Starting now, If you don’t itemize and you make deductible charitable contributions, and you have withdrawals coming from retirement accounts……you can set up your withdrawals to go directly to the charity or charities, and you get to write off that amount off of your 2026 income. Applies to cash only, not to old cars, clothes, et.
For the real scoop, get the info from someone that knows more about taxes than me.
Actually, it’s not ‘Starting now’. It’s been in place since the Pension Protection Act of 2006. It was originally temporary (through Dec 31, 2007), but the deadline kept getting extended every year, and was finally made permanent in 2016.
They’re called QCDs (Qualified Charitable Distributions). As noted, it has to be a distribution directly to an eligible charity - without hitting the giver’s bank account. In addition, the giver is required to be at least 70 1/2 years old (the prior age for RMDs) at the time of the distribution from the IRA. Those between 70 1/2 and RMD age (currently 73) can use this technique for non-RMD distributions because the QCD age wasn’t changed when the RMD age was changed. If you have a large RMD, you may not be able to donate the entire RMD as a QCD, as there is a maximum limit for 2026 of $111k The original limit (from 2006 to 2023) was $100k. Beginning in 2024, the limit was indexed to inflation, and went up to $105k. For 2025, it was $108k.
If you use a QCD for some/all of your RMD, then that distribution does not count toward your AGI, as it’s an above the line deduction, documented on line 4 of your 1040. Any charitable contributions in excess of the indexed QCD limit are still eligible to be deducted on Schedule A, as are any charitable contributions that are not made directly from an IRA to an eligible charity, subject to the charitable giving limitations.
AJ