“Render to Caesar the things which are Caesar’s; and unto God the things that are God’s.” With these words, Jesus commanded us to follow the tax laws of our government. But did you know that if you are 70 ½ years old or older, those laws may make you eligible to give a tax-free gift?
The IRS requires mandatory withdrawals from retirement accounts for most people who are older than 70 ½. These withdrawals are considered taxable income. However, there is a provision in the tax code that allows you to make a tax-free gift directly from your IRA to Adventist Frontier Missions. This gift of up to $100,000, called a Qualified Charitable Distribution (QCD), is counted as part of your mandatory withdrawal, but it is not considered taxable income.
You can use this blessing to increase your giving at no additional cost. For example, if you are in the 28-percent tax bracket and make a $1,000 gift from your IRA without the benefit of a QCD, you will also have to pay $280 in taxes on the withdrawal, for a total cost to you of $1,280. However, if you were to give that same $1,000 gift from your IRA directly to AFM as a QCD, your cost would be only the $1,000. No tax payment! Or, if instead of saving money you want to maximize your gift, you might decide to make a QCD of $1,280, the amount it would have cost you if you had made a taxable gift. That’s a 28-percent larger gift at the same cost to you!
What a blessing to be able to give more to God’s work! This is a wonderful opportunity to give without having to render a portion to Caesar. With your QCD gift you can partner with AFM to help reach more souls for the kingdom.
If you would like to give a QCD or would like more information about QCDs, please contact me at 1-800-937-4236, ext. 103 or email firstname.lastname@example.org.