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Donating a Qualified Charitable Distribution from an IRA
As we get closer to the end of 2024 some of us might have funds that need to be disbursed from our IRAs as minimum distributions.
Rather than just getting a distribution from the IRA and paying tax on it before giving the remainder to a charitable entity, like Spirit of Hope, you can request the administrator of the IRA to make a direct payment to your charitable entity. In this way, you are not subject to taxes on the funds being distributed. With this donation method, you can provide your charitable entity with more funds without a tax liability to you. Using the “Qualified Charitable Distribution” has many advantages but the trade-off to the tax-free donation is that this donation can not be deducted as a contribution on your tax returns if you itemize.
If you have further questions concerning this method of donating to Spirit of Hope or another charitable entity please contact your IRA administrator.
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