The IRA Charitable Rollover
You’ve spent a lifetime saving for the future. What if you could take care of yourself and still help others?
In 2015 the IRA Charitable Rollover was made permanent by law, allowing individuals over 70 ½ to make direct distributions on a tax-free basis from their traditional or Roth IRAs to qualified charities, such as Baylor Scott & White Central Texas Foundation.
Benefits to donors
- You may transfer up to $100,000 annually with no federal tax on the transfer amount.
- Transfers count toward the IRA “required minimum distribution” in the year of the gift.
- You may reduce your taxable income, even if you do not itemize deductions.
- At Baylor Scott & White Health, every dollar you give directly benefits the program or project you specify.
- You’ll be invited to participate in the Cornerstone Society, a program paying tribute to donors who have invested in the future of comprehensive, quality health care through Baylor Scott & White Central Texas Foundation. Benefits include personal services to make your visit more comfortable, naming opportunities for qualifying irrevocable gifts, and invitation to selected events.
A gift of honor and gratitude
Having both lost a parent to cancer, Gina and Steve Fought could not pass up the opportunity to help other cancer patients in their community.
“Getting care was very tough on my parents when my dad was sick in the 1980s,” Mr. Fought recalls. “My mom had to shuttle my dad between Austin, San Antonio, and Houston to piece together the care he needed. Had there been a one-stop cancer center near my parents when my dad was sick, life would have been much easier for them.”
In 2016, the Foughts designated a gift from his IRA to the Baylor Scott & White Cancer Center – Round Rock in memory of their parents.
“It was so simple,” says Mr. Fought. “I just filled out a standard form with my IRA holder and a check was sent directly to the Baylor Scott & White Central Texas Foundation. Since you never touch the withdrawal as income, no tax is paid.”
The Foughts’ IRA gifts have funded several programs to enhance the care and support cancer patients receive. “We wanted to be a part of this comprehensive cancer center to honor our parents, express gratitude for the excellent care we’ve received over the years, and to do good for the community,” Mr. Fought says.