QCDs: A Heartfelt Way to Give While Managing Taxes
If you’re over 70½ and passionate about supporting charities, there’s a beautiful strategy that benefits everyone involved.
A Qualified Charitable Distribution—or QCD—lets you transfer funds directly from your traditional IRA to a qualified charity. It’s tax-free for you, satisfies your RMD, and every dollar goes straight to the cause you cherish.
For 2025, the annual limit is $108,000 per person. It’s a true win-win that honors your generosity while keeping more in your plan.
You’re Not Alone in Wanting to Give Wisely
Many of our clients feel the pull to give back but worry about the tax impact. We listen to those heartfelt goals and help weave them seamlessly into your bigger picture.
Why QCDs Feel So Right
At Interlock Financial, we’re here to guide you with care and clarity. A QCD can:
- Keep the distribution off your taxable income
- Help lower Medicare premiums and reduce AGI
- Ease taxation on Social Security
- Let you support the causes that matter most—without compromise
Timing is gentle but important: QCDs for 2025 need to be completed by December 31.
Your Simple Next Steps If giving generously while staying tax-smart resonates with you:
- Explore our resources to learn more about QCDs in everyday language
- Schedule a warm conversation—we’ll listen to your story and see how this fits
You don’t have to choose between generosity and smart planning. With thoughtful guidance and a family-like partner, you can give from the heart and keep your future secure.