The Gift That Gives Twice
As the year winds down, many families begin thinking about how they can give back—whether it’s supporting a favorite charity, helping a local shelter, or funding a scholarship. It’s a season of generosity, reflection, and planning.
But giving doesn’t have to be spontaneous or last-minute. With the right strategy, charitable contributions can also be a smart financial move. Tools like Donor-Advised Funds (DAFs) allow you to make a meaningful impact while also receiving a tax deduction, investing for future giving, and creating a legacy that lasts beyond the holidays.
Whether your goal is to support causes close to your heart or reduce your taxable income before year-end, thoughtful giving can be both generous and strategic.
Donor-Advised Funds – A Strategic Way to Give
Donor-Advised Funds (DAFs) continue to grow in popularity, with over $250 billion in assets nationwide. These charitable giving accounts allow individuals and families to make a tax-deductible donation now, then recommend grants to charities over time. DAFs offer flexibility, privacy, and potential tax advantages, making them a powerful tool for philanthropic planning.
Key Benefits of DAFs:
- Immediate tax deduction upon contribution
- Tax-free growth of donated assets
- Flexibility in timing and choice of charitable grants
Legacy planning opportunities for multi-generational giving
DAFs are not just for the ultra-wealthy— typically, the minimum grant is just $50, and most DAF gifts are under $1,000. Whether you’re looking to support causes close to your heart or streamline your charitable giving, a DAF might be worth exploring.
Required Minimum Distributions (RMDs)
An RMD is the minimum amount the IRS requires you to withdraw each year from certain retirement accounts—like traditional IRAs and 401(k)s—once you reach a specific age. These withdrawals are taxed as ordinary income and are designed to ensure that retirement savings eventually get taxed.
Key RMD Rules for 2025:
- Start age: 73
- First RMD deadline: April 1, 2026
- Subsequent RMDs: Due by December 31 each year
Penalty for missing RMD: 25% (reduced to 10% if corrected promptly)
We can help calculate your RMD and explore strategies to minimize the tax impact.
You’ll start hearing from your True Vision team soon about taking out your annual RMDs. We’ll guide you through the process and make sure everything is handled smoothly.
Inherited IRA RMDs
If you’ve inherited an IRA, RMD rules apply regardless of your age. In many cases, you’ll need to deplete the account within 10 years of the original owner’s death—and you’ll likely need to take annual withdrawals along the way.
If you’re unsure what applies to your situation, we’re here to help clarify the rules and keep you on track.If you’ve inherited an IRA, RMD rules apply regardless of your age. In many cases, you’ll need to deplete the account within 10 years of the original owner’s death—and you’ll likely need to take annual withdrawals along the way.
If you’re unsure what applies to your situation, we’re here to help clarify the rules and keep you on track.
What’s New at True Vision
True Vision welcomed Max Murphy, our newest Client Services Associate, in August 2025!
Hello, I’m Max Murphy, and my passion for finance was inspired by my father, Pat Murphy, an advisor at True Vision. I recently graduated from the University of Minnesota, Duluth, with a degree in cultural entrepreneurship and a business administration certification. My education and nonprofit experience shaped my commitment to using business for social and environmental good. I’m excited to bring that purpose-driven mindset to the financial planning industry.
Just a few weeks ago, markets were hitting all-time highs. That optimism hasn’t vanished—it’s simply taking a breather. Keep your eyes on the horizon. Your financial future is built on thoughtful planning, resilience, and belief in progress. Stay invested, stay disciplined, and trust in the journey ahead.
