One member’s story

For several years, my wife and I have directed gifts to Surrey and two other charitable and educational entities qualifying as 501c3 charities, from our respective Individual Retirement Accounts (“IRAs”). This method of giving to our favorite charities is tax advantageous because these gifts directly from IRAs to 501c3 qualified organizations such as Surrey also satisfy the Required Minimum Distribution (RMD) annual amounts which must be removed from your IRA beginning in your 70s. 

Your IRA required distribution can help those charities you care about.

A Surrey member

When you become subject to the RMD requirement (your financial advisors should let you know when and the amount), and you gift from your IRA to a 501c3, this Qualified Charitable Distribution (QCD) satisfies dollar for dollar a portion (or all) of your annual RMD, so your charities, rather than the federal government, receive the benefit of an amount you otherwise would pay in taxes. QCDs up to $100,000 may be directed to qualifying charities. 

If you are subject to RMD distributions and wish to adopt the QCD gifting, ask your financial firm to issue a check to the charity from your IRA account and send it to you. Before you deliver it to your charity, make a copy of the check and check voucher and place it in your income tax file for the given year, so that when your tax return is prepared, you have the appropriate information and documentation available.