If you are 70½ or older and have a traditional Individual Retirement Account (IRA), you can make an immediate impact to the congregation through an IRA Charitable Distribution. An IRA Charitable Distribution allows you to make a gift to the Sisters, Servants of the Immaculate Heart of Mary, satisfy part or all of your annual required minimum distribution from your IRA and exclude part or all of that distribution from your taxable gross income, thereby reducing your tax liability.
For your gift to qualify
- You must be 70½ years of age or older at the time of your distribution. Even though the SECURE Act raised the
required minimum distribution (RMD) age to 72, the qualified charitable distribution (QCD) age remains 70½
- The transfer must be made from your IRA directly to the Sisters, Servants of the Immaculate Heart of Mary.
- Your total annual IRA Charitable Distribution gift(s) cannot exceed $100,000 in the calendar year of the gift.
- Your gift must be made by Dec. 31 of the year you decide to make the gift.
- Your gift must be outright. Gifts from your IRA to donor-advised funds or life-income vehicles such as charitable gift annuities or charitable remainder trusts do not qualify as IRA Charitable Distribution gifts.
An IRA charitable distribution gift may benefit you
- As an easy and convenient way to make a tax-free gift from one of your major financial assets. You may also consider renewing or increasing your annual gift with your IRA Charitable Distribution;
- As an exclusion from your gross income; and
- By counting toward your required minimum distribution.
Making your gift is easy
- Contact your IRA custodian before December 31.
- Ask that your charitable distribution be made payable to Sisters, Servants of the Immaculate Heart of Mary, Monroe, Michigan
- Transfers from your financial institution need to include your name and address.
As always, we encourage you to consult with your financial advisor.