Blog

I grew up in a small town outside of Flint, Michigan called Swartz Creek. Many of the people in our community worked for one of the “Big Three” automakers, including my uncle, all three of my best friends’ dads, and many of my extended family. These companies were a classic example of a typical 20th-century employer. Right out of high school you could get a good job and make a very good living. It was certainly not easy work, but if you stuck with it for 30 years you would be well taken care of with an opportunity for early retirement, a good pension, and excellent health care benefits. Today, things are very different.

Before claiming social security there are some things you should know. When do you meet your full retirement age because that impacts how much you collect. Take a look at your longevity, your Cost of Living Adjustments (COLA) and your spousal benefits. Lastly, keep in mind that there may be taxes and penalties that come with claiming too soon. We realize that this is a complex subject and encourage you to work with a financial planner, CFP® or ChFC® who is proficient in retirement planning.

In my opinion, QCDs are one of the most underutilized tax strategies around today. This is especially true with the new tax law. Those who qualify and are already giving to charity often get significant tax savings with little-to-no downside by utilizing them. In this article, I will go through some basics of QCDs and three ways they can save a taxpayer's money.