Retirement plan assets are a great way to support the House. They not only help our families. They also can provide tax relief for your loved ones!
Mother snuggles with her toddler beside one of the North Courtyard gardens.
Money in an employee retirement plan, IRA or tax-sheltered annuity has yet to be taxed. When a distribution is made from your retirement plan account to a beneficiary, that person will owe federal income tax.
Consider instead leaving your loved ones less-heavily taxed assets, while leaving your retirement plan assets to Ronald McDonald House Charities of San Diego. As a nonprofit organization, we're tax-exempt and will receive the full amount of what you designate to us from your plan. You can take advantage of this gift opportunity in the following ways:
Name us a beneficiary of your plan. This requires you to simply update your beneficiary designation form through your plan administrator. You can designate Ronald McDonald House Charities of San Diego as the primary beneficiary for a percentage or specific amount. You also can make us the contingent beneficiary, so that we'll receive the balance of your plan only if your primary beneficiary doesn't survive you.
With the IRA Charitable Rollover, if you're 70½ years old or older , there's a simple way to help those we serve and receive tax benefits in return. You can give up to $100,000 from your IRA directly to a qualified charity such as Ronald McDonald House Charities of San Diego, without having to pay income taxes on the money.
Fund a testamentary charitable remainder trust. When you fund a charitable remainder trust with your heavily-taxed retirement plan assets, the trust receives the proceeds of your plan. The trust typically pays income to one or more named beneficiaries for life, or for a set term of up to 20 years, after which the remaining assets would go to support Ronald McDonald House Charities of San Diego. This gift provides excellent tax and income benefits for you while supporting both your family and ours.
A donor advised fund. When retirement plan assets pass to your heirs, distributions are taxed as ordinary income. This income tax burden can be substantial, greatly reducing the value of the intended gift. Instead, you can designate your donor-advised fund as the beneficiary of all or a portion of your retirement plan assets. Your fund receives the full amount of the gift and bypasses any federal taxes.