The Power of QCD's
Updated: Jan 9, 2025
I'm excited to share a giving opportunity that could allow you to make an even greater impact while enjoying significant tax benefits: Qualified Charitable Distributions (QCDs).
A QCD is a simple yet powerful way to support KML directly from your Individual Retirement Account (IRA). Think of it as redirecting funds that would typically be taxed to instead support Christian education at KML – a true “win-win” that keeps that money out of your taxable income.
There are many benefits to utilizing QCD’s, especially if you're 73 or older and must take Required Minimum Distributions (RMDs). Your QCD gift counts toward your RMD requirement while keeping that money out of your adjusted gross income. This can help reduce your tax burden and may even keep you in a lower tax bracket. Plus, unlike regular charitable deductions, you don't need to itemize to receive this tax benefit.
QCD Essentials
Eligibility: Age 70½ or older
2024 Maximum: Up to $105,000 per person
Key Benefit: Reduces taxable income while supporting KML
RMD Note: Counts toward Required Minimum Distribution if you're 73+
Important: Must transfer directly from IRA to charity
Let me share a simple example: Mary, a 73-year-old KML supporter, needs to take a $20,000 RMD this year. Instead of taking it as income and then writing a check, she directs the full $20,000 from her IRA directly to the KML Foundation as a QCD. This completely satisfies her RMD requirement while keeping all $20,000 out of her taxable income. In her 24% tax bracket, this saves her $4,800 in federal taxes while supporting KML's mission. That's nearly $5,000 more going to ministry instead of taxes!
Your timing couldn't be better to make a significant impact at KML. As we approach Giving Tuesday on Tuesday, December 3rd, there's tremendous excitement around our Fieldhouse Expansion Project. Your QCD gift can help us create enhanced facilities that will serve our students and community for generations to come. This project represents a pivotal moment in KML's history, and your support through a QCD can help make it a reality.
How to Make Your QCD to KML:
Contact Your IRA Custodian
Call or email the financial institution that holds your IRA
Let them know you want to make a Qualified Charitable Distribution
Request their specific QCD form or process
Gather KML's Required Information
Official Name: Kettle Moraine Lutheran High School Foundation
Tax ID Number: 46-0506261
Mailing Address: 3399 Division Rd. Jackson, WI 53037 (Attn: Dylan Rusch)
Phone: 262-677-4051 x4093
Complete the QCD Request
Fill out your custodian's required forms
Specify the amount you wish to distribute
Important Reminders
Funds MUST be transferred directly from your IRA to KML
Do NOT withdraw the money yourself first
Start early - processing can take several weeks
Ready to make a lasting impact while enjoying tax benefits? I'm here to help you through every step of the process. Please don't hesitate to reach out to me directly:
Dylan Rusch, Gift Planning OfficerEmail: dylanrusch@kmlhs.org
