A Qualified Charitable Distribution (“QCD”) is a useful tool if you’ve reached the age of 70 ½ and want to give to a designated, field-of-interest, or unrestricted fund at Greater Poweshiek Community Foundation (GPCF). In 2026, you can direct up to $111,000 (as an individual) from your IRA to many types of funds at GPCF. This is a somewhat complex gift that you should discuss with your tax advisors. At a high-level, here are a few considerations for QCD gifts in 2026:
- You should ensure that you have taken your Required Minimum Distribution (RMD) for 2026 if you are required to do so. Failing to take your RMD can result in significant penalties.
- While you can’t retroactively make a QCD for the previous year, there is still time in 2026. These transactions can take time so it’s important to avoid the year-end rush.
- Thinking about 2027? Make your QCDs early in the year because the first dollars withdrawn from an IRA will count toward your RMD.
The Greater Poweshiek Community Foundation team is always happy to work with you and your advisors to help carry out your charitable giving goals, whether you’re exploring a QCD or any of the many ways you can support the causes you love. We are honored to serve as a resource and sounding board as you build your charitable plans and pursue your philanthropic objectives for making a difference in the community.
This newsletter is provided for informational purposes only. It is not intended as legal, accounting, or financial planning advice. Please consult your tax or legal advisor to learn how this information might apply to your own situation
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