THE STRENGTH OF THE ROTARY FOUNDATION
  • 100+ year history of humanitarian work
  • Weathered wars, recessions, pandemics, etc.
  • Stable reserves and fiscal management
  • Conservative investment strategies
  • 4-Star Rating on Charity Navigator for 12+ Consecutive Years
THE ROTARY FOUNDATION SPECIAL 2020 UPDATE
 
There are some great tax benefits this year 2020 for giving due to the recent CARES act. Please consult with your personal financial or tax professional to learn how the CARES Act provisions could be applied to your tax situation in 2020.
 
CARES Act & IRA Contributions
  • Required Minimum Distributions Suspended in 2020
  • If you are 70½ or older:
- You can still make a gift from your IRA to The Rotary Foundation
- Name The Rotary Foundation as a beneficiary of your IRA
 
Why a Gift from an IRA is Still a Good Idea in 2020
  • Your gift will be put to use today.
  • You pay no income taxes on the gift.
  • The transfer generates neither taxable income nor a tax deduction, so you benefit even if you do not itemize your deductions.
  • Since IRA gifts don’t count as income, it can reduce your annual income level. This may help lower your Medicare premiums and decrease the amount of Social Security that is subject to tax.
  • Rotarians gave more than $1.1 million from their IRAs in 2019.
Other CARES Act Charitable Provisions
  • If you itemize your deductions, you can directly write off gifts to charity.
  • In 2019 the deduction cap was 60% of adjusted gross income*(AGI) for individuals; and corporations were able to deduct charitable donations up to 10% of taxable income.
  • In 2020, the CARES Act lifted these caps to 100% for individuals and joint filers; corporations will see their cap lifted to 25%. 
  • These are truly substantial changes to the tax treatment of donations.  For individuals, it theoretically implies that if you directly donate up to or more than your AGI (Adjusted Gross Income), you may be able to reduce your taxable AGI to zero.
  • The window for taking advantage of these specific CARES Act changes expires on December 31, 2020.