Your individual retirement accounts (IRA) can be put to good use to help you and your family achieve your philanthropic goals.

Required Minimum Distributions
When you turn 72, you will be required to take minimum distributions from your IRAs. (This used to be 70½, but The SECURE Act changed this requirement in 2020.) Did you know rather than receiving that distribution as taxable income you can instead make a charitable gift without tax complications? Simply contact your IRA custodian with your wishes and your gift will be made to the organization(s) of your choice. Some things to keep in mind when making this gift:

• You must begin RMDs annually at age 72, but can still make gifts starting at age 70½ if you choose.
• You make the gift to qualified public charities, like JPAC
• You give directly from an IRA to JPAC to avoid the taxable income.
• Your gifts may total up to $100,000.
• Talk with your financial advisor for more information or check out this Required Minimum Distribution Frequently Asked Questions document.

Why Consider This Gift?

• Your gift will be put to use today, allowing you to see the difference your donation is making.
• Beginning in the year you turn 72, you can use your gift to satisfy all or part of your required minimum distribution (RMD).
• You pay no income taxes on the gift. The transfer generates neither taxable income nor a tax deduction, so you benefit even if you do not itemize your deductions.
• Since the gift doesn’t count as income, it can reduce your annual income level. This may help lower your Medicare premiums and decrease the amount of Social Security that is subject to tax.

Beneficiary Designation
Did you know as much as 37% of your retirement plan assets can be consumed by taxes when given to your family? You can easily support the theatre you love and eliminate taxation of these assets by making JPAC a beneficiary of your IRA. Always consult your advisor before making any decisions, but this is as simple as completing the beneficiary designation form for your IRA.

Note that this information here is provided as an overview of the potential financial benefits of donating to ECPA. It is not intended to provide specific advice about the legal or tax implications of charitable giving. Please contact your financial or estate advisor for further explanations and to decide if planned gifts are a good choice for you and your family.