diff --git a/changelog_entry.yaml b/changelog_entry.yaml
index e69de29b..0a2c86f8 100644
--- a/changelog_entry.yaml
+++ b/changelog_entry.yaml
@@ -0,0 +1,4 @@
+- bump: minor
+  changes:
+    added:
+    - Calibration of the QBID tax expenditure.
diff --git a/policyengine_us_data/datasets/puf/puf.py b/policyengine_us_data/datasets/puf/puf.py
index 045e142d..9b73a148 100644
--- a/policyengine_us_data/datasets/puf/puf.py
+++ b/policyengine_us_data/datasets/puf/puf.py
@@ -204,7 +204,9 @@ def preprocess_puf(puf: pd.DataFrame) -> pd.DataFrame:
     # Ignore cmbtp (estimate of AMT income not in AGI)
     # Ignore k1bx14s and k1bx14p (partner self-employment income included in partnership and S-corp income)
     qbi = np.maximum(0, puf.E00900 + puf.E26270 + puf.E02100 + puf.E27200)
-    W2_WAGES_SCALE = 0.16
+    # 10.1% passthrough rate for W2 wages hits the JCT tax expenditure target for QBID
+    # https://gist.github.com/nikhilwoodruff/262c80b8b17935d6fb8544647143b854
+    W2_WAGES_SCALE = 0.101
     puf["w2_wages_from_qualified_business"] = qbi * W2_WAGES_SCALE
 
     # Remove aggregate records
diff --git a/policyengine_us_data/utils/loss.py b/policyengine_us_data/utils/loss.py
index 7f1df9af..76884a03 100644
--- a/policyengine_us_data/utils/loss.py
+++ b/policyengine_us_data/utils/loss.py
@@ -394,6 +394,7 @@ def _add_tax_expenditure_targets(
         "medical_expense_deduction": 11.4e9,
         "charitable_deduction": 65.301e9,
         "interest_deduction": 24.8e9,
+        "qualified_business_income_deduction": 63.1e9,
     }
 
     def make_repeal_class(deduction_var):