Planned Giving

Home Giving Planned Giving

New Incentives for Charitable Giving

New Incentives for Charitable Giving

Below are basic facts on a new law that allows Qualified Charitable Distributions from traditional IRAs to fund life income gifts. While there are limits on these gift opportunities, it is likely the start of something very big for charitable gift planning.

  • A donor can make this once-in-a-lifetime gift election in only one tax year (hopefully with success and more lobbying, this may change).
  • The aggregate limit of IRA funded life income gifts in 2024 is $53,000 (meaning, you can only create up to $53,000 in these gifts, in one tax year only).
  • Since these count as QCDs (Qualified Charitable Distributions), any amount contributed towards one of these IRA funded life income gifts will also count towards your RMD (Required Minimum Distribution). The legislation allowing QCDs to fund life income gifts also increased the required beginning date (RBD) to age 73. But you can still make a QCD as early as age 70.5.
  • No itemized charitable deduction. But the QCD is excluded from income "above the line," so think of this as the “tax-free” gift!
  • Both regular QCD gifts and QCD gifts for split interest gifts will be adjusted for inflation each year.

Why is this so important?

Firstly, IRAs in particular are a huge financial asset class of the baby-boomers - in the $ Trillions - and already represent a phenomenal opportunity for legacy gifts.

Additionally, donors can now lock in guaranteed income for life at favorable rates while also making a significant legacy commitment.

As this law hopefully expands, life income gift programs in particular will become more and more important to our organization's future.


GDPR

  • GDPR Privacy Policy
  • Google Analytics

GDPR Privacy Policy

Privacy Policy

Overall Policy

Thank you for visiting our website. We’re pleased to share our policy regarding the use of information received here. Privacy is a matter of concern to us. We are committed to protecting your privacy and the security of the information that you may provide to us.

Personal Information

We do not track individual users. Your email address or other personal information is not collected unless you provide it on a form, survey or application. We will not sell or otherwise make available any personally identifiable information to any organization not directly affiliated with us. We will comply with legitimate government or legal requests as necessary to protect our organization or to comply with laws.

Traffic Analysis

Links To Other Sites

Our site contains links to other sites and Internet resources. We are not responsible for the privacy practices or the content of these third-party websites and Internet resources.

Updates To Privacy Policy

We may update the privacy policy periodically, and we encourage visitors to review them on a regular basis.

Last revised: June 2015

Google Analytics