Lifetime Gift from a Retirement Account The first example illustrates an outright gift from an IRA by a donor over age 70½. The second example illustrates the costs and benefits of a withdrawal from an IRA by a donor younger than 70½, used to fund a life-income gift. Example 1 You are 75 years old and your adjusted gross income will total $200,000 this year. Earlier in the year you contributed $100,000 to Michigan State University, so you have reached the limit (50% of adjusted gross income) on charitable gifts you can deduct this year. You want to provide additional support for a Michigan State University program, so you direct a $100,000 payment from your IRA to us.
Example 2 You are 65 years old. You withdraw $100,000 from an IRA and use it to create a Charitable Gift Annuity, making lifetime payments to you, then paying the remaining balance to Michigan State University.
For more information Email us, complete the personal illustration form, or call us at (517) 884-1068 so that we can assist you through every step of the process. Michigan State University Planned Giving content ©2008 VirtualGiving | Disclaimer & Privacy Notice |
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