If you're retired and giving to charity this holiday season, experts say there's a way to trim your 2022 tax bill while supporting your favorite cause.
Despite economic uncertainty, the majority of American adults plan to donate similar amounts this year as they did last year, a recent Edward Jones study found.
While tax breaks aren't typically the prime reason for giving, retirees may consider using qualified charitable distributions, or QCDs, which are direct gifts from an individual retirement account to an eligible charity.
If you're age 70½ or older, you may donate up to $100,000 per year, and it may count as a required minimum distribution if you transfer the money at age 72.
While the maneuver doesn't provide a charitable deduction, you may see other significant tax benefits, financial experts say.