A Tax-Saving Way to Support What You Love Idioceseofmarquette.org/images/files/Faithful... ·...
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I f you are 70½ years old or older, you can make a tax-free gift to the Church you love. Michael and Laura Ebert of Menominee like that they can maximize their charitable impact on the Catholic faith they love by giving from Michael’s IRA. “By making our required minimum distribution from my IRA directly to a qualified charity, the distribution is not recognized as income, so it isn’t taxable and the entire amount goes to the charities we designate,” Michael says. The Eberts are deeply committed to Catholic values. By planning their giving strategies annually, they are able to align what they love with tax-wise strategies that maximize their charitable impact. Each year, the Eberts instruct their IRA administrator on the gift amounts, timing and organizations they wish to support through Michael’s IRA. The IRA administrator takes care of the rest. A Tax-Saving Way to Support What You Love A GIFT PLANNING NEWSLETTER FOR FRIENDS OF THE DIOCESE OF MARQUETTE Winter 2019 Faithful Giving Laura and Michael Ebert give from an IRA to make the most of their charitable giving to support their Catholic values. Want to give from your IRA, like Michael and Laura, but aren’t sure where to begin? We can help! Contact Terri Gadzinski at 906.227.9108 or [email protected] to get started. By making our required minimum distribution from my IRA directly to a qualified charity, the distribution is not recognized as income, so it isn’t taxable and the entire amount goes to the charities we designate. “ —Michael Ebert
Transcript of A Tax-Saving Way to Support What You Love Idioceseofmarquette.org/images/files/Faithful... ·...
I f you are 70½ years old or older, you can make a tax-free gift to the Church you love.
Michael and Laura Ebert of Menominee like that they can maximize their charitable impact on the Catholic faith they love by giving from Michael’s IRA.
“By making our required minimum distribution from my IRA directly to a qualified charity, the distribution is not recognized as income, so it isn’t taxable and the entire amount goes to the charities we designate,” Michael says.
The Eberts are deeply committed to Catholic values. By planning their giving strategies annually, they are able to align what they love with tax-wise strategies that maximize their charitable impact.
Each year, the Eberts instruct their IRA administrator on the gift amounts, timing and organizations they wish to support through Michael’s IRA. The IRA administrator takes care of the rest.
A Tax-Saving Way to Support What You Love
A GIFT PLANNING NEWSLETTER FOR FRIENDS OF THE DIOCESE OF MARQUETTE
Winter 2019
Faithful Giving
Laura and Michael Ebert give from an IRA to make the most of their charitable giving to
support their Catholic values.
Want to give from your IRA, like Michael and Laura, but aren’t sure where to begin? We can help! Contact Terri Gadzinski at 906.227.9108 or [email protected] to get started.
By making our required minimum distribution from my IRA directly to a qualified charity, the distribution is not recognized as income, so it isn’t taxable and the entire amount goes to the charities we designate.
“
—Michael Ebert
n IRA is an appealing way to save for retirement: Make a contribution and enjoy tax savings. But eventually, that
tax bill comes due—when you take your annual distributions and again when you leave your assets to heirs. If you want to avoid the tax bite and make an impact on churches in Michigan’s Upper Peninsula, consider a gift to the Catholic Diocese of Marquette from your IRA.
Make Your Gift TodayIf you’re 70½ or older, you can use the IRA charitable rollover to make a tax-free gift to the Diocese of Marquette. This law allows you to transfer any amount up to $100,000 annually directly to a qualified charitable organization without paying income tax on the distribution. Additional benefits include:
• You’ll see the difference you’re making today.• You pay no income taxes on the gift. The transfer doesn’t
generate taxable income or a tax deduction, so youbenefit even if you don’t itemize your tax deductions.
• Your gift can satisfy all or part of your requiredminimum distribution.
Magnify Your Impact After Your LifetimeRegardless of your age, you can give from your IRA by naming the Diocese of Marquette as a beneficiary of your account. This is a great option for extending support from your IRA beyond your lifetime.
