February 1, 2013

IRA charitable rollover can be used to support archdiocese, parishes, schools and agencies

The Individual Retirement Account (IRA) Charitable Rollover that allows transfers from your IRA to qualified public charities has been extended for 2013. Most important, you can have an immediate impact on the work of the Church. The full amount of the distribution can be put to work. It is not diminished by income taxes.

Here are the basics for direct transfers from an IRA to a qualified public charity:

  • Donors age 70½ and older can direct a distribution of up to $100,000 from an IRA to the Church. Since IRAs are separately owned, a husband and wife can each transfer up to $100,000 per year from his or her respective IRA.
  • The IRA transfer must be made directly from a custodian or trustee to the charitable organization, in this case to the Archdiocese of Indianapolis and/or any one of its ministries.
  • The IRA distribution must be a direct charitable gift and not a distribution to a charitable remainder trust or a charitable gift annuity.
  • Qualified direct distributions to charity from your IRA are not subject to income tax. The new law provides that you can make a distribution through Dec. 31, 2013, and count it as a gift for 2013. An additional gift may be made in 2013.

For more information about how you and the Church can benefit from an IRA charitable rollover, contact your parish office or Ellen Brunner, director of planned giving, Catholic Community Foundation, Inc., at 317-236-1427, 800-382-9836, ext. 1427 or e-mail at ebrunner@archindy.org. Also visit our websites at www.archindy.org/plannedgiving and www.archindy.org/ccf. †

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