Opportunity Renewed:Tax-Free Charitable Gifts from Individual Retirement Accounts Available in 2008 and 2009

The Opportunity to contribute tax-free from your IRA during 2008 & 2009 restored legislation enacted in September 2008. By making a charitable gift directly from your IRA to Elderhostel, you can, once again, benefit from tax savings while supporting lifelong learning. If you are 70 ½ or older, you are required to take minimum distributions from your IRA. Your gift to Elderhostel will count toward your required minimum distribution, but it will not be added to your adjusted gross income. Therefore, it will not be taxed. We appreciate gifts of any size to support our educational programs.

Here are some situations in which donors will benefit by avoiding income tax on required minimum distributions from IRAs:

• Your required minimum distribution boosts your adjusted gross income resulting in increased taxation of your social security.
• You have significant assets in your IRA which will be subject to income tax when you take your required minimum distribution.
• You take the standard deduction. Your required minimum distribution will boost your income, which will be taxable, but you cannot benefit from an offsetting charitable contribution deduction because you do not itemize deductions.
• You do not need your required distributions for living expenses.
• You are very generous and have already made cash contributions totaling 50% of your adjusted gross income.