IRA QUALIFIED CHARITABLE DISTRIBUTION
Making a gift from your IRA to Pontoppidan Lutheran Church is a tax-wise way to enrich the lives of your family, friends, and neighbors.
If you are 72* starting in 2020, you can make a “qualified charitable distribution” directly from your IRA.
You can enjoy these special tax savings so as long as:
The distribution is made from either your Traditional or Roth IRA.
The distribution is made to a qualified charitable organization, like Pontoppidan.
The distribution is made directly by your plan administrator to Pontoppidan.
A gift made from your IRA will never count as income, but always makes a difference!
How to Give
Contact your plan administrator and request a “qualified charitable distribution” be made directly to Pontoppidan Lutheran Church. It’s important to know that if you first receive the distribution and then donate the proceeds, the gift will not count as a qualified charitable distribution. We encourage you to consult with your advisers to fully understand the legal and financial impact of your charitable gift.
On December 20, the Setting Every Community Up for Retirement Act (SECURE Act) was signed into law. The intent of the SECURE Act is to extend the time for Americans to save for retirement. A key change in the new law relates to the age in which individuals are required to start taking their required minimum distributions (RMDs) from tax favored retirement accounts. The age requirement that triggers the RMD has now increased from 70 ½ to 72.
This modification has left many donors wondering, “What is the impact of this new change on the IRA Charitable Rollover?” Here are a few quick points:
Who and When: The new law affects individuals who have or will turn 70 ½ after 2019. For example, a person who turned 70 on July 1, 2019 became 70 ½ on January 1, 2020. This person and all others with later birth dates will be affected by the new law. These individuals will not be required to take an RMD or eligible to make a qualified charitable distribution (QCD) until turning 72.
Other options for donating retirement assets
Part of an estate plan: There can be significant tax advantages to donating retirement assets to Pontoppidan Lutheran Church as part of an estate plan. When done properly, charitable donations of retirement assets can minimize the amount of income taxes imposed on both your individual heirs and your estate.
IRA gifts can be sent to Pontoppidan Lutheran Church
309 4th St N
Fargo, ND 58102
Federal Tax ID: 45-0275055