It's smart, easy, and tax-wise to give from your IRA
Charles: We wanted to make larger donations to Oakland Symphony. We were concerned about conserving our cash for the future.
Because Charles is already over 73 years old, he could take advantage of the IRA rollover option and make the gift to Oakland Symphony directly from his IRA.
Charles: We don't need all of the income from my IRA this year so we decided to rollover $10,000 from my IRA to Oakland Symphony.
Charles: We were thrilled to discover we could transfer money directly from my IRA to Oakland Symphony without paying any federal income tax. This is saving us thousands of dollars in taxes that we can instead give to Oakland Symphony. Our gift also qualified for part of my required minimum distribution (RMD).
Is an IRA rollover right for you?
Individuals age 70½ and older may make gifts directly from their IRA to a qualified charity. Individuals aged 73 and older must take "required minimum distributions" or RMDs from their IRA each year. With the "IRA charitable rollover," you can transfer up to $105,000 per year directly to charity and it may satisfy your required minimum distribution (RMD).
Have you calculated what your IRA required minimum distribution will be this year and how it will affect your taxes? If you have questions about how you can benefit from giving from your IRA, please contact us.