When the clock resets on January 1, it’s said that the slate is wiped clean — and for better or for worse, that can also apply to your finances, taxes, and more.
The transition from 2020 to 2021 has brought about one particular change of note — the return of the RMD.
As you may already know, RMDs, or required minimum distributions, are the amount qualifying IRA holders must legally withdraw from their retirement savings every year. The CARES Act, passed in March in response to the COVID-19 pandemic, suspended RMDs for 2020. But with the new year, RMDs are back in play — and if you or someone you love was born before June 30, 1949, it’s of particular importance to your finances.
But rather than thinking of RMDs as a chore, you can think of them as an opportunity — specifically, as a way to support those with hearing loss and tinnitus with HHF.
That’s because you can fulfill your RMD by creating a tax-free gift from your IRA to advance hearing and balance health for so many people. Why is this beneficial for you? Typically, funds withdrawn from your IRA count towards your annual income, increasing your overall tax burden. But if you give these funds to Hearing Health Foundation (HHF) or another favorite charitable organization instead, they are always tax-free, whether or not you itemize deductions on your tax return.
Donating from your IRA takes just a few minutes online, with no sensitive personal information required. Our online IRA donation tool will guide you through the simple process, fill out your documents for you, and even provide you with instructions on where to send them. Go to FreeWill.com/QCD/HHF to learn more and get started.
More Hearing & Balance Resources
Contact your insurance plan directly to understand your coverage and potential hearing aid benefits, and other tips to make hearing aids more affordable.