Using a Qualified Charitable Distribution (QCD)

to donate to the Holy Trinity Building Debt Payoff

 

A Qualified Charitable Distribution (QCD) is a distribution from a donor’s traditional IRA account directly to a 501(c)(3) charity.  Done properly, a QCD is not taxable. Holy Trinity is a 501(c)(3) charity. A QCD can be used to donate to the Holy Trinity Building Payoff.

 

Eligibility for QCDs

· Donor must have reached 70-1/2 year of age.

· The QCD must be done from Traditional IRA accounts (Not a SEP IRA, SIMPLE or Roth IRA).

· The QCD must be come directly from the traditional IRA to the 501c3 organization.

· Additionally, the non-taxable QCD amount can be put toward a donor’s Required Minimum Distribution (RMD) if the donor is at least 73 years old.

 

Tax Benefits of QCDs

· Donors can distribute money from their traditional IRA account incurring no tax liability.

· Donors can fulfill all or part of RMDs without incurring tax liability.

· A QCD can help donors maintain lower Medicare premiums, reduce taxes on Social Security benefits and keep all of the new ‘Bonus’ standard deduction for seniors.

 

For 2025, the limit for QCDs is $108,000 per person. Note that a married couple can each make a $108,000 donation via QCDs from their IRA account. 

 

How to Make a Qualified Charitable Distribution

¨ Contact your IRA custodian (the organization that holds your IRA account) or your financial advisor to initiate the transfer.

¨ Make sure the check is made payable to Holy Trinity Church.  Please request that ’Building Debt Payoff’ be put in the memo line of the check.