Using Your Retirement Savings To Make A Difference

Using Your Retirement Savings To Make A Difference

If you have charities you would like to support, pretax money saved in an IRA can be an ideal charitable donation. Rather than passing these assets to a beneficiary — who will likely pay taxes when the inherited IRA is distributed — you can give them to charity by taking a qualified charitable distribution (QCD). A QCD will count toward satisfying your required minimum distribution, and neither you nor the charity will have to pay income taxes.