Pension Law Extension Allows Tax-Free Transfers to Charities from IRAs

The Community Foundation of the Eastern Shore is pleased to inform area donors and nonprofits that the recent extension of the Pension Protection Act provides a unique opportunity to holders of traditional and ROTH IRAs who are at least 70 ½ years old.


On January 2, 2013, President Obama signed the American Taxpayer Relief Act of 2012 into law, extending the provision allowing individuals to transfer their IRA assets directly to charity without recognizing those assets as income.

In 2012 and 2013, holders of traditional and Roth IRAs who are at least 70 ½ years old can make direct charitable transfers up to $100,000 per year. As a qualified public charity, the Community Foundation of the Eastern Shore can help donors execute the transfers and choose from several charitable fund options for their gift. Donor Advised Funds do not qualify for tax-free IRA transfers.

Additionally, the extension allows donors to make contributions directly to eligible charities before February 1, 2013, and elect to have such distributions treated as qualified charitable distributions in 2012.  Recognizing that the extension of the IRA charitable rollover provision occurred in 2013, this change may be a particular benefit to donors who would like to take advantage of the rollover in both 2012 and 2013.

This is good news for Americans who make charitable contributions, but even better news for children and families who receive services form nonprofit organizations that rely on these donations.  Donors are urged to work with their professional advisers to determine the effect of these rules on their specific tax situation.

“This really is a limited-time offer. The window is open now, but it may close January 1, 2014,” said Wilson. “For anyone interested in establishing a permanent legacy in this community, this is an opportunity to make the gift of a lifetime.”

Tax-free Alternatives for IRA Charitable Rollovers: 
The federal law extension allows IRA owners to transfer gifts to charity tax-free, but generous IRA donors still face multiple options for their gift.  Here are four types of charitable funds at the Community Foundation that qualify for tax-free transfers from IRAs: 

• Community Needs Funds:  Meeting urgent and ever-changing needs in our community. 
• Field of Interest Funds:  Connecting personal values to high-impact opportunities. 
• Designated Funds:  Helping local nonprofit organizations succeed and grow.
• Scholarship Funds:  Helping young people in our community fulfill their dreams.

Happy Holidays!

Please be aware that CFES will be closed December 24th and December 25th.  We will also be closed at noon on December 31st and January 1st.

Join us as we celebrate our successes

During the week of November 12-18, 2012 the Community Foundation of the Eastern Shore will join more than 700 community foundations across America for Community Foundation Week.

National Community Foundation Week 2012 spotlights the vital role of more than 700 community foundations nationwide in supporting essential services such as health care clinics, food banks, domestic violence shelters, libraries and volunteer fire departments. In 2011, these foundations granted an estimated $4 billion to a variety of nonprofit activities in the arts, education, health and human services, the environment and disaster relief.

Though they could never replace the role of government-funded services, community foundations can help nonprofit organizations and others by using their private resources for the public good.

Community foundations’ financial independence allows them to take risks, sometimes achieving extraordinary results and affecting change. In 2011, the Community Foundation of the Eastern Shore distributed more than $4.4 million to small local nonprofit organizations with a proven capacity to support valuable programs and critical needs in our region.

In addition, almost $300,000 was awarded in scholarships to 215 Lower Shore-area students who will benefit from scholarships created by selfless donors in our region.

Consider the role the Community Foundation plays in the thousands of lives we are able to impact each year. Community foundations know that the investments they make today will help people for many years to come. By marshaling the financial resources of individuals, families and businesses, we can address unemployment, hunger and poverty issues.

By strategically working with others, community foundations equip communities to more effectively deal with such future challenges.

To find out how you can become a part of this philanthropic movement and join some 500 donors who have already partnered with the Community Foundation for their charitable giving, contact the Community Foundation of the Eastern Shore at 410-742-9911 or make a donation online by visiting our website at www.cfes.org.

