Are You Thinking of Using Your RMD for Charitable Giving?
If you are over the age of 70 ½, the government requires you to take annual distributions (withdrawals) from your retirement account—a provision known as the required minimum distribution (RMD). Up to $100,000 of your annual RMD from IRAs may be distributed directly to a qualified 501(c) (3) organization, enabling you to avoid paying income taxes on that amount. This option is known as a qualified charitable distribution (QCD).
The QCD applies to traditional, rollover and Roth IRAs. SEP and Simple IRAs also qualify (as long as you are no longer actively receiving employer contributions). Employer-sponsored plans do not allow for QCD treatment. Please consult a tax advisor for details.
Act now to transfer your 2019 RMD contribution to the Justice Federal Credit Union Foundation before December 31, 2019.
Your donation will help reduce hardship and improve the lives of Members and their families within the justice and law enforcement community, and potentially improve your 2019 tax situation at the same time. Please consult a tax advisor for details regarding your specific tax situation.
Donate now, and Justice Federal Credit Union will match your donation up to $10,000!
Benefits for donors
Making an IRA charitable contribution can be strategic for donors seeking to maximize their charitable impact while reducing their tax liabilities.
Who can benefit?
IRA charitable contributions, or QCDs, benefit donors who do not want to take their required minimum distribution from an IRA, which are mandatory starting at age 70½.
What are the tax advantages?
An IRA charitable contribution allows you to meet your RMD requirements without adding to your taxable income. This can potentially keep you in a lower tax bracket and allow you to avoid phaseouts of certain tax deductions that can increase your tax liability.
You can make a contribution to the Justice Federal Credit Union Foundation and be eligible for an immediate tax deduction.
Is it right for me?
Donors should always consult a tax advisor to determine the best strategy for their situation.
For questions about the Foundation's use of your contribution, and assistance in making your RMD donation/transfer please email firstname.lastname@example.org, please provide your contact # and we will call you.
Your donation means the world to us and says the world about you.
Supporting the Justice Community
Justice Federal Credit Union Foundation
5175 Parkstone Drive, Suite 200
Chantilly, VA 20151