hangover. Remembering some of my own, my heart filled with pity. I motioned him to my inside cubicle and produced a five-dollar bill. As my total income was thirty dollars a week at the time, this was a fairly large donation. Lois really needed the money for groceries, but that didn't stop me. The intense relief on my friend's face warmed my heart. I felt especially virtuous as I thought of all the ex-drunks who wouldn't even send the Foundation a dollar apiece, and here I was gladly making a five-dollar investment to fix a hangover.
“The meeting that night was at New York's old 24th Street Clubhouse. During the intermission, the treasurer gave a timid talk on how broke the club was. (That was in the period when you couldn't mix money and A.A.) But finally he said it—the landlord would put us out if we didn't pay up. He concluded his remarks by saying, 'Now boys, please go heavier on the hat tonight, will you?'
“I heard all this quite plainly, as I was piously trying to convert a newcomer who sat next to me. The hat came in my direction, and I reached into my pocket. Still working on my prospect, I fumbled and came up with a fifty-cent piece. Somehow it looked like a very big coin. Hastily, I dropped it back and fished out a dime, which clinked thinly as I dropped it in the hat. Hats never got folding money in those days.
“Then I woke up. I who had boasted my generosity that morning was treating my own club worse than the distant alcoholics who had forgotten to send the Foundation their dollars. I realized that my five-dollar gift to the slippee was an ego-feeding proposition, bad for him and bad for me. There was a place in A.A. where spirituality and money would mix, and that was in the hat!”
There is another story about money. One night in 1948, the trustees of the Foundation were having their quarterly meeting. The agenda discussion included a very important question. A certain lady had died. When her will was read, it was discovered she had left Alcoholics Anonymous in trust with the Alcoholic Foundation a sum of ten thousand dollars. The question was: Should A.A. take the gift?
What a debate we had on that one! The Foundation was really hard up just then; the groups weren't sending in enough for the support of the office; we had been tossing in all the book income and even that hadn't been enough. The reserve was melting like snow in springtime. We needed that ten thousand dollars. “Maybe,” some said, “the groups will never fully support the office. We can't let it shut down; it's far too vital. Yes, let's take the money. Let's take all such donations in the future. We're going to need them.”
Then came the opposition. They pointed out that the Foundation board already knew of a total of half a million dollars set aside for A.A. in the wills of people still alive. Heaven only knew how much there was we hadn't heard about. If outside donations weren't declined, absolutely cut off, then the Foundation would one day become rich. Moreover, at the slightest intimation to the general public from our trustees that we needed money, we could become immensely rich. Compared to this prospect, the ten thousand dollars under consideration wasn't much, but like the alcoholic's first drink it would, if taken, inevitably set up a disastrous chain reaction. Where would that land us? Whoever pays the piper is apt to call the tune, and if the A.A. Foundation obtained money from outside sources, its trustees might be tempted to run things without reference to the wishes of A.A. as a whole. Relieved of responsibility, every alcoholic would shrug and say, “Oh, the Foundation is wealthy— why should I bother?” The pressure of that fat treasury would surely tempt the board to invent all kinds of schemes to do good with such funds, and so divert A.A. from its primary purpose. The moment that happened, our Fellowship's confidence would be shaken. The board would be isolated, and would fall under heavy attack of criticism from both A..A. and the public. These were the possibilities, pro and con.
Then our trustees wrote a bright page of A.A. history. They declared for the principle that A.A. must always stay poor. Bare running expenses plus a prudent reserve would henceforth be the Foundation's financial policy. Difficult as it was, they officially declined that ten thousand dollars, and adopted a formal, airtight resolution that all such future gifts would be similarly declined. At that moment, we believe, the principle of corporate poverty was firmly and finally embedded in A.A. tradition.
When these facts were printed, there was a profound reaction. To people familiar with endless drives for charitable funds, A.A. presented a strange and refreshing spectacle. Approving editorials here and abroad generated a wave of confidence in the integrity of Alcoholics Anonymous. They pointed out that the irresponsible had become responsible, and that by making financial independence part of its tradition, Alcoholics Anonymous had revived an ideal that its era had almost forgotten.
*In 1954, the name of the Alcoholic Foundation, Inc., was changed to the General Service Board of Alcoholics Anonymous, Inc., and the Foundation office is now the General Service Office.
