Legacy IRA Act Becomes Law
Would you like to give more to charity but also need income during your retirement? Do you own an IRA? If you answered “yes” to these questions, a new law provides an easy way to accomplish your goals using a tax-free distribution from your IRA.
Beginning in 2023, donors over age 70 ½ can now make a Qualified Charitable Distribution (QCD) in exchange for a Charitable Gift Annuity (CGA), offering an appealing and viable option for some donors. A CGA through Lutheran Hour Ministries allows you to make a gift that helps us share the Gospel while providing you with the security of predictable payments for your lifetime (and the lifetime of a loved one, if you choose) no matter what happens with the economy. In addition, payout rates have recently increased for the second time in six months— in the highest rates in more than a decade.
To take advantage of this new law, there are several things to keep in mind:
- a donor can make this election in only one tax year;
- there is an aggregate limit in that year of $50,000;
- the entire gift annuity payment will be fully taxable;
- the annuitant(s) must be the donor and/or the donor’s spouse; and
- there is no charitable deduction.
To learn more about this new opportunity, or other giving options to support LHM’s mission of Bringing Christ to the Nations—and the Nations to the Church, e-mail us or call our gift planning team at 1-877-333-1963.