Calculating the Minimum Required Distribution

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Categories: Advisors

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Private Foundation Distribution Requirements

Private non-operating foundations are required by IRS regulations to make a minimum distribution each year for charitable purposes: roughly 5% of their assets, with certain adjustments, based on the previous year’s assets.

Click the button below to download our informative article on private foundation distribution rules that covers

  • Terms and definitions
  • How to calculate the 5 percent minimum distribution amount
  • When the 5 percent payout needs to take place
  • Penalties for not following the 5 percent payout rule

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