Qualified Charitable Distribution: A Look at Charitable Giving for Those 70 ½ or Older with an IRA
Beginning in 2016, there is a new option for IRA owners or beneficiaries that are 70 ½ years or older, which requires them to take a Required Minimum Distribution (RMD) from their IRA. The new change – a Qualified Charitable Distribution (QCD) – permits IRA owners and beneficiaries to make charitable distribution to their favorite charities and not have to pay income tax on the RMD income on their federal income tax return. This also causes the amount not to be deducted as a charitable contribution on Schedule A – Itemized Deductions, and IRA owners may distribute up to $100,000 tax-free from their IRAs each year. Join Thomas Milinovich, C.P.A., C.F.P., to learn about these changes and how they affect your financial planning.
– Thomas G. Milinovich, C.P.A., C.F.P.
Thomas G. Milinovich, C.P.A., C.F.P., serves as President and Financial Services Director of Milinovich & Co., Inc., a Registered Investment Advisor firm located in Waynesburg, Pennsylvania, where his duties include tax, financial planning, and investment management services. Mr. Milinovich graduated from Duquesne University with a Bachelor’s of Science Degree in accounting. He has been a Certified Financial Planner® since 1992, and his accounting firm became a Registered Investment Advisor in January 1998. He is a member of the Pennsylvania Institute of Certified Public Accountants, American Institute of Certified Public Accountants, and the Institute of Certified Financial Planners. He has served as a member of the PICPA’s Personal Financial Planning Committee. In the past he has served as an instructor for both the AICPA and PICPA on various tax and financial planning topics. He has also written tax and financial planning articles for the Pennsylvania CPA Journal.
