AARCH’s statewide colleague organization, the Preservation League of New York State, provided some helpful information about IRA Required Minimum Distributions and how they can be used to support your favorite nonprofit (like AARCH!).
Lee Miller, Preservation League Trustee and Regional Office Director, New York of the Glenmede Trust Company, N.A., explained that when IRA owners turn 72 they are required to take a minimum annual IRA distribution, regardless of need. IRA owners are taxed on this income, except in the case of a Qualified Charitable Distribution.
In order to make a Qualified Charitable Distribution, Lee outlined the following steps:
- Direct a transfer from your IRA account directly to Adirondack Architectural Heritage (or other eligible charity). AARCH has provided a sample letter.
- Exclude the amount of your distribution from your income for federal tax purposes.
- Count it toward your Required Minimum Distribution for the year.
- Make an immediate impact!
All contributions must be dated and postmarked by the U.S. Postal Service on or before December 31, 2021 to qualify for a tax deduction this year. If you use a credit card, the gift is considered to be made on the date of the charge, regardless of when you pay your credit card bill. If you have any questions, please contact Erin Tobin at AARCH.AARCH cannot offer legal, financial, or tax advice. For individual advice, please consult with your attorney, accountant, and/or tax advisor.