Hi -,
A few months ago, I was speaking with a charity: water supporter who had just turned 73. She told me something I hear often from retirees.
"I don't actually need the money from my IRA," she said. "But the government says I have to take it out anyway."
She had spent years saving for the future. Now, even though she didn’t need the extra income, the IRS required her to withdraw a portion of her IRA each year. She was talking about something called a required minimum distribution, or RMD.
But what many people don't realize is that you have another option. Instead of taking the distribution personally, you can direct up to $111,000 each year from your IRA to a nonprofit like charity: water through a qualified charitable distribution (QCD).
The gift counts toward your RMD – and isn't included in your taxable income.
I've seen more and more charity: water supporters use this approach to turn a required withdrawal into life-changing generosity – bringing clean water to communities around the world.
And they’re not alone. QCDs are one of the fastest-growing ways older Americans give, with this type of giving increasing by nearly 50% last year.
If you're over 70½ and don't need the extra income, a QCD can be a simple way to put your retirement savings to work for families still waiting for clean water. If you'd ever like to explore whether an IRA gift makes sense for you, our team would love to connect and share how it works. To learn more, simply reply to this email.
With gratitude,
Kees (Case)
Associate Director of Key Relationships,
Legacy & Asset Giving
