The end of 2023 is mere weeks away and, along with your holiday plans, remember to give a gift to others. You may support medical research, those who are less fortunate, or a home for animals. Whatever your passion, do not forget that you can:
- Support a qualified charity and, at the same time,
- Fulfill your Required Minimum Distribution from your Traditional IRA
How? The answer is a Qualified Charitable Distribution, sometimes called a Charitable Rollover. Just follow these rules:
- You must be 70 ½ or older
- You must make a DIRECT payment from you IRA to a qualified charity (see your account custodian for instructions)
- The gift may not exceed $100,000 in 2023 but that maximum will be increased for inflation starting in 2024
- The gift is NOT included in taxable income
- The gift is NOT a deductible charitable contribution
- The gift counts toward your Required Minimum Distribution
Most financial institutions set a deadline for such a charitable request well before the end of the year, so this is time critical! Do this today!!
