what age limit for roth ira contributions
have clients in 70’s, but still working parttime. They take the rmd from their IRA’s.
Up to what age can they continue funding a roth ira with earned income (not the income from the RMD’s)?
IF they are receiving RMD’s and SS income, can they continue to fund a roth ira with earned income?
Is it the same as: since over 50, they can contribute up to $6000?
Thank you,
Douglas
Permalink Submitted by mk foss on Mon, 2012-10-22 18:23
There is no age limit for making Roth contributions as long as there is earned income. If one of the two makes $12,000 per year, that’s enough for each of them to make a $6,000 Roth contribution. It doesn’t matter that they’re taking RMDs from traditional or rollover IRAs or that they’re receiving Social Security. Age (for the $1,000 over 50) and earned income are the criteria for continuing the Roth contributions.
Permalink Submitted by Douglas Bauerband on Mon, 2012-10-22 23:32
thank you for your help.