This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and the CFP® designation. He is passionate about opening access to high-quality exam preparation resources and helping learners prepare more effectively for professional certification exams.

In this episode you will learn:

• Taxpayers must be age 70½ or older to make a Qualified Charitable Distribution (QCD).

• A QCD allows a direct, tax-free transfer of up to $105,000 (indexed annually) from an IRA to an eligible charity.

• The amount of the QCD can satisfy all or part of a taxpayer's Required Minimum Distribution (RMD) for the year.

• A key exam trap is understanding that funds must go directly from the IRA to the charity; if the taxpayer receives them first, the distribution is taxable.

• A QCD is excluded from the taxpayer's Adjusted Gross Income (AGI) and cannot also be claimed as an itemized charitable deduction.

For more free exam prep tools, practice questions, and AI-powered explanations, visit https://open-exam-prep.com/ or Youtube Channel: https://www.youtube.com/@Open-exam-prep