Love the content and edits, should be getting way more views with this quality! Subscribed! I get the grind coming from a smaller channel! Would love to connect further!
Technically, yes, but I will do you one better, check out a Qualified Charitable Distribution (QCD). With a QCD, you can direct your RMDs directly to charity, and you will not be taxed on the withdrawal (just make sure your accountant knows this since they still send a normal 1099). This would essentially accomplish your goal, but save you a step.
Thank you for this explanation. So, the tax bracket doesn’t have to be lowered through donations (DAF) to receive a tax deduction? Does this apply to federal taxes as well?
Not sure if I follow your comment exactly, but, with a DAF contribution if it allows you to get over the standard deduction it would help lower your federal tax bill in that year.
Love the content and edits, should be getting way more views with this quality! Subscribed! I get the grind coming from a smaller channel! Would love to connect further!
Thank you! Appreciate that! 👊
Continued, and the RMD funds contributed into a DAF Tax deductible?
Technically, yes, but I will do you one better, check out a Qualified Charitable Distribution (QCD). With a QCD, you can direct your RMDs directly to charity, and you will not be taxed on the withdrawal (just make sure your accountant knows this since they still send a normal 1099). This would essentially accomplish your goal, but save you a step.
Can you use RMD funds to put into a DAF?
I added a note on your comment below for you. Thanks Gary!
Thank you for this explanation. So, the tax bracket doesn’t have to be lowered through donations (DAF) to receive a tax deduction? Does this apply to federal taxes as well?
Not sure if I follow your comment exactly, but, with a DAF contribution if it allows you to get over the standard deduction it would help lower your federal tax bill in that year.
@@WealthKeel The tax bracket doesn’t have to be lowered from 37% to 24% in order to receive a deduction from charitable contributions correct?
@@Felishad11 That's Correct. There is no rule that would require lowering a tax bracket(s) to use a DAF.
What we usually do is take out some amount from RMD to charitable 501c to church. How will this DAF work with QCD? Thanks!