Required Minimum Distributions (RMDs) & Qualified Charitable Distributions (QCDs)

What is a Required Minimum Distribution (RMD)?

If you have/own an Individual Retirement Account (IRA), you MUST take a Required Minimum Distribution (RMD) each year upon reaching the age of 73 to 75 (depending on your birth year). The good news is that the RMD can be made directly to a qualified charity like Animal Protection New Mexico, and that donation will simultaneously help you avoid paying income taxes, assuming you don’t need those funds for your annual living expenses.

But also, an IRA owner MAY make a Qualified Charitable Distribution (QCD) beginning at age 70½. A QCD allows individuals over age 70½ to transfer funds directly from their IRA to a charity like Animal Protection New Mexico, providing a tax benefit for the IRA owner. CAUTION: If the funds are distributed to the IRA owner first, the owner cannot take advantage of the tax savings. Also, QCDs are exclusive to IRA accounts (you cannot make them from workplace giving plans like 401ks, for instance.)

Please consider this method of smart giving to:

• Animal Protection New Mexico, Tax ID Number (sometimes called the EIN number): 85-0283292
P.O. Box 11395, Albuquerque, NM 87192

Or

• Animal Protection New Mexico Foundation, Tax ID Number (EIN number): 26-0042048
P.O. Box 11395, Albuquerque, NM 87192

If you’d like to make an online QCD/RMD gift, please have your financial advisor contact APNM’s Development Department for more details at development@apnm.org.

For more details and guidance on this clever way of giving that can reduce your income tax, please consult your financial advisor.