Community Foundation Names Douglas Wilson President

Dr. Douglas H. Wilson has been selected as the new President of the Community Foundation of the Eastern Shore (CFES).  Dr. Wilson comes to CFES after nearly 30 years as a member of the leadership team at Peninsula Regional Medical Center where he served as the Executive Director of Strategy and Market Development.

 

“I am elated to be offered the opportunity to serve my community and this wonderful organization in this capacity,” stated Wilson.  “With their dynamic staff and engaged board of directors, I see great possibilities for the future and am so proud to become a part of that.”

 

 

Jim Thomas, Chairman of the Search Committee who chose Dr. Wilson as the new President, notes his depth of business experience, his management style, and his ability to build and nourish relationships as some of the key factors in his selection.  “We had a field of excellent candidates apply for this position,” he said.  “We are excited about the qualifications and past experiences that Dr. Wilson will bring to the Community Foundation.  He is a charming and dynamic individual who we believe will do great things for our community in this position.”

 

Dr. Spicer Bell will officially retire on July 31 after leading the Foundation for the past eight years.  Dr. Wilson will begin his new role as President of the Foundation effective August 1.

Recognize Volunteer Service

Recognition is an important part of any volunteer program. People are motivated to volunteer for different reasons: to help others, to make a difference, to better themselves, to meet people, to get to know their communities. Whatever motivates them to serve, they will appreciate being appreciated. Take the time to celebrate people doing extraordinary things through service and honor the individuals who dedicate themselves to taking action and solving problems in their communities with these tips.

Read More at the HandsON Blog

Foundation Announces Sponsorship of Eastern Shore Mission of Mercy

The Community Foundation of the Eastern Shore has announced a $10,000 pledge to kick-off a drive to bring a Mission of Mercy project to the Eastern Shore.  The pledge will match the first $10,000 in contributions from the local community.

“Mission of Mercy” (MOM) projects are conducted across the country to bring quality dental care to underserved populations.  MOM Projects consist of over 100 volunteer dental professionals and several hundred volunteer staff who coordinate two-day dental clinics at locations around the country.  Two MOM’s have been coordinated in Western Maryland and one is planned for Southern Maryland in June.

The Eastern Shore MOM is being organized by the Eastern Shore Dental Society and is scheduled for March 15 & 16, 2013.  The MOM committee is chaired by Dr. Greg Allen of Salisbury.  The program’s goal is to provide dental services to 1000 local residents over the two-day clinic.

A MOM Fund has been established at the Community Foundation and contributions can be made payable to the Community Foundation with a memo notation “Eastern Shore MOM.”

More information about Mission of Mercy can be found at www.easternshoremissionofmercy.org or on Facebook.

Let’s Keep the Lower Shore Warm this Winter

As cold weather settles into our area once again, it is time for us to think of our neighbors who are less fortunate.  Again, many local families and senior citizens will face difficult choices this winter.  They may have to choose between purchasing food, vital medications or keeping warm.

If you or someone you know is having trouble keeping up with energy bills, the Maryland Energy Assistance Program (MEAP) offers assistance to income-eligible households. Information on the program can be found by calling 1-800-352-1446 or by checking with the Local Home Energy Programs Office for your county (see the Maryland Office of Home Energy Programs website www.dhr.state.md.us/ohep).

Unfortunately, due to Congressional budget delays and cuts at other levels of government, program funding will be substantially lower this year than in the past.  It will fall to local not-for-profit organizations and churches to make up the difference for many local families.

To help provide assistance with heating bills, you may donate to the Help Your Neighbor Fund at the Community Foundation of the Eastern Shore.  One-hundred percent of the funds collected are distributed to local grassroots organizations for energy, prescription or food assistance.  Another option is to seek out one of the many organizations throughout the area that provide direct assistance to families in need.  Our area is blessed with organizations that have a long track record of getting assistance to those in need in a highly efficient and effective way.  Whichever option you choose, you will be making a difference for our neighbors in need.

I can’t think of a better way to express the true spirit of Christmas.

Happy Holidays to All,

Spicer Bell 
President - Community Foundation of the Eastern Shore