Charitable IRA Distributions

While it may sound complicated, a Charitable IRA Rollover is actually quite easy. This giving strategy allows IRA owners age 70 ½ or older to donate up to $100,000 of their IRA funds directly to certain public charities, which reduces the donor’s taxable income. 

Benefits of an IRA charitable rollover

• Avoid taxes on transfers of up to $100,000 from your IRA to the Greater Grand Forks Senior Citizens Association, Inc (our legal name)

• Satisfy your required minimum distribution (RMD) for the year

• Reduce your taxable income, even if you do not itemize deductions

“By donating our IRA allocations to the Senior Center we didn’t have to pay income tax on it,” shared Gordon Iseminger. Gordon and his wife, Trudy, donated the minimum required distribution from her IRA to the Senior Center during a recent Silver Campaign. “It is a painless way to donate; all we had to do was make a phone call and sign the paperwork.” 

Duane and Lila Nelson also took advantage of this giving opportunity as a way to donate money to causes in which they believe. “We feel good giving to the Senior Center,” shared Lila.  “We know it will be used wisely. They’re always expanding programs and providing something of interest for everyone.”

The charitable IRA Rollover is now a permanent provision in the IRS tax law, as of December 2015.  

How does this work?

• Talk to your IRA plan administrator to make a gift from your IRA to the Greater Grand Forks Senior Citizens Association Inc.

• Your IRA funds will be directly transferred to the Grand Forks Senior Center

• If you need information from the Grand Forks Senior Center to initiate the donation, please contact Becky Broadwell at 701-757-4864 or beckyb@gfseniorcenter.org.