RFG University Can You Make a QCD From An Inherited IRA? Exploring the potential of your inherited IRA can lead to surprising opportunities, especially when it comes to charitable giving. One such opportunity is the Qualified Charitable Distribution (QCD), a tax-savvy way to support causes you care about while fulfilling your obligations as an IRA owner. In this article, we’ll dive into the necessary steps of making a QCD from an inherited IRA, helping you understand the benefits, rules, and strategies that can make this a powerful tool in your financial planning. Whether you’re familiar with the concept or just beginning to explore it, this guide will provide the clarity you need to make informed decisions. What is a Qualified Charitable Distribution (QCD)? A qualified charitable distribution QCD lets you donate directly from your IRA account to a qualified charity, keeping those funds out of your taxable income. This approach can help prevent you from moving into a higher tax bracket, which often happens with typical IRA withdrawals. To take advantage of a QCD, you need to be aged 70½ or older. You’re allowed to give a set amount per tax year through this method, and you’re free to split that amount among multiple charities if you wish. The key requirement is that the donation goes directly to the charity— handling the funds yourself disqualifies the distribution as a QCD. more.... What is a Qualified Charitable Distribution (QCD)?