Gifts from Retirement Funds

Required Minimum Distributions

Qualified Charitable Deduction

People age 70 ½ and older must withdraw funds annually from their Individual Retirement Accounts (IRAs) or other retirement plans. Throughout their careers, workers have been able to make contributions to their IRA’s on a pre-tax basis. In general, when a plan participant reaches age 70 ½ they are subject to a Required Minimum Distribution (RMD).

Qualified participants have the option to make a charitable gift from their IRA totaling up to $100,000 each year directly to a qualified charity, like Families Flourish. This is true whether or not deductions are itemized. The amount donated will count towards the RMD and will likely result in lowering of overall tax liability. The avoidance of tax is only for securities held long term.

Please contact MTP Development & Communications Director Shiloh Todorov for assistance or to confirm that a distribution is planned. We will gratefully work with you and confirm receipt of the funds. A reminder: Please consult your financial professional or tax advisor when considering the amount and timing of your charitable gifts. With appreciation to Lynne Ayres