Gifts from Retirement Funds

Qualified Charitable Distributions (QCDs) from IRAs

Eligibility: QCDs allow individuals age 70½ or older to make direct tax-free donations from traditional IRAs to qualified charities. The distribution is excluded from taxable income and can satisfy all or part of the annual required minimum distribution (RMD) from the IRA. Roth IRAs are generally not used for QCDs because withdrawals are already tax-free.
Limits: For 2026, the maximum QCD amount is $111,000 per individual, with up to $55,000 allowed for one-time donations to charitable remainder trusts or charitable gift annuities. Married couples can each contribute up to their individual limits.
Restrictions: QCDs must come from traditional IRAs, including inherited IRAs, SIMPLE IRAs, and SEP IRAs (if inactive). Contributions from workplace retirement plans like 401(k)s are not eligible. Charities must be eligible to receive tax-deductible distributions.
Tax Benefits: While QCDs do not provide a separate tax deduction, the amount is excluded from taxable income, which can be more advantageous than a standard charitable deduction, especially for taxpayers who take the standard deduction or are subject to AGI-based limits.

Above quoted from Charles Schwab

Please contact Families Flourish’s Director of Development & Communications, Shiloh Todorov for assistance or to confirm that a distribution is planned. We will gratefully work with you and confirm receipt of the funds. A reminder: Please consult your financial professional or tax advisor when considering the amount and timing of your charitable gifts. With appreciation to Lynne Ayres