COVID-19 and the CARES Act
In recent weeks, President Trump signed into law the Coronavirus Aid, Relief, and Economic Security (CARES) Act. It contains many provisions of interest to charitable nonprofit entities—including your church, our denomination, Huntington University, and UB Global.
Several provisions of the CARES Act may affect you and your charitable goals, and can benefit UB Global.
- Stimulus Money.
- New Tax Incentives
- Required Minimum Distributions Suspended
The CARES Act provides up to $1200 per individual and an additional $600 per child or dependent. For many people, this stimulus brings much-needed help. But for others, their employment status has not changed, or they are retired and no longer rely on a regular salary. Such persons may choose to share this unexpected benefit with family members, their local church, or in other ways.
If those needs are met for you, we’d like you to consider providing a gift to UB Global. We don’t yet know the total impact of this crisis on UB Global. However, we expect that many of our international partners will seek assistance, missionaries will run behind in support, and the ministry of our UB Global team in Huntington will be curtailed.
Your gift to UB Global will help us stay on mission, sharing the Good News among the least reached peoples of the world.
New Tax Incentives
For those who take the standard deduction. Under the CARES Act, persons who take the standard deduction can make up to $300 of charitable contributions to qualified charities during 2020 that will be an above-the-line deduction. You might think that this is a small amount and would not make a difference. But if every UB Global donor gave “just” $300, it would have a huge impact on those we serve.
For those who itemize their deductions. Cash contributions to qualified charities (such as UB Global) can be deducted up to 100% of your adjusted gross income for the 2020.
Required Minimum Distributions Suspended
The new law temporarily suspends the Required Minimum Distribution (RMD) from retirement accounts. This probably comes as a relief to many of you who would have had to make a withdrawal from your retirement account.
Many UB Global donors use their RMD to make a gift from their IRA. Despite the RMD suspension, remember that if you are 70½ or older, you can still make a gift from your IRA or name UB Global as a beneficiary.
Why a Gift From Your IRA May Still Be a Good Idea
- Your gift will be used immediately. You’ll see it making a difference.
- You won’t pay income tax on the gift.
- The gift can reduce your income level, for tax purposes. This might lower your Medicare premiums or decrease the amount of your Social Security subject to tax.
We greatly appreciate your continued prayers and support during this difficult time. We also appreciate the government’s help in assisting families, businesses, and nonprofit organizations during the pandemic crisis.