Giving Via your individual Retirement Account

If you are age 70 1/2 or older, you may make a gift directly from your individual retirement account (IRA) to the church. This is called a Qualified Charitable Distribution (QCD).

Why is a QCD such a good giving option?

• Giving directly from your traditional IRA can help you avoid income subject to income taxes.
• Such gifts can satisfy all or a part of your annual IRA required minimum distribution (RMD).
• QCD gifts can be advantageous for those who do not expect to itemize tax deductions. 

Note that funds donated to charity using a QCD cannot be deducted as an itemized deduction.

Can I do this with other retirement plan assets?



• The QCD is possible only with a traditional IRA, or an inactive SEP or SIMPLE IRA.
• Some people choose simply to make charitable gifts with their retirement plan withdrawals – whether traditional IRA, 401(k), 403(b), or other similar arrangements.

When doing this, you will recognize income on your tax return, but you also may be able to deduct the amount of your charitable gift on your tax return. Distributions from a Roth IRA are generally not taxable under current tax laws. Funds distributed from a Roth IRA to the IRA owner may be used to make charitable gifts. If you are interested in making an IRA gift to our parish, ask your IRA custodian for a form to arrange for a QCD. The funds must go directly from the IRA custodian to the church, not to you. Check with your tax and financial advisors for limitations and restrictions

Questions about giving via an IRA to St. Paul the Apostle? Please contact Lisa Dixon, Accounting Manager.