Donors aged 70½ and older can now make a special charitable contribution to Brown University through an IRA Qualified Charitable Distribution to set up a charitable gift annuity (CGA) and receive a steady income for life in return.

A Qualified Charitable Distribution (QCD) is made directly from your IRA to a qualifying charity, such as Brown. Unlike most distributions from a retirement account, a QCD is not subject to income tax. 

This new provision allows you to support Brown University while securing a lifetime income for you and a loved one. This gift option combines the benefits of a QCD with the steady income of a CGA.

How it works: 

  • Donors age 70½ and older can make a one-time transfer of up to $54,000 directly from their IRA to Brown University.
  • This transfer counts as a QCD, which may satisfy all or part of your Required Minimum Distribution (RMD).
  • Through a simple contract, Brown will establish a CGA providing fixed, lifetime payments to you and/or a loved one.
  • The income you receive from the CGA will be subject to income tax. The funds used to establish the CGA will be excluded from taxable income and will provide you with a stable income for life.  

Please contact the Office of Planned Giving and Philanthropic Strategies for more information. We would be happy to work with you and your advisors to help determine how this new option might work for you.