IRA Rollover

Here’s a special way to support WCNY if you are age 70 ½ or older.

The IRA Charitable Rollover was first enacted as part of the Pension Protection Act of 2006 and permanently extended in the Protecting Americans from Tax Hikes Act of 2015. Now, you can make a charitable gift directly from your IRA every year while excluding the amount of that gift from your adjusted gross income (AGI).

Advantages to you:

1. You can use an often-overlooked asset to make a gift to WCNY.
2. The IRA Charitable Rollover permits you to make donations directly to charitable organizations such as WCNY from your IRA without counting the distribution as part of your AGI and, consequently, without paying taxes on it.
3. You don’t recognize the distribution as income for federal income tax purposes.
4. The distribution counts towards your minimum required distribution for the year.

To qualify:

1. You must be 70-1/2 or older and required to take an annual distribution from your IRA.
2. Your total combined charitable IRA rollover contribution cannot exceed $100,000 in any one year. (Married couples may be able to contribute up to $200,000.)
3. Charitable contributions from an IRA must go directly to a public charity that is not a supporting organization. Contributions to donor-advised funds and private foundations, except in narrow circumstances, do not qualify for tax-free IRA rollover contributions.
4. Distributions can only be made from traditional Individual Retirement Accounts or Roth IRAs. Charitable donations from 403(b) plans, 401(k) plans, pension plans, and other retirement plans are ineligible for the tax-free treatment. Distribution must be made directly from the IRA trustee payable to WCNY or another qualifying non-profit.
5. You cannot receive any goods or services in return for your charitable IRA rollover contribution in order to qualify for tax-free treatment.
6. You must receive an acknowledgement from WCNY or other charity for each rollover contribution.

We recommend that you seek advice from your accountant prior to making a charitable rollover as personal circumstances can have a significant impact on whether charitable rollovers are advantageous. In order to benefit from a 2019 eligible IRA contribution, plan to contact your IRA administrator as soon as possible as some administrators may place a deadline on requesting transfers.

Your administrator may mail checks to WCNY at 415 W. Fayette St. Syracuse, NY 13204.

For more information about making an Charitable IRA Rollover contribution to WCNY contact our Membership Department at membership@wcny.org or call us at 315-453-2424.