Ways to Give Through Your IRA

MAKE A DIRECT TRANSFER
With this method, you may cash out and withdraw assets as normal from your retirement account and give it directly to Virginia Garcia. You may take a charitable giving deduction if you itemized your taxes, but applicable taxes — typically income taxes - on IRA withdrawals still apply.

MAKE A QUALIFIED CHARITABLE DISTRIBUTION (QCB)
If you are at least 70 ½ years old with a qualified IRA, you are eligible to make a QCD to meet your required minimum distributions tax-free. This method allows you to transfer assets or money directly from your retirement account to Virginia Garcia without having to cash them out first. Because the Internal Revenue Service (IRA) treats this as a tax-free transfer, you do not have to apply the assets to your taxable income for the year.

Roth IRA funds are not eligible to be transferred through a QCD.

DONATE THROUGH ESTATE PLANNING
Your estate can transfer an IRA to Virginia Garcia in a few methods:
• Directly: Transfer the portfolio and its assets.
• Indirectly: Cash out the IRA and donate the money.
• In Trust: Establish a trust that will distribute the assets.

While there are pros and cons with each method of IRA giving, there may be other potential benefits:

• This may reduce the donor’s annual income, which may lower Medicare premiums
and Social Security taxes.
• Charitable organizations also are tax-exempt on the donation.