QCD after an RMD
I was told by a Slott Newsletter reader that an IRA owner who has already taken their full RMD for 2023 should NOT take additional withdrawals with via a Qualified Charitable Distribution. Is this true and which newsletter was this covered?
Thank you,
Trevor
Permalink Submitted by David Mertz on Thu, 2023-12-14 18:25
A QCD does not have to be an RMD. Making a QCD after completing the year’s RMD won’t reduce your taxable income (it won’t make the RMD nontaxable) but it will reduce your balance in traditional IRAs without increasing your taxable income. If it’s late in the year, rather than making a QCD that year it might make sense to make a QCD the following year to satisfy part of that following year’s RMD.