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Donating from Your IRA Offers Tax Benefits
from SLUH Magazine
by SLUH
IMMEDIATE TAX BENEFITS FOR YOU
Qualified Charitable Contributions (QCD) for those 70½ and older • A typical distribution from a traditional IRA incurs taxes. Avoid paying income tax on your IRA by making a
Qualified Charitable
Distribution (QCD) to
SLUH from your IRA. • Individuals 70-1/2 or older can donate up to $100,000 annually without it being considered a taxable distribution.
HOW TO DO THIS
Contact the custodian of your IRA account and request a QCD to St. Louis University High, tax ID 43-0662506.
TIP: The contribution lowers your Adjusted Gross Income, which could have the added benefit of reducing your Medicare premium.
TAX BENEFITS FOR YOUR HEIRS AND ESTATE
Naming SLUH as beneficiary of your IRA • Naming SLUH as a full or partial beneficiary of your IRA can minimize the amount of income taxes for your heirs and your estate. • If your goal is to support charity as part of your legacy while also leaving assets to family members, it may be more tax efficient to leave cash and appreciated assets to heirs. As charities do not pay income tax,
SLUH would receive the full value of the IRA benefit, which would directly support SLUH students who depend on Scholarship.
HOW TO DO THIS
Contact your plan administrator for a beneficiary form. If you are married, assure the form has signatures from both you and your spouse if the plan requires it. Advise SLUH that the school has been named as a beneficiary.
TIP: Retirement assets, such as an IRA, generally pass directly to your beneficiaries (whether individuals or nonprofits) without the complications of probate.
- DAVID WEISS ’71
Counsel, Sandberg Phoenix (St. Louis)
Designated SLUH as a beneficiary of his estate for a full scholarship
