Required Minimum Distribution

If you own a traditional Individual Retirement Account (IRA), you are required to take distributions (Required Minimum Distributions – RMD’s) the year in which you turn 73. Generally, RMD’s are included in your taxable income. However, if you make an IRA distribution directly to a qualified charitable organization, like RARE, the distribution is tax free, meaning that no income taxes need to be paid. Not by the individual, not by the charitable organization. This is called a Qualified Charitable Distribution (QCD).

If you are 70 1/2 years of age, although RMD’s are not required, you can still make a tax-free QCD directly from your IRA to a qualified charitable organization. This is most beneficial for individuals who take the “standard deduction” when filing income tax returns.

Given that each person’s situation is unique, please consult your tax advisor.

Thank you for considering donating to RARE!

Please consult your financial advisor to discuss your personal situation.

Roosevelt Alumni for Racial Equity (RARE)