IRA Charitable Gift
If you have a traditional Individual Retirement Account (IRA), you must start withdrawing some of the money at a certain age. As of Jan. 1, 2023, it's the year you turn age 73. If you are subject to Required Minimum Distributions, a Qualified Charitable Distribution (QCD) to the Peconic Land Trust from your IRA could help you reduce your taxable income and be charitable at the same time! Here are some of the advantages of a QCD:
- It reduces your adjusted gross income (AGI) so that less income is taxable.
- It could lower the taxable portion of your Social Security benefits or Medicare premium surcharges.
- It helps maximize the tax impact of your charitable giving, especially for those who are no longer eligible to claim the itemized deduction.
- It can satisfy some or all of your required minimum distribution.
- It can help lower your taxable estate, which may defray future state and federal taxes.
The Trust's efforts to keep "real agriculture" here on the east end is one of the reasons I decided to add the Trust to my will. Once I made my legacy decision, it was easy to also donate through a required minimum distribution from my IRA, while I’m alive. It helps me eliminate my tax liability and it makes me feel good knowing that the Trust and my community will benefit.
Glorian Berk
Staff
Lori Mikula
Director of Finance
lmikula@peconiclandtrust.org