QCD 2027 Qualified Charitable Distribution Calculator
Estimate the 2027 QCD tax savings — direct IRA-to-charity transfers that satisfy your RMD without raising AGI.
What Is a 2027 QCD?
A Qualified Charitable Distribution lets IRA owners age 70½+ transfer up to $108,000 (2027 inflation-projected) directly from their IRA to a qualifying public charity. The QCD: (1) satisfies your Required Minimum Distribution dollar-for-dollar, (2) is EXCLUDED from gross income (never appears on your 1040), (3) doesn't require itemizing to benefit. Source: IRC §408(d)(8), SECURE 2.0 §307 (indexing). Last updated: May 2026.
Why QCD Beats a Regular Charitable Deduction
If you take the RMD as income and then donate the same amount, that income still hits your AGI — pushing up Medicare IRMAA brackets, taxability of Social Security, and other AGI-based costs. QCD bypasses ALL of these. You save federal + state tax PLUS avoid the cascading AGI effects of higher RMD income.
Mechanics: Trustee-to-Charity Transfer
Your IRA custodian must transfer funds DIRECTLY to the qualifying charity — checks payable to the charity (even if mailed to you) qualify. Funds touching your personal account FIRST disqualify the QCD. Most major brokers (Fidelity, Schwab, Vanguard) offer QCD-specific check or wire request forms.
SECURE 2.0 Split-Interest QCD
Under SECURE 2.0, you can now make a ONE-TIME QCD of up to $54,000 (2027 est.) to a Charitable Gift Annuity, Charitable Remainder Unitrust, or Charitable Remainder Annuity Trust. This split-interest QCD provides lifetime income to you AND a charitable remainder, all from the IRA without creating gross income.
Frequently Asked Questions
What's the 2027 QCD limit?
Projected at $108,000 per person for 2027 (the 2024 limit was $105,000, inflation-indexed annually under SECURE 2.0). For married couples each with their own IRA, both spouses can make separate QCDs \u2014 combined $216,000 maximum. Final IRS figure publishes October 2026.
What age do I need to be for a QCD in 2027?
70\u00bd or older on the date of the distribution. Note: this is the QCD age, NOT the RMD age. SECURE 2.0 pushed RMD age to 73 (and eventually 75 by 2033), but the QCD eligibility age remains at 70\u00bd. So you can do QCDs for 2-3 years BEFORE RMDs even begin.
Does a QCD satisfy my RMD?
Yes \u2014 dollar for dollar, up to the QCD amount. If your 2027 RMD is $40,000 and you make a $40,000 QCD, your RMD is fully satisfied with $0 of taxable income. If your RMD is $40,000 and you QCD only $25,000, you still owe income tax on the remaining $15,000.
Which charities qualify for QCDs?
501(c)(3) public charities only. NOT qualifying: Donor-Advised Funds, private foundations, supporting organizations, or split-interest trusts (with the SECURE 2.0 one-time exception for CGAs/CRUTs/CRATs up to ~$54K). This excludes DAFs from QCD \u2014 a major restriction.
Can I do a QCD from my 401(k)?
No. QCDs work only from IRAs (Traditional, Rollover, Inherited, SEP IRA if not active, SIMPLE IRA if not active). To use 401(k) funds, first do a rollover to a Traditional IRA, then make the QCD. Time the rollover at least one month before the QCD to avoid issues.
Does QCD reduce my Medicare IRMAA bracket?
Often yes. RMDs taken as income inflate MAGI, which determines IRMAA Part B/D surcharges (2-year lookback). A $40K QCD instead of a $40K RMD distribution can keep you in a lower IRMAA bracket \u2014 saving $2,000-$4,000+/year in Medicare premiums on top of the income tax savings.