Charitable IRA Frequently Asked Questions (FAQ)
A Charitable IRA Rollover, also known as a Qualified Charitable Distribution (QCD), allows individuals age 70 ½ and older to donate directly from their IRA to MAZON without counting the distribution as taxable income. It is a simple, tax-smart way to fight hunger while meeting your required minimum distribution. Review the questions below to learn more, or contact us directly with any questions.
What address should I provide for MAZON?
Please do NOT use our office address for mailing contributions (including IRA gifts), you can instead use the following: PO Box 6095, Albert Lea, MN 56007.
What is MAZON’s Tax Number?
22-2624532
What is the minimum age for making a Charitable IRA Rollover gift?
You must turn 70 ½ prior to completing the distribution.
Does a Charitable IRA Rollover gift affect my Required Minimum Distribution (RMD)?
The amount distributed to MAZON will be deducted from your RMD.
Are Qualified Charitable Distributions (QCD) the same as a Charitable IRA Rollover?
Yes. A QCD is the language used in the tax code, but they are more often referred to as Charitable IRA Rollovers.
Is there a tax deduction for making a Charitable IRA Rollover?
IRA rollover gifts are not deductible – but the money is never included in your income in the first place, which for many people is more favorable than a deduction.
I have a Roth IRA. Can I use it for a Charitable IRA Rollover?
Roth IRAs are eligible for rollover treatment; however, you may wish to discuss with your financial advisor whether this is the best way for you to give.
I don’t have an IRA. Can I make an IRA Rollover gift from another retirement account?
No, transfers must come directly from an IRA or Roth IRA. However, if you have retirement assets in a 401(k), 403(b), etc., you may be able to roll those funds into an IRA, then use the IRA for giving. Please discuss this with your financial advisor.
What is the minimum gift size? And is there a maximum gift size?
The minimum gift size depends on the policies of your IRA custodian.
The maximum distribution permitted by the IRS is $100,000, per account holder (i.e., per spouse), per year.
Are there restrictions on the Charitable IRA Rollover?
A rollover cannot be used to make gifts when the donor receives a benefit in return (i.e., to attend a dinner).
How do I initiate a Charitable IRA Rollover?
In most cases, you should start by contacting your IRA custodian. If you have an IRA with check-writing features, please be aware that your check must be made out to “MAZON” and must clear your account by December 31 to count toward your RMD.
When should I initiate a request for a distribution?
You may request a distribution at any time during the year. If you intend that your distribution count toward your RMD, please begin your transfer by early December to allow ample time for your transfer to be completed.
What type of acknowledgement should I expect?
We will send you a written acknowledgement of your gift to thank you and to confirm the amount of your gift and its intended purpose. Because there is no income tax deduction, you will not receive a conventional receipt.
How do I know if a Charitable IRA Rollover is right for me?
If you are over age 70 ½ and have an IRA, the rollover might be right for you if:
- You do not itemize deductions
- You don’t need your required minimum distribution (RMD)
- Your RMD causes more of your Social Security income to be taxed
- You are making charitable contributions at your deduction limit, but want to do more
I have more questions. Whom should I contact?
Please contact us at mazon@mazon.org or call us at (800) 813-0557.