IRA Charitable Rollover/QCDs
Give from your retirement account, lower your tax burden, and fuel ministry that matters.
An IRA charitable rollover — also called a qualified charitable distribution, or QCD — is a direct transfer from your traditional IRA to a qualified charity like Cru. At age 70½ or older, you can give pre-tax funds out of your IRA, support the Cru ministries and missionaries you care about, and avoid triggering federal income tax on the distribution.
You can transfer up to $108,000 directly from your IRA to qualified charities each year without it counting as taxable income. A married couple with separate IRAs can each transfer up to $108,000. Beginning at age 73, an IRA charitable rollover may also count toward your required minimum distribution.
Give an IRA QCD
What It Is
An IRA charitable rollover lets you give from your retirement account without paying tax on the distribution.
Most withdrawals from a traditional IRA are taxed as ordinary income. The IRA charitable rollover is the exception. When you direct your IRA custodian to send funds straight to a qualified charity, the distribution never lands on your tax return as income. You give the gift, the charity receives the full amount, and you keep your taxable income lower than it would have been if you had withdrawn the funds and given cash.
For donors who are required to take minimum distributions and don’t need the income, this is one of the most tax-efficient ways to give. Your gift counts toward your RMD without inflating your adjusted gross income — which can have downstream effects on Medicare premiums, Social Security taxation, and other income-based calculations.
The mechanics are simple. The strategy is powerful. And for Christian donors at 70½ and older, an IRA charitable rollover is often the most efficient way to turn retirement savings into kingdom impact.
How to Make a
Qualified Charitable Distribution:
Contact your IRA custodian and request a qualified charitable distribution made payable to Cru.
Email IRA@cru.org with how you would like your gift to be designated.
See your IRA charitable rollover support the Cru ministries and missionaries you care about.
Depending on the custodian, they will either send the QCD check directly to Cru, send the check to the IRA account holder but made payable to Cru, or they may provide the IRA account holder with a checkbook with which to make a QCD. Whichever method, please notify Cru of your gift and your desired intentions.
An IRA charitable rollover tends to fit donors at a specific stage of life.
The donors who find the IRA charitable rollover most useful share a few characteristics. A short qualifier:
- You are 70½ or older. The IRS sets the minimum age at 70½. If you are not yet 70½, your IRA funds can still support Cru ministries through other strategies — but the QCD itself requires the age threshold.
- You hold a traditional IRA. QCDs work with traditional IRAs. Distributions from Roth IRAs, 401(k)s, and other retirement accounts have different rules. If you are unsure which account type fits, our team can walk you through the options.
- You take or will take required minimum distributions. Beginning at age 73, RMDs are required and taxed as income. A QCD can satisfy some or all of your RMD without adding to your taxable income — a significant advantage for donors who don't need the full distribution to live on.
- You have a Cru ministry or missionary in mind. This is not a generic gift. A QCD goes to a specific qualified charity you name, and the donors who do this well have a particular ministry or missionary they want to fund.
If three of those four describe where you are, a conversation is worth having.
FAQs
Although you cannot claim a charitable income tax deduction for a QCD gift, a QCD will not increase your taxable income, which may provide you with greater income tax savings when compared to making a cash gift and claiming an income tax deduction. For donors who do not itemize deductions, a QCD may still be tax efficient.
While the IRS doesn’t allow Qualified Charitable Distributions from an IRA to any donor-advised fund, after-tax IRA funds may be used to establish the GCDAF. Normal IRA distributions can be taken and then contributed to the GCDAF. The contribution to the GCDAF is tax-deductible and may offset income tax incurred by the IRA distribution. Please consult your tax professional to make sure your individual situation applies.
Yes, Cru is able to allocate a single QCD to multiple designations within Cru. Please use the IRA Rollover/QCD Directive to give your instructions.
Absolutely! Naming Cru as a beneficiary of your Individual Retirement Account is a generous and impactful way to spread the gospel and make a generational impact. Learn more about using your retirement assets for future ministry.
Get Started
Contact your IRA custodian or financial advisor to make a gift from your IRA to Cru.
Your IRA Custodian will send a check on your behalf to support your favorite ministry or missionary.
We will mail you an acknowledgment letter for your gift that states that no goods or services were provided. Please keep this for your records.
Please note: Typically, IRA Custodians will not notify charities of your intention for the gift. For proper handling and to ensure correct designation, please notify Cru of your gift.
* Check with your advisor for how much of your QCD will qualify for RMD in your situation. Contributions to IRAs after age 70 1⁄2 may affect how much of your QCD can be counted toward RMD.
Popular Custodian Contact Information
For your convenience, we have provided contact information below for some of the larger IRA custodians to help you get started.
American Funds
1-800-421-4225
Ameriprise
1-800-862-7919 (M – F, 7 AM to 7 PM CT). Ameriprise FAQ on QCD.
BMO Harris
Charles Schwab
Edward Jones
Edward Jones Tax Efficient Giving Strategies
Everence
1-800-348-7468 (M – F, 8 AM to 5 PM ET). Everence FAQ on QCD.
Fidelity
Lincoln Financial
1-877-275-5462
Morgan Stanley
TD Ameritrade
Vanguard
Wells Fargo
Wells Fargo FAQ on QCD.
* The content on this page is for educational and informational purposes only. It does not constitute legal, tax, or financial advice. Please consult with qualified professional advisors regarding your specific situation before making any giving or planning decisions.