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If you're 70½ or older and have a traditional IRA, there's a giving strategy worth knowing about: the Qualified Charitable Distribution (QCD).
What Is a QCD?
A QCD lets you transfer funds directly from your IRA to a qualified charity — without the distribution ever counting as taxable income to you. Unlike a regular withdrawal followed by a donation, a QCD is excluded from your income altogether, not just deducted. That means you get the tax benefit even if you don't itemize deductions.
Qualifications
- You must be age 70½ or older at the time of the transfer.
- The funds must come from a traditional, rollover, inherited, SEP, or SIMPLE IRA (SEP/SIMPLE IRAs have additional restrictions if still receiving employer contributions).
- The transfer must go directly from your IRA custodian to the charity—funds that pass through your hands first don't qualify.
- The receiving organization must be a qualified public charity. QCDs generally cannot be made to donor-advised funds or private non operating foundations. The RCI-IIBEC Foundation is a confirmed 501(c)3 organization.
2026 Limits
- Up to $111,000 per individual in 2026 (this limit is indexed for inflation and rises most years).
- Married couples can give up to $222,000 combined, provided each spouse has their own IRA and makes the gift from it.
- If you've reached your required minimum distribution (RMD) age, a QCD can satisfy all or part of that year's RMD.
- The transfer must be completed by December 31 to count for that tax year.
Why It Matters
Because a QCD lowers your adjusted gross income rather than relying on an itemized deduction, it can also help reduce exposure to things like Medicare premium surcharges (IRMAA) and taxation of Social Security benefits—on top of supporting a cause you care about.
Consider a Gift to the Foundation
If a QCD fits your financial picture, we'd be honored to have you consider directing all or part of your gift to the RCI-IIBEC Foundation this year. Every gift helps us support the future of the building enclosure industry.
Questions?
Tax rules are personal to your situation, and this article isn't tax or legal advice. Please talk with your CPA or tax professional before making a QCD. For the official rules, see IRS Publication 590-B, Distributions from Individual Retirement Arrangements (IRAs).
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