The season of fall brings lots of joy to our lives as we begin the long-awaited holiday season. Between pumpkin patches, Thanksgiving with the family, and early Christmas shopping, our lives start to pick up this time of year. But with the days getting shorter and the new year waiting just around the corner, we are reminded that shortly after this time of harvest and festivities, we will be thrown into a completely different, and sometimes overwhelming, phase of the year—tax season.
At CFA, we are here to remind you that when it comes to your taxes you do have a choice. We want you to enter the new year feeling confident about your end-of-year giving, knowing that you were able to donate to a worthy cause, while also minimizing your tax obligation.
Qualified charitable distributions (QCDs) from your individual retirement account (IRA) are the smartest and easiest way to give tax-free. Anyone over the age of 70½ can take advantage of the QCD. QCDs count toward your annual required minimum distribution (RMD) from your IRA. Because most IRAs require an annual minimum distribution once you reach age 73, this giving strategy is especially helpful to those who don’t itemize their deductions.
Using this giving strategy with CFA is now easier than ever. This year we developed our new Pathfinder Funds, specifically created to help guide you in giving to the causes that are closest to your heart.
With our Pathfinder Funds, your QCD can directly support a cause that is important to you, whether that be animals, the arts, the environment, poverty alleviation, economic development, early childhood care, or the county in which you live. These funds are a permanent resource that will help respond to the changing needs of our community not only today, but for generations to come. You can also use your QCD to establish a new charitable fund in your name or the name of a loved one.
When it comes to your taxes, you do have a choice. We are here to make your end-of-year decisions as simple and as meaningful as possible. For more information about QCDS, our Pathfinder Funds, or starting a fund, contact Director of Donor Services Katrina Perkosky at 814-208-8411.