IRA Qualified Charitable Distribution (QCD)
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Giving through an IRA rolloveran easy, popular way to use your retirement assets to support RED-C Ministries today.
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If you are 70.5 or older, this method can provide you with tax benefits while supporting the non-profits you're passionate about, like RED-C & Victory Sports.
What is an IRA qualified charitable distribution?
An IRA qualified charitable distribution (QCD), also known as an IRA charitable rollover, is a special provision allowing anyone over the of age 70.5 to transfer assets from their IRA directly to a public charity like the RED-C Ministries. Donors can use this option to support RED-C with gifts ranging from $100 to $111,000.
What benefits do I receive from this method?
Everyone 73 or older must take a required minimum distribution from their IRA each year. Giving through an IRA QCD can help you satisfy this requirement while avoiding taxes on the amount transferred. Because the funds are received right away, you can also see your immediate impact! Beginning in 2023, donors had the option to use their IRA QCD to fund a one-time life-income gift that pays them.
How do I make an IRA QCD gift?
The process is simple: You contact your IRA administrator to make a gift of up to $111,000 each year directly from your IRA to the Foundation. To avoid having the amount taxed as income, you should not withdraw the funds yourself prior to making the gift.
What if I’m already set up to receive my minimum distribution?
If you are set up to automatically receive your distribution each year, you may want to turn off the payment and instead request two distributions: the charitable rollover and any remaining minimum distribution amount. For example, if you will automatically receive a $25,000 distribution, you could stop the payment and request two: a $10,000 distribution directly to the RED-C, and a $15,000 regular distribution. Together, these will have satisfied your required minimum distribution for the year.
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