IRA’s Can Help Our Community

09-27-2018 · Tocqueville Society · Tocqueville Women United · Ivan Allen Circle · Legacy Leaders

Editor’s note: This article has been updated. It was originally posted on Sept. 27, 2018. 

Did you know you can name United Way of Greater Atlanta as a beneficiary of your 401K or retirement plan?

You can help further United Way’s mission of driving sustainable improvements in the well-being of children, families and individuals in our community with your IRA. You can avoid taxes for you and your heirs AND help United Way at the same time whether or not you itemize! United Way can be named as a partial, primary or contingent beneficiary. In most cases, it is as simple as filling out a short form with your plan administrator to name United Way as a beneficiary.

Furthermore, if you are 70½ years old or older, the IRA rollover is a beneficial way for you to make a gift to support United Way. Donors can transfer up to $100,000 directly from their IRA to United Way on an annual basis.

By donating it to United Way, you avoid income taxes on the distribution. This is a qualified charitable donation (QCD).

And, if you are 72 years or older, you can use the IRA rollover transfer to United Way to meet all or part of your annual required minimum distribution (RMD). (Note: The Coronavirus emergency stimulus package passed into law in March 2020 stipulates that you are not required to take a RMD but you can still opt to receive it. Also, you can still make a qualified charitable distribution (QCD) and receive the tax benefits of an itemized deduction without having to itemize.)

Talk with your financial advisor or tax professional to determine your best strategies. Contact your United Way representative for a confidential conversation about ways to save on taxes while supporting our community.