Excerpt from The Twelve Traditions Illustrated
Please click the link below to open the pamphlet The Twelve Traditions Illustrated and read Tradition Seven or read the image below.
We do have to be practical. A group can hardly hold its regular meetings on a street corner, and an empty basket won't fill a coffee urn. As soon as we become active in a group, we learn how many expenses are involved in making its meetings effective. Then our horizons broaden. What about that intergroup or central office so many of us called to ask for help? Phone companies don't give free service. Beyond our own locality, we learn about the AA General Service Office and the work it does for groups everywhere. AA activity is self-supporting at all levels, and in every case the responsibility comes right back to us, the individual members, for we are AA.
Perhaps, especially when we are very new, our contributions clink, rather than rustle. The first members were in the same fix, and it seemed to them that AA would need more outside help than the modest gifts then coming in.
Their plans required grand-scale philanthropy. (Tradition Six hadn't evolved yet; Bill W. recalled a scheme for "a chain of hospitals.") But John D. Rockefeller Jr., an early friend said, "I am afraid that money will spoil this thing." A few AAs had already reached the same conclusion; gradually this minority became a majority as experience showed that members themselves could provide enough to finance AA's proper aim.
In its simplest application, Tradition Seven is easily understood; when we hear about a new AA group being started with funds from a Federal antipoverty program, our quick reaction is "Somebody goofed!" But then we come to "borderline" cases: Groups put on a raffle for the benefit of their central office and invite the public to buy tickets; a hometown paper runs an ad for a AA dance and show. Both projects would be routine for any other society. For us, both mean that we've got the hand out again, asking nonmembers for money.
Often, of course, we don't have to ask. AA is now high on the worthy-cause list; GSO and groups politely turn down many unsolicited gifts and bequests. In Tradition Seven, there's a note of realism: Handsome gifts may have strings attached. We even put a limit of $5,000 on the amount members may leave to AA in their wills or contribute annually while living, so that none of us can buy influence in AA, no matter how rich we are.
Money may pose a different problem if a group treasury grows too fat, beyond a prudent reserve. Squabbling over uses for the spare cash, groups have lost their unity and strayed from their purpose. But there's one simple solution that strengthens our unity and advances our purpose: Give the excess to AA activites and services...
Tradition Seven Discussion Questions
Are we supporting our group through our own contributions?
What is a prudent reserve and do we send surplus funds promptly to Intergroup?
What is our group money spent on? Could we spend it more wisely?
Should we accept money from newcomers or visitors or favours from landlords or suppliers?
Does our treasurer report regularly enough? Does our treasurer feel sufficiently supported and are they accountable?
How much is the right amount to give for tradition seven?
Is my giving anonymous or do I make my paper money obvious and stigmatise those on a lower income?
Do we understand the ‘power of the purse’?
Thoughts on Tradition Seven
One important inspiration for Tradition Seven that isn't mentioned in Bill's writing in the Rockefeller dinner in 1940. This is mentioned in the Forward to the Second Edition, p. xviii. Bill provides a more detailed report of this dinner in AA Comes of Age, p. 184. I find it interesting that AA got its inspiration for corporate poverty from one of the richest families in the world. Despite the view that money would spoil AA, the Rockefeller foundation did make a small donation of several thousand dollars to the fellowship. To date, Alcoholics Anonymous is the only recipient of a donation from the Rockefeller foundation who has paid back every cent.
Nelson Rockefeller. Directly in front of me was Wendell Willkie. The dinner was squab on toast. For a bunch of ex-drunks, we were doing remarkably well. We wondered how Mr. Rockefeller had dared to go so far out on a limb for an obscure and struggling fellowship of alcoholics.
After dinner Mr. Nelson Rockefeller rose to his feet. He expressed his father’s regret for being unable to attend. He told how deeply Mr. John D., Jr., had been affected by his experience with this society of Alcoholics Anonymous. Promising a highly interesting evening, Nelson Rockefeller began to introduce the speakers. Dr. Fosdick gave us a most wonderful testimonial and expressed complete confidence in our future. Dr. Kennedy warmly endorsed us and read a letter of protest he had written to the Journal of the American Medical Association because in their review of the book Alcoholics Anonymous they had somewhat ridiculed us. Dr. Bob spoke briefly, and I gave a rapid account of my own experience as a drinker, my recovery, and the subsequent history of our fellowship. As we watched the faces of the guests, it was evident that we had captured their sympathetic interest. Great influence and great wealth were soon to be at our disposal. Weariness and worry were to be things of the past.
