November 22, 2019
If you’re 70½ or older, you can use the IRA charitable rollover to make a tax-free gift to the Catholic Foundation. This law allows you to transfer any amount up to $100,000 directly to a qualified charitable organization without paying income tax on the distribution. Roth IRAs do not require withdrawals until after the death of the owner.
Seniors who reach 70½ are required by law to make a Required Minimum Distribution (RMD). The penalty for not taking the RMD is 50%. The donation you make can be part or all of the RMD, not to exceed $100,000.
Direct your financial institution to send your contribution directly to the Foundation for your favorite charity, ministry, parish, or school. Specify endowment if you would like to support funds that will provide assistance in perpetuity. Since 2001, the Catholic Foundation has raised $18 million for endowment and manages 97 separate endowed funds to provide continual resources for years to come.
When you use the IRA charitable rollover to make a gift to our organization:
The information is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in examples are for illustrative purposes only. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results.
Gifts must be received by Tuesday, December 31, 2019 at 3 p.m. MST. The Foundation's mailing address is: P.O. Box 17993, El Paso, Texas 79917. For more information about your Catholic estate planning, contact Major Gifts Officer Sofía Larkin at 915-872-8412 or firstname.lastname@example.org.
Photo Credit: Patrick Craig