IRA Charitable Rollover Gift
If you are age 70½ or older, giving directly from your IRA is a simple way to contribute, and it can result in tax benefits even if you don’t itemize. Following are more details regarding qualified charitable distributions, also sometimes referred to as IRA charitable rollover gifts.
If you have any questions regarding qualified charitable distributions, please contact Gift Processing at 800-443-6162 or firstname.lastname@example.org.
Make a Qualified Distribution from your IRA
Download our Letter of Direction, and complete the form with your gift information, and provide it to both your IRA administrator and the UW Foundation to initiate the gift process.
UW Foundation tax ID: 39-0743975
How It Works
If you are age 70½ or older, you can instruct your IRA administrator to make a qualified charitable distribution up to $100,000 to the University of Wisconsin Foundation. A check will be sent directly from your IRA to the University of Wisconsin Foundation.
Download our Letter of Direction to initiate the gift process and to let us know where to designate your gift. The tax ID number for the University of Wisconsin Foundation is 39-0743975.
- – Because you, as the donor, do not receive the funds at any point in the transfer, the distribution amount is not included in your gross income.
- – The gift can satisfy your required minimum distribution.
- – The gift provides support today for the university programs that are important to you.
- – The gift can satisfy a pledge with the benefiting organization.
- – The donor must be age 70½ or older.
- – The gift must be made directly from the IRA to an eligible charitable organization.
- – No charitable deduction is allowed, but the IRA distribution is not included in taxable income.
- – There is a $100,000 limit per taxpayer for all qualified charitable distributions made within the year.
- – No material benefits can be received in return for this type of gift.
- – This type of gift cannot be made to a donor-advised fund, supporting organization, or private foundation.
- – This type of gift can only be made from an IRA. Gifts from 401(k), 403(b), and 457 plans do not qualify.
Is This the Right Gift for You?
- – You are required to take a minimum distribution from your IRA, but you do not need additional income.
- – You do not itemize your deductions. Your qualified charitable distribution will not be included in your taxable income.
- – You want to make a charitable gift and your IRA constitutes the largest share of your available assets.
- – You live in a state where retirement plan distributions are taxable on your state income tax return, but your state does not allow itemized charitable deductions.
- – You have an outstanding pledge to a charity. The IRA charitable rollover can satisfy a pledge without violating rules against self-dealing.
- – You would like to make an additional charitable gift, but it would not be deductible because you have already reached your adjusted gross income annual limitation for charitable contributions. The IRA charitable rollover is equivalent to a deduction because it is not included in taxable income.