to make a payment today:
to make a payment at a later date:
For Qualifying Charitable:
- The Protecting Americans from Tax Hikes Act of 2015 made permanent the ability to make “qualifying charitable distributions” from traditional IRA or Roth IRA accounts to be excluded from gross income. It is a powerful incentive to charitable giving.Some of our members utilize this option already — and here are the requirements:The charitable distribution must be from a traditional IRA or a Roth IRA, not 401-k SEP, or SIMPLE accounts:
- Direct from the IRA trustee to the qualifying charitable organization, like the Portland Rotary Charitable Trust — so to Rotary directly, it does not pass through you or your bank account,
- The charitable distribution has to happen On or after the IRA owner has reached age 70½;
- Annual limit of $100,000 per person which can be done every year.
There are tax benefits to doing this:
A charitable IRA distribution avoids the possible issue of running into any percentage limitations. It’s not affected by the 50% adjusted gross income (AGI) limitation.
Also, it’s less likely that Social Security will be taxable since it is not include in AGI.
Want to know how to make this happen for your contribution to the club’s Trust Drive this year? Contact our club’s Treasurer, Bruce Frederick: 503-244-6459, firstname.lastname@example.org.