Donate with an IRA
Donating part or all of your unused retirement assets, such as your individual retirement account (IRA), is an excellent way to make a contribution to a charity like the Children’s Cancer Center.
Charitable donations from an IRA may provide tax benefits as well.
View Sample IRA Letter
Why donate from an IRA?
Donating from an IRA to a charity has benefits for both you and nonprofits.
Is donating from an IRA to a charity tax deductible?
Qualified charitable distributions (QCDs) to eligible charities up to $105,000 avoid being subject to federal income taxes.
You can make IRA-qualified charitable distributions from traditional IRAs, inactive Simplified Employee Pension (SEP) plans, and inactive Saving Incentive Match Plan for Employees (SIMPLE) IRA.
If you are age 70½ or above, you can make QCDs directly from your IRA to Children’s Cancer Center or another eligible charitable organization. This distribution may be excluded from your federal taxable income and potentially provide other benefits. You should consult a tax advisor or other professional for additional information regarding your specific situation.
You should consult a tax advisor or other professional for additional information regarding your specific situation.
How does a qualified charitable distribution work, and what qualifies as a charitable IRA rollover?
If you are over age 70 ½, you may give a gift from your IRA as a tax-free distribution to a qualified charity. This means an amount (up to $105,000 annually) transferred from your IRA directly to a charity like the Children’s Cancer Center can count toward your required minimum distribution without being considered taxable income for you. The deduction then lowers your adjusted gross income (AGI). The distribution, also known as an IRA Charitable Rollover, is authorized by Section 408(d)(8) of the Internal Revenue Code.
As a qualified charitable IRA rollover, the gift must be transferred from a traditional IRA directly to a qualified public charity like Children’s Cancer Center and must be completed during the applicable tax year.
Children’s Cancer Center must receive your gift by Dec. 31 for your IRA charitable distribution to qualify for that tax year.
Children’s Cancer Center does not provide tax, legal or accounting advice. This material is prepared and made available to you for informational purposes only and is not intended to provide or be relied upon for tax, legal or accounting advice. You should always consult a tax professional to determine your particular tax benefits that may result from any particular type of gift to
Can an IRA donation to charity count toward my required minimum distribution (RMD)?
If you’re age 70 ½ or older and you need to take a required minimum distribution (RMD – the withdrawals you’re legally required to make), you may be eligible to have a qualified charitable distribution to Children’s Cancer Center count toward your RMD up to $105,000. In this way, you can support the Children’s Cancer Center while also potentially satisfying your RMD in the year of your gift.
You should consult a tax advisor or other professional for additional information regarding your specific situation. Download a sample Letter of Instruction to get started gifting to Children’s Cancer Center
The Children’s Cancer Center does not provide tax, legal or accounting advice. This material is prepared and made available to you for informational purposes only and is not intended to provide or be relied upon for tax, legal or accounting advice. You should always consult a tax professional to determine your particular tax benefits that may result from any particular type of gift to charity.