Giving IRA Assets to Charity

If you have an IRA, charity donations might be something for you would like to consider. Many individuals choose to give IRA assets to a charitable organization, and doing so can provide them with some benefits. Here are the basics of giving IRA assets to charity.

Giving IRA Assets to Charity

If you are the owner of an IRA, you can decide to give part of your assets to charity. You will be able to make a direct rollover to the charity of your choice as long as it is a legitimate charitable organization recognized by the IRS. Many people choose this option when giving money to charity because they can take advantage of a very convenient process of transferring the funds.

Tax Benefits

Many individuals choose to utilize this method because of the tax benefits involved. If you transfer money from an IRA to a charity, you will not have to pay taxes on the money. Typically, whenever people take money out of an IRA for regular distributions, they will have to count the money as taxable income. However, when you use this method, the money is not counted as part of your taxable income, and it can go directly to the charity of your choice.

blog comments powered by Disqus