Andy Ives, CFP®, AIF®
IRA Analyst
QUESTION:
I did a qualified charitable distribution (QCD) in early January of 2026 to cover a portion of my required minimum distribution (RMD), then took the rest of the RMD before I processed a Roth conversion. Am I now allowed to process another QCD if I still keep under the maximum allowed per year?
Kind regards,
Greg
ANSWER:
Greg,
Yes, you can continue to do QCDs in 2026. Even though your entire RMD has been satisfied and you even did a Roth conversion, QCDs are still available. The only limitation is the annual QCD cap ($111,000 in 2026).
QUESTION:
I have an inherited traditional IRA from my mother and I am age 70. I’m told the account must be emptied by the end of 2034 based on the 10-year rule. I am also taking annual required minimum distributions (RMDs) from that account. Is it better that I take out more than the RMD annually so I don’t have a big tax bill in 2034 when all the money must be taken out?
Thank you.
ANSWER:
The 10-year payout rule was created by Congress to accelerate the distribution of inherited IRAs, which in turn expedites the taxation of those dollars. With this shorter payout window, proper tax planning is vital. Annual RMDs within the 10-year period are not designed to deplete the account evenly over the 10 years. So, there could be a large balance remaining which could force you into a higher tax bracket in the 10th year. To avoid this potential problem, you should consider taking distributions over and above the RMD in the remaining years of the 10-year period to level out the taxes due and potentially reduce your overall tax liability.
If you have technical questions you would like to have answered, be sure to submit them to [email protected], to be answered on an upcoming Slott Report Mailbag, published every Thursday.