Gifts From an IRA Distribution

A popular option for giving is through a qualified charitable distribution from your Individual Retirement Account (IRA).

Here are some important notes regarding qualified charitable distributions:

  • The distribution must be made from a traditional or Roth IRA. Other retirement accounts, such as those under 401(k), 403(b), or 401(a) plans, are not eligible.
  • You must be at least 70-1/2 years of age when the distribution is made.
  • You can give up to $100,000 per year without including the distribution in your gross income. (Married couples may be able to give up to $200,000, see your tax advisor.) Amounts given count toward your annual required minimum distribution.
  • The distribution must be made directly from the IRA administrator to MMCF or other qualified public charity (rather than to you).
  • Gifts under this provision must be made outright, and cannot be used for any quid pro quo benefits or to establish a charitable gift annuity or charitable remainder trust.
  • The law permitting this special treatment has been made permanent, with no expiration, so qualified charitable distributions now can be made each year.

Because circumstances may vary from person to person, you should discuss plans with a professional tax advisor as well as your IRA administrator.  Please contact Amanda Larson at for additional information.

 

The Maine Masonic Charitable Foundation is a nonprofit public charity designated as tax-exempt under Section 501(c)3 by the Internal Revenue Service. Donations are tax-deductible to the fullest extent permitted by law. Our tax ID is 22-3211042.