Was tax season good to you last year? If not, next year can be! If you are age 70½ or older, you can take advantage of a simple way to make a difference and receive tax benefits in return. How? Through a Qualified Charitable Distribution (QCD), also known as IRA Charitable Rollover.

A QCD is an excellent way to show your support for Bethesda and receive tax benefits in return. As you plan your required minimum distributions (RMD), consider using your IRA account to make the most of your charitable giving. You receive a tax benefit even if you take the standard deduction!

While the SECURE Act has raised the age to 72 for required minimum distributions, donors may still make QCD gifts starting the year they turn 70½. It’s important to consider your tax situation before deciding whether to make a charitable contribution from your IRA. Be sure to share this gift plan with your financial advisor.

To Qualify:

  • You must be 70 ½ or older at the time of your gift.
  • Distributions must be made directly from a traditional IRA account by your IRA administrator.
  • Gifts must be outright, meaning they go directly to Bethesda. Distributions to donor-advised funds or life-income arrangements, such as charitable remainder trusts and charitable gift annuities, do not qualify.
  • Gifts from 401k, 403(b), Simplified Employee Pension Plans and other plans do not qualify.

Tax Benefits:

  • IRA Qualified Charitable Distributions are excluded as gross income for federal income tax purposes on your IRS Form 1040.
  • The gift counts toward your required minimum distribution for the year in which you made the gift.
  • You could avoid a higher tax bracket that might otherwise result from adding an RMD to your income.

You’ve worked hard and planned for your retirement. Now, with a little creativity, you can leverage your retirement assets to benefit you and your family, reduce your federal taxes, and support Bethesda far into the future.

Contact the Bethesda Health Group Foundation for more information.

Bethesda has a 133-year tradition of providing excellent senior living options, including independent living, assisted living, memory care, and skilled nursing. If you are considering independent living, we welcome you to tour one of our exceptional communities, including Bethesda Barclay House – Clayton, Bethesda Gardens – Kirkwood, Bethesda Orchard – Webster Groves, Bethesda Terrace – South County, Village North Retirement Community – Florissant, and The Oaks at Bethesda Villas – Kirkwood/Webster. Discover the level of care only a non-profit staffed by highly-trained nurses, therapists, and aids can offer. 
Bethesda Foundation