qualified Charitable Distribution
Qualified Charitable Distributions (QCDs)
Many supporters choose to give through a Qualified Charitable Distribution (QCD), and Heart of Missouri United Way is always grateful for this form of charitable giving. A QCD allows individuals age 70½ or older to make a direct gift from their IRA to a qualified nonprofit like ours. For many donors, this can be a highly tax efficient way to make an impact.
How a QCD Works
A QCD is a direct transfer from your IRA to a charity. Because the distribution goes straight to the nonprofit, it is not counted as taxable income — one of the main advantages for donors.
Additionally, if you are required to take Required Minimum Distributions (RMDs), a QCD can satisfy part or all of your annual RMD, which may help prevent those withdrawals from increasing your tax bracket.
QCDs may also help lower your adjusted gross income (AGI), which can indirectly reduce taxes on Social Security benefits, keep you from losing certain deductions, or even lower Medicare premiums for some taxpayers.
QCDs are especially attractive to donors who do not itemize deductions, since the tax benefit comes from the exclusion of income — not from itemizing.
How to Make a QCD
If you’d like to give through a Qualified Charitable Distribution, simply contact your IRA custodian and request that a distribution be sent directly to Heart of Missouri United Way. Our team is happy to provide any organizational information your custodian needs and ensure your gift is properly acknowledged.
Contacting Us
You can reach us at finance@uwheartmo.org or 573-443-4523 for more information.
Important Note
Heart of Missouri United Way does not provide tax, legal, or financial advice.
The potential tax advantages of a QCD depend on your personal financial situation, and you should always consult with your tax advisor or financial professional to determine whether a QCD is appropriate for you.