The IRA Qualified Charitable Distribution (IRA QCD) allows individuals who are 70-½ years or older to direct distributions from their IRA account to qualified domestic charities each tax year up to an annual maximum. The SECURE 2.0 Act provided that the QCD limit be adjusted annually for inflation. For calendar year 2026, the QCD maximum is $111,000. (Note that for calendar year 2025, the QCD maximum is i $108,000.)
IRA QCD donors can avoid taking their Required Minimum Distribution (RMD), or lessen the income they must recognize from their RMD, by directing QCD gifts from their IRA plans to Bowdoin. Because QCD gifts go directly from the IRA to the donor’s designated charity, the donor does not recognize the QCD amount as income to them from their tax-deferred IRA and they are not eligible to take a charitable tax deduction for the gift. See our IRA QCD Fact Sheet for more information.
Note that an IRA Owner who is at least 70-1/2 years old can make a one-time election to establish a life income gift using a QCD up to the IRS-appoved maxmium in existence at the time of funding. The approved maximum for calendar year 2026 is $55,000 ($54,000 for calendar year 2025). Please read our IRA QCD Fact Sheet for more detailed information about establishing life income gifts (e.g., charitable gift annuities or charitable remainder unitrusts) using a QCD to understand the requirements of he law and regulations.
Contact the Office of Gift Planning at giftplanning@bowdoin.edu or call (207) 725-3172 for more information.
