Qualified Charitable Distribution

If you are 70½ or older, you can make charitable distributions directly from your IRA to VBC and may avoid significant taxes. A Qualified Charitable Distribution (QCD) is often the single most tax-efficient way to give. If you are 73 or older, this gift counts toward your Required Minimum Distribution (RMD), satisfying the law without increasing your taxable income.

Why a QCD is Better Than a Standard Donation

Normally, you take an RMD, pay taxes on it, and then donate the cash. A QCD skips the middleman:

• Tax-Free Transfer: The money goes directly from your IRA custodian to the charity. It never touches your bank account, so it is never taxed.
• Lower AGI: Because the distribution isn't counted as income, your Adjusted Gross Income (AGI) stays lower. This can prevent "bracket creep" and help you avoid higher Medicare premiums (IRMAA) or taxes on Social Security.

The "Standard Deduction" Win: You get the tax benefit of the gift even if you don't itemize. You take the full standard deduction plus the tax-free benefit of the QCD.