For many in the Bates community, the transition into the years of taking distributions from, rather than making contributions to an IRA brings a new perspective on philanthropy. Last year alone, Bates alumni and friends contributed close to $1 million through qualified charitable distributions (QCDs).

While the median age for a first-time QCD gift at Bates is 76, there is a significant advantage to starting as soon as you are eligible at age 70½. The majority of donors, 75.6%, who switched to using their QCD for Bates support were able to increase their average annual gift by nearly 55%.

Why is this better than a standard gift?

Lowers Your Taxable Income: Unlike a regular withdrawal, a QCD is excluded from your adjusted gross income (AGI). This is a major advantage even if you don’t itemize your deductions.

Satisfies Your RMD: If you are age 73 or older, a QCD counts toward your annual Required Minimum Distribution (RMD), allowing you to meet your obligation without increasing your tax bill.

Protects Other Benefits: By keeping your AGI lower, a QCD may help you avoid higher Medicare premiums or the taxation of Social Security benefits that can be triggered by higher income levels.

What’s Changed in 2026?

Annual Outright Gifts: You can now direct up to $111,000 per year (up from $108,000) directly to Bates.

The Life-Income Option: You may also take advantage of a one-time election to fund a Charitable Gift Annuity (CGA) using a QCD. For 2026, the limit for this one-time gift has increased to $55,000. This allows you to support the college while securing fixed payments for yourself or a spouse.

A Legacy Beyond Your Lifetime

While QCDs are a powerful way to give today, you can also ensure the future of Bates by naming the college as a beneficiary of your retirement account, a simple step that allows these tax-burdened assets to pass to the college entirely tax-free.

To learn more, contact us at giftplanning@bates.edu | 800-762-3145. As always, please consult your financial advisor or tax professional for advice tailored to your personal situation.