Are your required minimum IRA distributions greater than you need, or care to receive? Would you like to reduce the taxable income from your IRA?

The IRA charitable rollover (also known as a qualified charitable distribution or QCD by financial planners) is an excellent way to make a tax-free gift to Congregation Rodeph Shalom. Your gift from your IRA of up to $100,000 per year can satisfy your required minimum distribution without increasing your income taxes. Although you don’t get an income tax charitable deduction for your gift, you don’t pay taxes on your IRA withdrawal. In effect, the IRA charitable rollover is a tax-reducing and tax-free way to make a gift to Congregation Rodeph Shalom.

If you are 70 ½ or older you can tell your IRA administrator to transfer your gift directly from your traditional IRA account to Congregation Rodeph Shalom.

  • Consider these important requirements to make an IRA charitable rollover:
  • You must be age 70 1/2 or older when the gift is made.
  • The gift must come from a traditional IRA account. (401(k), 403(b), SEP IRA accounts, and other retirement accounts do not qualify.)
  • The gift must come directly from your IRA administrator to Congregation Rodeph Shalom.
  • Total IRA charitable rollover gifts in any one year cannot exceed $100,000 per donor.
  • Spouses can each make an IRA rollover gift, but the gift must come from their respective IRA accounts.
  • The IRA rollover gift can count toward your required minimum distribution (RMD) if you have not already taken your RMD for the year you make your gift.
  • The gift from your IRA will not be available as an income tax charitable deduction.
  • The gift from your IRA will be excluded from income.
  • No goods or services can be received in exchange for the contribution.

Always consult your tax advisor if you are considering a gift of this nature. If you are interested in making an IRA charitable rollover gift, contact Jeff Katz

Congregation Rodeph Shalom is not providing legal or tax advice and always recommends that donors consult their legal and tax advisors when considering a gift to the Congregation.