IRA Charitable Rollover

A Tax-saving Way to Help Bridgehaven

If you are 70.5 years or older, you can take advantage of a simple way to benefit Bridgehaven and receive tax benefits in return. You can now give up to $100,000 from your IRA directly to a qualified charity such as ours without having to pay income taxes on the money.

This law has no expiration date so you are free to make annual gifts to Bridgehaven this year and well into the future.

Why Consider This Gift?

1. You pay no income taxes on the gift. The transfer generates neither taxable income nor a tax deduction, so you benefit even if you do not itemize your deductions.

2. If you have not yet taken your required minimum distribution for the year, your IRA charitable rollover gift can satisfy all or part of that requirement.

Frequently Asked Questions

Q. Can my gift be used as my required minimum distribution under the law?
A. Yes! If you have not yet taken your required minimum distribution, the IRA charitable rollover gift can satisfy all or part of that requirement. Contact your IRA custodian to complete the gift.

Q. I have several retirement accounts, some are pensions and some are IRAs. Does it matter which retirement account I use?
A. Yes. Direct rollovers to a qualified charity can be made only from an IRA. Under certain circumstances, however, you may be able to roll assets from a pension, profit sharing, 401(k) or 403(b) plan into an IRA and then make the transfer from the IRA directly to Bridgehaven. To determine if a rollover to an IRA is available for your plan, speak with your plan administrator.

Q. Do I need to give my entire IRA to be eligible for the tax benefits?
A. No. You can give any amount under this provision, as long as it is $100,000 or less this year. If your IRA is valued at more than $100,000, you can transfer a portion of it to fund a charitable gift.

Q. My spouse and I would like to give more than $100,000. How can we do that?
A. If you have a spouse (as defined by the IRS) who is 70.5 or older and has an IRA, he or she can also give up to $100,000 from his or her IRA.

It is wise to consult with your tax professionals if you are contemplating a charitable gift under the extended law.

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