2022 Tax Day Reminder: Convert a Burden into a Benefit
April 13, 2022 | Giving at Kline Galland
Tax Day may not be the most anticipated date on the calendar, but there is a simple way for you to turn another chore into the first step toward charitable giving.
With the deadline for IRA contributions coming up on April 18, we’d like to highlight the benefits of how your IRA can provide tax savings.
If you are aged 72 or older, IRS rules require you to take minimum distributions (RMDs) each year from your tax-deferred retirement accounts. A QCD (Qualified Charitable Deduction) is a direct transfer of your funds from your IRA, payable directly to a qualified charity, as described in the QCD provision in the Internal Revenue Code. Amounts distributed as a QCD can be counted toward satisfying your RMD for the year, up to $100,000. The QCD is excluded from your taxable income. This is not the case with a regular withdrawal from an IRA, even if you use the money to make a charitable contribution later on. If you take a withdrawal, the funds will be counted as taxable income even if you later offset that income with the charitable contribution deduction.
As a private, non-profit organization, we at Kline Galland often have a gap in compensated care that is covered by generous donors like you. The amazing donations we receive from our community allow us to continue providing the top level of senior care and prepare for the future of aging.
Our goal is to make giving as easy as possible. If you are interested in learning more about IRA charitable rollovers and how they may benefit your family, please don’t hesitate to contact us for more information or consult your advisor to see how an IRA rollover gift could impact your taxes– all while helping our cause.
We thank you once again for your consideration of support for the Kline Galland organization, and hope you are able to enjoy valuable tax savings this year!
For more information, please contact:
Nate Nusbaum
Chief Philanthropy Officer
(206) 456-9702
NateN@KlineGalland.org
