A qualified charitable distribution (QCD) enables donors age 70½ or older to transfer up to $105,000 directly from the donor’s IRA (or IRAs) to a qualified charity in 2024. Utilize this tax-savvy giving strategy to support the areas at Duke you care about most. Donors can now consider using QCDs to satisfy multi-year commitments to the Annual Fund, create or add to endowments, or support other charitable purposes at Duke.
Benefits of a QCD gift:
- Transfer up to $105,000 in QCDs in 2024. This dollar limit changes annually.
- Satisfy your annual required minimum distribution (RMD) if you are at least 73 years old.
- Avoid or defer additional taxable income, which may allow you to avoid taxation at a higher tax bracket.
- Have an immediate charitable impact during your lifetime.
Example of how a QCD might be a tax-wise move: A donor who withdraws funds from her traditional IRA directly may have to include the amount withdrawn in her adjusted gross income (AGI). If she then makes a charitable gift to Duke equal to the amount withdrawn, she may claim an income tax deduction but the increase in AGI may put her in a higher tax bracket. By contrast, a donor who makes a charitable IRA rollover gift does not make a taxable withdrawal, and therefore, should not have increased income nor be subject to the higher tax bracket or related costs due to the QCD.
To make a qualified charitable distribution to Duke, please contact the administrator of your IRA.
Another Retirement Account Strategy
Instead of transferring assets from your IRA during your lifetime, it may be a better fit to transfer IRA assets to Duke after you have passed away. This can be done by naming Duke University as a primary or contingent beneficiary of the IRA on a beneficiary designation form available from the IRA’s plan administrator. An IRA can also be left to fund a life income gift (charitable gift annuity or charitable remainder unitrust) for a loved one.
