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IRAs, Stock, DAFs

IRA Charitable Rollover Gifts

KHS supporters like YOU can plan to get a tax break while helping our furry FURiends with an IRA Charitable Rollover Gift!

Satisfy your required minimum distribution (RMD) while also saving taxes and animals! A charitable rollover gift referred to as a qualified charitable distribution (QCD) provides you with an excellent opportunity to make a gift from an asset that would be subject to multiple levels of taxation if it remained in your taxable estate.

Details:

  • You must be 70½ or older at the time of the gift.
  • The transfers must originate from a traditional IRA or Roth account.
  • Your plan provider must issue the donation directly to the charity.
  • Your gift can be $1,000, $10,000, $50,000 … any amount up to $100,000!
  • You will benefit from giving, even if you do not itemize deductions.
  • The transfer may be made in addition to other charitable giving you have.

Note: 2023 legislation raises the required minimum distribution (RMD) age (previously 72) to 73. The age for QCD eligibility is still 70½. Remember to name KHS as a beneficiary of all or a percentage of your account. As a charity, KHS will not pay income tax on any distributions. A win-win for animals!

Contact your IRA administrator or plan provider to discuss your gift intent. They will provide instructions on how to transfer funds to KHS – federal tax ID 61-0463938. Have your provider add your name and contact information on the gift form so we may send a receipt/thank you. Gifts may be sent to our East Campus location at 1000 Lyndon Lane, Louisville, KY 40222.

Questions? Contact our Development Team at 502-515-3147 or [email protected].

Donor Advised Funds

If you have a donor advised fund, DAF Direct enables you to recommend grants to the Kentucky Humane Society directly from your DAF. If your donor advised fund does not participate in DAF Direct, just ask your financial advisor to designate a gift to KHS. And please let us know when you do, so we can say thank you.

What is a donor-advised fund?

A donor-advised fund (DAF) is a type of giving program that allows you to combine the most favorable tax benefits with the flexibility to easily support your favorite charities. An increasingly popular charitable vehicle, DAFs are an excellent way to both simplify your charitable giving and facilitate your strategic philanthropic goals.

How does it work?

  • Establish your DAF by making an irrevocable, tax-deductible donation to a public charity that sponsors a DAF program
  • Advise the investment allocation of the donated assets (any investment growth is tax-free)
  • Recommend grants to qualified public charities of your choice

What are the main advantages of a donor-advised fund?

  • Simplicity – The DAF sponsor handles all record-keeping, disbursements, and tax receipts.
  • Flexibility – Timing of your tax deduction can be separate from your charitable decision making.
  • Tax-efficiency – Contributions are tax-deductible and any investment growth in the DAF is tax-free. It is also easy to donate long term appreciated securities, eliminating capital gains taxes and allowing you to support multiple charities from one block of stock.
  • Family legacy – A DAF is a powerful way to build or continue a tradition of family philanthropy.
  • No start-up costs – There is no cost to establish a donor-advised fund. However, there are often minimum initial charitable contributions to establish the DAF (typically $5,000 or more).** No transaction fees – Once approved, 100% of your recommended grant goes to your qualified public charity of choice.**
  • Privacy if desired – Donors may choose to remain anonymous to the grant recipient.

Already have a donor-advised fund?

When you make a gift from your DAF, it’s possible that the sponsoring organization will not share your information with KHS. Please send our Development Team a note at [email protected] or call 502-515-3147 so we can make sure to thank you and ensure your gift gets to where you intend it to go.

More ways to help animals through your donor-advised funds

  • Choose KHS as a beneficiary of all or a portion of any remaining funds.
  • Create a recurring gift with KHS and help companion animals all year long.
  • Contact your employer for matching gift opportunities.

Stock Gifts

For stock held in brokerage accounts, your broker can assist you in making a gift of stock via a direct transfer to KHS. Giving a gift of publicly-traded stock that has increased in value and that you have owned for more than one year may provide better tax benefits than giving cash. Your charitable income tax deduction is equal to the fair market value of the stock and you avoid paying the capital gains tax on any increase in the current value over the original cost of the stock. You may also save on brokerage fees because you are transferring ownership rather than selling the stock. Download our Stock Transfer Instruction Form (PDF)

Life Insurance

There are several ways to donate to the Kentucky Humane Society using life insurance. They can be policies that are paid in full, partially paid, or newly purchased. KHS can be named as owner and beneficiary for your fully paid policy. You may deduct the replacement cost of the policy from your taxes. You can also designate KHS as the beneficiary of the policy you already have. There is no immediate deduction, but your estate will receive a deduction equal to the amount of the policy when settling.

More Information

For more information, contact our Development Team at 502-515-3147 or [email protected].

Did You Know?

Assets you pass on outside of your will are called non-probate assets, and typically include IRAs, 401(k)s, pensions, certain bank and brokerage accounts, and life insurance policies.

If beneficiaries are not properly set for these non-probate assets, the consequences can be stressful and expensive.
Click here to easily plan beneficiaries for your non-probate assets with the help of FreeWill.

Legal Disclaimer
Neither the Kentucky Humane Society nor its employees may give legal, tax, or accounting advice. Counsel should be contacted prior to drafting or amending any instrument.

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