Turning 70½ brings with it new retirement planning opportunities, especially when it comes to required minimum distributions (RMDs). For many retirees, these withdrawals can significantly increase taxable income, pushing them into higher brackets or raising Medicare costs. Fortunately, qualified charitable distributions at 70½ provide a smart way to give to causes you care about while lowering your tax burden. By directing money straight from your IRA to a charity, you reduce taxable income and make your giving more efficient. Here are five powerful ways to use this strategy to minimize your RMD tax bill.
