Doing Well by Doing Good

You can donate cash, securities, or other assets to the charity and get a charitable tax deduction up front. Shutterstock

By Sandra Block From Kiplinger’s Personal Finance

Retirees who want to donate to charity and get a valuable tax benefit have a few options. Consider:

Qualified Charitable Distributions (QCD)

QCDs provide a way to help charities while you’re still alive and lowering taxes on required minimum distributions from your IRA. A QCD is a direct transfer from your IRA to qualified charities. You can make a QCD as early as age 70½, but when you reach the age at which you must start required minimum distributions (RMDs)—currently 73—the charitable distribution will count toward the RMD.