I sometimes run into clients who have to take large distributions from their traditional IRAs and it bumps them into higher tax brackets even though they don't really need the money to live on. Here is one solution to avoid some of that taxation and do some good for the world.

IRA owners age 70½ or older have an option to transfer up to $100,000 to a qualified charitable organization (QCD) each year. For taxpayers born after June 30, 1949, the SECURE Act raised the required beginning date (RBD) for required minimum distributions to age 72. However, eligibility to make a qualified charitable distribution (QCD) remains at age 70½, regardless of the taxpayer’s required beginning date.

Many people work for a family member, whether it's a child helping out at their parent's shop or spouses running a business together. When someone is employed by a family member, the tax implications depend on the relationship and the type of business. It's important for taxpayers and employers to understand their tax situation.