An IRA Charitable Gift, also called a Qualified Charitable Distribution (QCD) is a donation made by individuals age 70½ or older directly from their Individual Retirement Account (IRA) to a qualified nonprofit organization such as Senior Services. This type of gift may offer tax benefits and can count toward satisfying required minimum distributions (RMDs).

Once individuals reach a certain age (currently age 73), the Internal Revenue Service (IRS) requires them to withdraw a minimum amount each year from their traditional Individual Retirement Account (IRA). This required withdrawal is called a Required Minimum Distribution (RMD) and is treated as taxable income.

Donors choose IRA Charitable Gifts because these kinds of donations:

• Satisfy all or part of their Required Minimum Distribution (RMD)
• Potentially reduce taxable income
• Support a cause they care about in a tax-efficient way
• Can be especially beneficial for donors who take the standard deduction, because the charitable gift is excluded from taxable income rather than claimed as an itemized deduction.

To be eligible:

• Donors must be age 70½ or older
• The gift must come directly from a traditional IRA
• The distribution must be made payable to Senior Services of Southeastern Virginia

Qualified Charitable Distributions are permitted under IRS rules only from traditional IRA accounts. Distributions from other retirement plans, such as a 401(k) or Roth IRA, are subject to different rules and do not provide the same potential tax benefits.

Donors are encouraged to consult their financial advisor to determine the best option for their circumstances.

Eligible donors may give up to $100,000 per year through Qualified Charitable Distributions. Married couples may each give up to $100,000 from their own IRAs.

Specifically designated IRA Charitable Gifts may be accepted when the purpose aligns with the organization’s mission and operational capacity. Donors are encouraged to contact the Development Office before making a restricted gift.

Senior Services will provide a written acknowledgment confirming receipt of your gift and stating that no goods or services were provided. Your financial institution reports the distribution for tax purposes.

1. Confirm eligibility.
You must be age 70½ or older, and the gift must come directly from a traditional IRA.
2. Contact the financial institution that manages your IRA. Ask them to issue a Qualified Charitable Distribution payable directly to: Senior Services of Southeastern Virginia.
3. Have the check mailed directly to Senior Services or sent to you for forwarding. The check must be payable to Senior Services of Southeastern Virginia to qualify.
4. Let us know your gift is coming. Contacting the Development Officer helps ensure your gift is properly identified and acknowledged.