It’s the charitable season which means you may be getting ready to donate to your favorite charity or nonprofit. Since new tax laws were implemented in 2017, you may want to reconsider how you make your donation (if you haven’t already).
A qualified charitable distribution, or a QCD, is a distribution from an IRA that goes directly to a qualifying charity and is not included in your reported taxable income for the year as the IRA owner. With a higher standard deduction, fewer taxpayers are itemizing their return, but with a QCD, you can reduce your taxable income and, ultimately, increase your tax savings.
It’s important to note that not everyone is eligible to do a QCD, and if you are, there are certain rules that apply.
To learn more about eligibility and the rules surrounding QCDs, download Navigating Qualified Charitable Contributions (QCDs) in 5 Easy Steps.
For more information on QCDs and other key areas of retirement planning, contact our office at 877-714-2362 to schedule a time for a visit.
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For more IRA Expertise, contact us!
Walter F. Pardo, Founding Partner
An Ed Slott Master Elite IRA Advisor
22 Church Street | P.O. Box 60 | Liberty Corner, NJ | 07938
Phone (877) 714-2362 | Fax 1 + (908) 325.0008