Retired in America

Your Guide to a Confident Retirement

  • Home
  • Personal finance
  • Retirement Life
  • Saving & Spending

Qualified Charitable Distributions Can Lower Your Taxes! Find Out How

January 4, 2021 · Saving & Spending

Can couples maximize their QCDs?

Yes. QCDs cannot exceed $100,000 per person, per year. However, a married couple can make a donation as high as $200,000, if each spouse has an IRA and sticks to the $100,000 limit.

Read also 26 States That Do Not Tax Your Social Security Benefits.

What taxes do you have to pay for QCDs?

Compared to the distributions from your traditional IRA, donations made to qualified charities are not subject to any state or federal withholding taxes. You simply file your IRS Form 1099-R and report the distributions made to qualified charities as normal distributions. Keep in mind that charitable donations made from an inherited IRA or an inherited Roth IRA should be reported as death distributions.

The good thing about QCDs is that you no longer have to itemize your deductions. This means you can benefit from the higher standard tax deduction brought by the Tax Cuts and Jobs Act (TCJA) in 2017 and still make charitable donations to those in need. Before you do your victory dance, just know that although the IRS will not tax your QCD, it will not allow you to claim the distribution as a charitable tax deduction.

See also Will Taxing the Rich Save Social Security? Experts Weigh in.

Pages: 1 2 3 4 5 6

Share this article

Facebook Twitter Pinterest LinkedIn Email

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Search

Latest Posts

  • A senior woman looking thoughtfully at her phone in a bright, modern home office. 6 Social Security Scams You Need to Pay Attention to
  • A happy retired couple enjoying the sunset on a beautiful porch. 8 States to Retire For Less Than 45K a Year
  • A retired couple looking at a map on a sunny balcony overlooking a beautiful coastal town. 10 Countries to Retire Where $150K Is More Than Enough
  • A happy retiree working on a laptop on a sunny patio, symbolizing flexible part-time work. 20 Great Part-Time Jobs For Retirees
  • A senior couple smiling while looking at a tablet in a bright, modern kitchen. 5 Crucial Medicare Changes Coming Soon
  • A senior couple happily unpacking groceries in a bright, modern kitchen. 9 Ways to Shop at Costco Without a Membership
  • A happy retired couple stands on the porch of a beautiful, sunny home, symbolizing an affordable and joyful retirement. 10 Best Places to Retire That Won't Break the Bank
  • An older man confidently using a laptop in a sunlit home office, symbolizing digital security. 7 Common Passwords To Avoid
  • A retired couple looking out a window in their bright, downsized modern home. 11 Mistakes to Avoid When Downsizing Your Home
  • A retired couple smiling on a balcony overlooking a scenic coastal village at sunset. 12 Best Countries to Live Perfectly Well on Social Security

Newsletter

Get retirement planning tips, savings strategies, and lifestyle insights delivered to your inbox.

Related Articles

10 Things to Know Before Spending Big

How will buying it impact my cash flow or reserves? Let’s say you do have…

Read More →

18 Things Seniors Should Consider Before Downsizing

Temporary Housing You might not be able to move in immediately and while at times…

Read More →
A happy senior couple enjoying a bright, modern kitchen together.

15 Things That Make Seniors’ Lives Easier

Discover 15 practical tools, home modifications, and services designed to simplify daily routines, enhance safety,…

Read More →
Happy seniors at shopping

16 Surprising Places With Great Discounts for Seniors

Discover 16 surprising places offering great senior discounts on groceries, travel, retail, and dining, plus…

Read More →

10 Tax Falsehoods Many Retirees Still Believe

Is the income you receive from an annuity you own taxable? When you purchase an…

Read More →

30 Electronics That Are Hiking up Your Electric Bill for No Reason

Leaving this glowing wall sconce on all night is a simple mistake that hikes up…

Read More →

10 Ways to Invest in Your Retirement Without Saving Money

Let’s great it down! Your future goal could be to buy a smaller house during…

Read More →

7 Facts About How Corona Virus Really Affects Your Retirement Savings

Savings Accounts Will Pay Lower Interest Rates Due to the Federal Reserve’s interest rate cut,…

Read More →

Caught up on Your Retirement Savings? Here Are 10 Easy Steps!

Find Room in Your Budget To Save More Time to face the facts, your guilty…

Read More →
Retired in America

Your Guide to a Confident Retirement

Inedit Agency S.R.L.
Bucharest, Romania

contact@retiredinamerica.com

Trust & Legal

About Us

Editorial Policy

Advertiser Disclosure

Frequently Asked Questions

Contact Us

Disclaimer

Terms and Conditions

Privacy Policy

Subscribe

Unsubscribe

Categories

  • Personal finance
  • Retirement Life
  • Saving & Spending

© 2026 Retired in America. All rights reserved.