Ask Steve what inspires his generosity, and he doesn’t hesitate. “I have a heart for the stranger, the widow, the orphan,” he says, paraphrasing scripture. “It’s about a love for God, love of others, and serving our community.”
Steve and Bev met later in life and retired after long careers as teachers. They each had accumulated significant IRA investments, and during retirement they have enjoyed sharing their resources with others. Bev says they ask themselves, “How best can we use the money we have to serve other people?”
Their financial advisor, Jim, witnessed the couple’s generosity and asked them about including charitable giving in their financial plan. “I resisted when Jim talked to us because we were supporting many charities already,” Steve recalls. Then Jim asked, “When you pass away, what will happen?”
The question changed their conversation. Steve and Bev liked the possibility of supporting charities after they die, but they weren’t ready to make decisions, even after Jim introduced them to the solutions Thrivent Charitable has to offer. Bev recalls, “Sometimes you have to process the information, think it through and even hear it again.” And then a health scare prompted the couple to take action establishing a
How it works
With a QCD, you create a non-advised fund through Thrivent Charitable funded with money from your traditional IRA. You pre-select charities to receive automatic grants for a term of years or into perpetuity. You’re eligible to make QCDs starting at age 70-1/2.
A QCD can help satisfy required minimum distributions (RMDs) you may be subject to while excluding up to $108,000 from taxable income in 2025. The maximum amount is adjusted annually for inflation. If you’re married, filing jointly, your spouse may complete a QCD from their IRA in the same tax year as well.
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QCDs give you the potential to be more generous than you already are while putting several tax advantages to work for you throughout retirement. For example, depending on your age, QCDs may help reduce your IRA balances before RMDs begin at 73 (QCD eligibility starts at 70-1/2). Also, a QCD may allow you to bypass federal and state income taxes, which lowers adjusted gross income, and it may also reduce taxes on Social Security benefits.
Including charitable giving in your plan
Of course, charitable giving is just one aspect of your comprehensive financial plan. Your financial advisor can help you give shape to your goals and dreams for retirement and beyond with a strategy focused on your priorities. Schedule a strategy session with your financial advisor or Thrivent Charitable today and discover whether a QCD makes sense for you.
This donor’s experience may not be the same as other donors and does not indicate future performance or success. Payout rates, charitable deductions and other benefits vary based on a number of factors.