Here’s how:1 Decide what percentage (1–100) you would like the
Diocese of Marquette to receive.2 Contact your IRA administrator for a change-of-
beneficiary form, or simply download a form from your provider’s website.
3 Name the Diocese of Marquette and the gift percentage on the form.
4 Return the form to your IRA administrator.5 Let us know about your plans so we can thank you.
Give From Your IRAA
Whether you make your impact at the Diocese of Marquette today or after your lifetime, your gift matters. Please contact Terri Gadzinski at 906.227.9108 or [email protected] to discuss your plans.
Wouldn’t it be great if you could avoid all those annoying fees in life: at the bank, on your electric and cable bill or at the car dealership?
One of the biggest “fees” of all: capital gains tax. When you’re leaving a legacy for the people and organizations you love, such as the Diocese of Marquette, you want to make as big an impact as possible. That’s harder to do if you let the government take a chunk.
That’s why donating appreciated stock instead of selling it is a great option. When you give the Diocese of Marquette appreciated securities that you’ve owned for more than one year, you may receive two tax benefits:
1. You are exempt from paying capital gains taxes on any increase in value—taxes you would pay if you sold the stock.
2. You are entitled to a federal income tax charitable deduction based on the current fair market value of the securities, regardless of their lower original cost, if you itemize.
How to Donate StockHere’s how to give appreciated securities to the Diocese of Marquette: If you have the physical securities: You can hand-deliver them to the Diocese of Marquette or mail us the stocks and stock power separately. If you don’t have possession of the physical securities: Instruct your broker to electronically transfer your intended shares and notify us once the transfer is complete.
Avoid Taxes to Leave a Bigger Legacy
We’re Here to HelpNot sure whether donating stock is the best way for you to support the Church’s work? Feel free to contact Terri Gadzinski at 906.227.9108 or [email protected]. Together with your advisor, we can help you fulfill your charitable goals and protect your assets from unnecessary taxes.
Another Option: Real Estate As with stock, a gift of land or developed property—if it’s worth more today than what it originally cost—is another way to leave a legacy with the Catholic Diocese of Marquette while receiving tax benefits. Certain types of real estate may be in your best interest to give.
Here’s why:+ Real property, such as land
or a vacation home that is no longer used, has a cost of ownership.
+ An older commercial building may be fully depreciated, as well as costly and time-consuming to manage.
+ Developed investment or commercial property, on which straight-line depreciation was taken, may provide significant capital gains tax savings.
Think for a moment about everything you care deeply about: your family, your friends and organizations such as the Catholic Church. Now think about
everything you own: bank accounts, real estate, stocks, retirement plans, life insurance, antiques and jewelry.
When you’re gone, will the things you own go to the people and causes you love?
If you don’t have an estate plan, state law will decide how your property is distributed, and those you care about could wind up with only some—or none—of your assets.
An estate plan is like a guide for your family—a map of what you care about that helps your loved ones know what to do in the weeks and months after you’re gone.
Your Next StepsYou don’t have to do it alone. (In fact, you shouldn’t.) An estate planning attorney will help ensure that your documents are in order and your family is cared for. You need someone who understands state and federal laws, and someone who can help translate your wishes.
To Prepare for the Meeting: MAKE A LIST OF YOUR MAJOR ASSETS. This should include real estate, stocks, retirement plans, life insurance, bank accounts, certificates of deposit, art, antiques and jewelry.
CONSIDER EVERYONE YOU WISH TO BENEFIT. If you are thinking about including a gift to the Catholic Diocese of Marquette, we would be happy to help you. We can provide official legal wording for your will or discuss how your gift will further the Church’s work. We would also love the opportunity to thank you for your gift.
© The Stelter Company | The information in this publication is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in examples are for illustrative purposes only. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results.
1004 Harbor Hills Drive Marquette, MI 49855
Terri GadzinskiExecutive Director, Stewardship & [email protected]
dioceseofmarquette.org/planmygift
Our MissionWe, the Diocese of Marquette, united in Word and Sacrament and in communion with the universal Catholic Church, witness to and proclaim the Good News of Jesus Christ for all the people in the Upper Peninsula of Michigan.
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