Finally the big moment came. Mr. Nelson Rockefeller, visibly moved, got to his feet once more. On behalf of his father he thanked us all for coming. He reiterated that few more affecting things than Alcoholics Anonymous had ever crossed his father’s life. His father would be delighted, Nelson said, to know how many guests had availed themselves of the chance to see the beginnings of this most promising adventure of Alcoholics Anonymous.
Breathlessly we waited for the climax - the matter of money. Nelson Rockefeller obliged us. Continuing, he said, “Gentlemen, you can all see that this is a work of good will. Its power lies in the fact that one member carries the good message to the next, without any thought of financial income or reward. Therefore, it is our belief that Alcoholics Anonymous should be self-supporting so far as money is concerned. It needs only our good will.” Whereupon the guests clapped lustily, and after cordial handshakes and good-byes all around, the whole billion dollars’ worth of them walked out the door.
We were dazed. Why had Mr. Rockefeller gone to all that trouble-just for this? We simply could not figure it out. But a few days later we began to see, and as time passes Alcoholics Anonymous sees ever more clearly what he meant and what he did.
Dick Richardson had transcripts of all the talks that had been made at the dinner, and he asked me to condense and edit them. This really meant editing Dr. Bob and me, for who would edit Dr. Harry Emerson Fosdick and Dr. Foster Kennedy? Dick said that Mr. Rockefeller wanted to buy 400 books, and we let him have them at a whopping discount, too: one dollar each. He wanted to send one to every guest on the dinner list, along with a pamphlet containing the talks given at the dinner.
(AA Comes of Age, p. 184)
A transcript of the pamphlet mentioned above, along with some associated press cuttings can be downloaded or viewed by clicking the button below.
So what is the 'power of the purse'? It is the ability for groups, Intergroups and Regions to withhold funds if they feel that any part of the service structure below them is not acting in the best interests of the fellowship or in line with the Traditions, Concepts or Warranties. Although this power is rarely exercised, it is an important tool which gives groups and service bodies the power to draw an erring service body back into line.
In my time of service, one particular application of Tradition Seven and the 'power of the purse' stands out (Concept Seven, AA Service Manual Combined with Twelve Concepts for World Service 2021-2023, p. C21). In some Intergroups it is the custom to collect 'Tradition Seven' at meetings. This was addressed with a conference question in 2019 (General Service Conference Final Report, Committee 4, Question 1). While the response was sensible, it seemed to fail to recognise the potential (however unlikely) that Intergroups could self fund to some extent if the officers were willing to do so. This could potentially remove the 'power of the purse' from the groups, thereby disempowering them. Admittedly, this is unlikely, but there is a principle here worth protecting. Service bodies such as Intergroups and Regions are not groups. Therefore I would suggest that service bodies who take a collection are actually in breach of Tradition Seven. The long form of the Tradition makes the place where funds are collected quite clear - at groups.
When I first came into AA there was a lot of talk about the need for funds at GSO. This is no longer the case but the view still persists. GSO, through Conference, have encouraged groups and service bodies to spend their funds in the pursuit of our primary purpose before sending funds further down the service structure. GSO currently has more than sufficient funds and while we must continue to send surplus funds through the service structure, spending funds appropriately has actually been encouraged by Conference.
This Tradition probably causes more discussion among the fellowship than any other. Money remains a contentious issue for many of us. Shropshire Intergroup and Wales & Borders Region has sought to address this issue by publishing their balance sheets live online (see Conference Recommendations from 2006, Committee 2, Question 1). This means that as spreadsheets are updated, they are also automatically updated on their website. The charts also specify how and why the prudent reserve is held at the amount decided – another frequent bone of contention. This level of transparency has significantly reduced arguments over money and is something this is currently under consideration at a handful of other Intergroups. You can see the financial reports that Shropshire Intergroup produce here. If you'd like to learn more aobut how this is achieved, please contact chair.shropshire@aamail.org.