Changing Student Lives while Saving on Taxes
If you have an IRA and are now 70.5, there’s a great way to save on taxes while supporting the College of Media. A qualified charitable distribution (QCD), sometimes referred to as an IRA charitable rollover, allows you to make a tax-free gift from your individual retirement account (IRA) to a qualified charitable organization like the University of Illinois Foundation (UIF) without having to pay income taxes on the money. You can designate your gift to UIF to support students and/or programs at the College of Media. In 2026, the maximum amount allowed by law, from your IRA is $111,000 (adjusted annually for inflation).
Here’s How It Works
- You are age 70½ or older at the time of the gift.
- You make your gift directly from your IRA.
- You transfer the funds to one or more qualified charities.
- You pay no income taxes on the gift. The transfer generates neither taxable income nor a tax deduction, so you benefit even if you do not itemize your tax deductions.
If you are subject to a required minimum distribution (RMD) you can satisfy all or part of your obligation with your QCD. Since the gift doesn’t count as income, it can reduce your annual income level and may help lower your Medicare premiums and decrease the amount of Social Security that is subject to tax.
Learn more about QCD IRA gifts.
For more information, please contact Deanne Johnson, senior assistant dean for advancement, at 217-333-0752 or jhns@illinois.edu, or Judy Schneider, UIF director of gift planning, at 217-244-3351 or judiths@uif.uillinois.edu.
The University of Illinois Foundation is the official gift-receiving arm of the University of Illinois and is a 501 (c) 3 charitable organization with EIN 37-6006007. The University of Illinois Foundation does not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal, or accounting advice. You should consult your own tax, legal, and accounting advisors before engaging in any transaction.