IRA Charitable Distribution(Qualified Charitable Distribution)
An IRA Charitable Distribution, also known as a Qualified Charitable Distribution (QCD), is a powerful and tax‑efficient way to support Silver Cross Hospital through a gift to the Silver Cross Foundation.
If you are planning your required minimum distributions (RMDs), consider using your IRA to maximize the impact of your charitable giving. A QCD allows you to give directly from your IRA to charity without counting the distribution as taxable income. This benefit applies even if you take the standard deduction. By reducing your adjusted gross income (AGI), a QCD may also help:
- Lower Medicare premium surcharges
- Reduce the portion of Social Security benefits subject to tax
Because every individual’s tax situation is unique, we strongly encourage you to consult with your financial or tax advisor before making a QCD.
To Qualify
To make a Qualified Charitable Distribution:
- You must be age 70½ or older at the time of the gift.
(This is six months after your 70th birthday.)
- The transfer must be made directly from your traditional IRA to the Silver Cross Foundation by your IRA administrator.
- Gifts must be outright.
Distributions to donor‑advised funds, private foundations, or life‑income arrangements such as charitable remainder trusts or charitable gift annuities do not qualify.
- Employer‑sponsored retirement plans do not qualify, including 401(k), 403(b), SEP, or SIMPLE plans.
If appropriate, you may first roll those assets into a traditional IRA and then make a QCD from the IRA.
Frequently Asked Questions
What is the IRS rule?
A Qualified Charitable Distribution allows individuals age 70½ or older to make direct distributions from an IRA to eligible 501(c)(3) charities without including the amount in taxable income.
For individuals subject to RMDs, a QCD counts toward your required minimum distribution for the year.
In 2026, the annual QCD limit is $111,000 per individual, indexed for inflation under the SECURE 2.0 Act.
How much can I distribute?
You may distribute up to $111,000 per year as a QCD in 2026. The full amount must be distributed directly and outright to qualified charities.
From what accounts can I make transfers?
QCDs must be made directly from your individual retirement account (IRA) to the Silver Cross Foundation. If you wish to give from another retirement asset—such as a 401(k) or 403(b)—you must first roll the funds into a traditional IRA, then instruct your IRA administrator to make the QCD directly to the Foundation.
Can my spouse also make a QCD to Silver Cross?
Yes. Each individual IRA owner who meets the age requirement may make a QCD of up to $111,000 per year. If both spouses have their own IRAs, a married couple may give up to $222,000 total in 2026.
I support more than one charity. Can I give $111,000 to each?
No. The $111,000 limit applies per individual, per year, regardless of the number of charities you support. For example, you may give $55,500 to two charities, or any combination totaling $111,000 or less. Any amount above the limit must be reported as taxable income.
When do I need to make my gift?
To qualify for the current tax year, your gift must be received by December 31.
Checks should be made payable to Silver Cross Foundation and mailed to:
Silver Cross Foundation
1900 Silver Cross Blvd.
New Lenox, IL 60451
How will Silver Cross Foundation acknowledge my gift?
You will receive full recognition for the entire gift amount and a written acknowledgement confirming that your gift qualifies as a Qualified Charitable Distribution. This letter may be retained for your tax records.
How do I execute a QCD?
We offer a sample instruction letter for your IRA administrator to initiate the distribution. Be sure to note that the transfer must be sent prior to December 31.
Please notify us when you request the transfer so we can monitor receipt of the check.
Important Reminder
IRA administrators do not always include donor names on distribution checks. If you plan to make a Qualified Charitable Distribution to the Silver Cross Foundation, please let us know in advance so we can properly identify and acknowledge your gift.
Also feel free to tell us if you would like your donation designated for a specific purpose.
Contact Information
For additional information or personalized assistance, please contact:
Tracy Simons
Executive Director, Silver Cross Foundation
(815) 300‑7113
tsimons@silvercross.org
