Benefits of Contributing in 2020
Non-Itemizers can Reduce Their Taxable Income by $300
If you take the standard deduction, the CARES Act allows you to reduce your taxable income in 2020 by up to $300 for cash contributions to charities such as Our Lady Star of the Sea using an “above the line adjustment,” which means it comes before you calculate your adjusted gross income.
Itemizers Benefit, too
For those who do itemize their deductions, the new law allows for cash contributions to qualified charities such as the Our Lady Star of the Sea to be deducted up to 100% of your adjusted gross income vs the normal 60% for the 2020 calendar year.
Required Minimum Distributions Waived in 2020
For the year 2020, there will be no mandatory distributions from retirement accounts (whatever the age of the owner), thus allowing those accounts to recover. The minimum age for making a tax-free transfer from an IRA to a charity remains at 70½, and the annual limit remains at $100,000. However, since cash gifts are deductible in 2020 to the extent of adjusted gross income (100%), a person could withdraw and then contribute a larger amount—with the deduction offsetting the taxable withdrawal.
Qualified charitable distributions are still a great way to make contributions.
Even though RMDs are waived, if you are 70 ½ or older, you can still use your IRA to get a tax break on giving to charities such as Our Lady Star of the Sea. You can do so with qualified charitable distributions (QCDs) from your IRA. The funds are directly transferred from your IRA to the Our Lady Star of the Sea and are excluded from income.
Normally, this would go towards satisfying your RMD. But even though there are no RMDs this year, this is a better way to give to Our Lady Star of the Sea and reduce your taxable IRA balance at the same time. You pay no income taxes on the gift and the transfer generates neither taxable income nor a tax deduction. So you benefit even if you don’t itemize.
Only IRA owners and beneficiaries who are age 70 1/2 or older qualify for this, though. This age did not change even though the age for RMDs was increased to 72. QCDs give you back a tax benefit that would otherwise be lost. This may help lower your Medicare premiums and decrease the amount of Social Security that is subject to tax.
Ways to Continue Giving
We have been asked by many parishioners how they can support Our Lady Star of the Sea during this difficult time. Please know that I am extremely grateful for those of you who can continue to support our parish. We encourage you to use one of the following options:
Thank you for the generosity that you continue to demonstrate during these trying times for all. Your commitment to the parish is gratefully acknowledged.
Miracles Abound Advent 2020:
A Daily Reflection, Practice, and Prayers
Please join Fr Matt and members of our Parish for a daily brief, but powerful spiritual journey through Advent. We will meet daily, by phone, Monday through Friday for the season of Advent, coming together each morning to pray, reflect and enrich our time with the Lord in this most holy season .
Dial in on the number below. There is no registration required. We will start November 30th commencing at 7:30am and finishing at 7:50am, so you can attend 8:30am Mass if you wish. A number of persons from the parish will facilitate and you can enjoy reflecting, and praying.
If you have questions, please contact Deirdre O’Grady at email@example.com or 904-607-1537or Forrest Yanke at firstname.lastname@example.org or 850-866-2115.
In addition to our daily reflection we will also be hosting an in-person morning retreat at OLSS On Saturday, December 5, 2020 The Adult Education Committee will be offering a Reflection Morning to prepare for Advent.
The day will begin with mass at 8:30 a.m. and conclude at noon.
Coffee, water and muffins will be provided between the end of mass at the beginning of the Reflection time.
The morning will include time for personal prayer, Adoration and confession.
Due to the ongoing challenges with the virus, the ordinary procedures must be followed. These include: Click here to sign up for Mass/Reflection Morning; masks worn and sanitizing spaces afterwards.
Looking forward to being with you on the 5th.
Phone Number 720 740 9797
Access Code 2414985