If you are charitably inclined and you qualify under the IRS rules, you might be able to implement a technique using your IRA. If you are at least 70½ years old with a traditional IRA, you can direct your IRA custodian to donate up to $111,000 by December 31, 2026, in the form of a check directly from your IRA account to a qualified charity. This direct transfer, called a Qualified Charitable Distribution (QCD), avoids having to recognize the transferred assets in your gross income on your tax return.
Generally, when you take an IRA distribution and make an equivalent gift to charity, the distribution is taxable income to you, and you receive a charitable deduction for the gift. The charitable deduction you receive may not totally offset the taxes you must pay for receiving the IRA distribution. Direct IRA QCDs to charities are not tax deductible as donations, but correspondingly, they are not treated as income received by you, so they do not trigger higher income taxes and other negative consequences (e.g., reduced social security benefits).
By integrating charitable giving into an estate plan, it helps families or individuals affected by autism reduce estate tax burdens, optimize income tax deductions, and support advocacy for neurodiversity. Charitable giving strategies can be balanced alongside a Third-Party Special Needs Trust (SNT) to ensure that family wealth supports their loved one safely without exceeding asset limits.
To use the IRA QCD, you must be at least 70½ years of age and you must direct your IRA custodian to make the contribution directly to the charity, which includes directing the IRA custodian to send you a check made payable to the charity, which you would send to the charity prior to year-end. The charity must be a “qualified” charity. Most public charities are qualified charities, and certain contributions to private foundations and other charities will also be treated as qualified. The IRA QCD can be used to satisfy a portion or all of your required minimum distribution.
Note, also, that naming a charity as the designated beneficiary of your IRA or retirement plan at your death is a tax-efficient way to carry out your charitable wishes. While individual beneficiaries must pay income taxes on distributions they receive (other than distributions from Roth IRAs), such distributions to charity will be income tax-free, allowing more of your estate to go to charity.
Patricia C. Marcin, Esq., is a Partner at Rivkin Radler. © 2026 Rivkin Radler. All rights reserved.
For more information, contact Nicole Russo at Brightway by email at [email protected] or by phone at (631) 366-2995.
