Rolling over your individual retirement accounts annual distributions is a unique way to begin building your charitable legacy during your lifetime.
IRA Charitable Rollover
An individual retirement account, commonly known as an IRA, is an investment account utilizing current tax benefits to better prepare one for financial security after retirement. You can transfer a portion of your IRA to the Aga Khan Foundation USA to maximize your tax deductions, all while supporting the work of the Foundation.
The Internal Revenue Service (IRS) requires anyone, who has reached the age of 70-½ years, and who has a tax-deferred retirement account, such as IRAs, to annually withdraw a minimum amount from these accounts and pay taxes. The amount, referred to as the Minimum Required Distribution (MRD), depends on the balance of your retirement account at the end of the previous calendar year.
IRAs have a special provision, known as a charitable rollover, where one can transfer assets up to $100,000 dollars annually to public charities directly, exempting them from paying taxes.
Requirements for IRA Charitable Rollover
- The IRA account holder is at least 70 ½ years of age or older;
- The transfer or distribution is direct from an IRA account to AKF USA;
- The transfer or distribution is completed during the applicable tax year; and
- The total of the gift does not exceed $100,000 per tax year
Inform AKF USA
For more information on making a bequest or informing AKF USA of your intention, please contact your local AKF USA volunteer or call 202.293.2537, email firstname.lastname@example.org, or mail to:
Planned and Legacy Giving
Aga Khan Foundation USA
1825 K Street, NW Suite 901
Washington, DC 20006
The content on our Planned and Legacy Giving pages is for informational purposes only. We recommend that you consult with your financial and legal advisors for additional information and guidance.