It certainly is starting to feel like spring.  And, that means we are getting closer to the deadline for our income taxes.  Most of us are finding out how hard it has become to itemize our expenses because of the new tax bill and a large increase in the standard deduction.  As a result, unless we make large contributions to our favorite charities, we will be using the standard deduction.

During one of one of my client meetings last week, it was brought to my attention something I was not aware of and it’s called the qualified charitable distribution.  At 70 ½, the IRS requires us to take what is called the Required Minimum Distribution from our IRAs, which of course, is taxable income to us.  By using the Qualified Charitable Distribution, you can send your RMD directly to your charity.  You must get all the way to the end of the attached article before this tax strategy is mentioned.  I also have an article I will be glad to send you.  And, as always, I’m not an accountant so please check with your tax preparer or CPA.  This strategy may not help us for the 2018 tax year but could be very beneficial for this year going forward.

The 1st quarter of 2019 is over and, it was a great quarter for equity investing.  The S&P 500 was a +13.1%, the DOW +11% and the NASDAQ +16%.  Not sure how long this is going to hold up or what’s going to happen going forward, but in the meantime, much of the 4qtr2018s declines have been recovered.  In the meantime, enjoy the weather and nature’s gorgeous display.

Hope you have a super week.

Doug Alden

Recent Posts

Start typing and press Enter to search

wealth management