Did you know there are several ways to take money out of your IRA tax-free? Remember, just because you CAN, doesn’t mean you SHOULD.
The first thing you should do is consult your tax/legal/financial advisor(s) and determine if taking money out of your IRA is the right step for you!
Option 3: Charitable contributions.
If you are very charity-minded, it may be best make an additional contribution to a non-profit organization, which is usually tax-deductible, or even ask your lawyer about establishing a charitable remainder trust. These charitable contributions can sometimes be used to offset an IRA distribution. Please understand that your itemized deductions are reduced depending on your adjusted gross income, so you should definitly consult a tax advisor before moving forward with any tax reduction strategy!
Everyone’s situation is different! Make sure to consult your trusted advisors to determine what is appropriate for your situation!
Information gathered from MD Producer article for professionals