Summit Trust Company Charitable IRA

	By offering an IRA investment vehicle such as private stock, notes, bonds, partnerships, real estate, etc.
	By accepting contributions funded by IRA distributions;
	By having IRA account holders name the charity as their full or partial death beneficiary.

How is it done?

	The charity organization sponsors/promotes a self-directed IRA with Summit Trust Company as custodian.
	IRA account holders are free to invest their IRA funds in any IRA permitted asset including those investment vehicles made available by the charity.

What are the options available to the charity and the IRA account holder?

	The charity establishes an IRA investment vehicle, to help fund a charity goal (for example, building schools or establishing new ministries). The investment vehicle may be in any of a number of different forms, such as a bond or loan which pays a fixed interest rate, or an equity interest in a limited liability company, a limited partnership, or corporate entity. The charity will set the investment terms and conditions for investment, such as the duration of the investment and the minimum investment amount. IRA assets would then be invested in the investment vehicle at the direction of the IRA account holders.
	All or part of an existing IRA's investments could be transferred "TAX-FREE" to Summit Trust Company to enable the IRA account holder to pursue one or more of the following options:
	- Direct Summit Trust Company to invest their IRA with assets made available by the charity;
	- Retain annual dividend/interest in the IRA account;
	- Arrange for minimum distributions from the IRA to fund tax deductible contributions to the organization. (Summit Trust Company will supply the individual with a Form 1099R for the distribution and an annual statement for the total contributions to the charity); and/or
	- Designate the charity as a death beneficiary of the IRA.

Please note: IRA account holders may choose to participate in as many options that they so desire.

What if the IRA is currently maintained with a custodian other than Summit Trust Company?

	All or part of the existing IRA would be transferred tax-free to Summit Trust Company to enable the IRA account holder to pursue one or more of the above options.
	The member can make an annual investment in their charity's investment vehicle, by transferring earnings from other IRA investments (tax free).

Can charity members establish a new IRA with Summit Trust Company?

	The member (or any other individual) can establish a new Traditional, Rollover or Roth IRA account with Summit Trust Company. Click here to learn more.
	The member (or any other individual) can make an annual contribution of up to $4,000 ($8,000 for a husband and wife filing jointly), a portion or all of which may be tax deductible, depending on the type of IRA and other factors.
	Also, Individuals who have reached age 50 or older before the end of the year are allowed to make catch-up contributions of $1,000 in addition to their regular annual IRA contribution, as long there has been enough earned income to support the catch-up amount.

Additional benefits:

IRA account holders have the ability to make charitable contributions through their IRAs. In helping the charity of their choice by making income-producing investment, they can access assets not previously considered usable for this purpose and which are more readily available than disposable income.

The IRA account holder may pay custodial fees outside of their IRA and may be able to claim a tax deduction for the fee.

Summit Trust Company provides the charity organization with a statement and with one check or direct debit to a checking account for all members who are making monthly contributions.

Summit Trust Company and the charity have no other relationship. (For example, they cannot compensate each other.)