For High Net Worth Retirees: Send Your RMDs to Charity

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You have enough income from other sources still coming in, and this burdensome requirement does little but elevate your tax bill.

For High Net Worth Retirees: Send Your RMDs to Charity

Many high net worth retirees who are over 70.5 years old (prior to 2020) don’t need their Required Minimum Distributions from their retirement accounts. You have enough income from other sources still coming in, and this burdensome requirement does little but elevate your tax bill.

You can avoid this using a Qualified Charitable Distribution (QCD).

A QCD is a direct transfer of funds from your IRA custodian (such as Fidelity, Vanguard) to a qualified charity. This transfer counts as your RMD, up to $100,000, and thus keeps it from counting as taxable income.