Roth IRA after retirement.
Hi Terry, I have very small amounts in a couple of Roth IRa’s. I listened to you on noon hour WGN radio today 3/4. You said a Roth cannot be opened if I do not have earned income. One of my Roths is with Ed Jones and they auto withdrawal a monthly amount out of my checking account. Some months I also contribute extra if I have it. So next year I may retire from my part time job at the end of 2021. I will be 67 at year end. If my Roth IRA has already been opened while I had earned income, can I still contribute monthly to that IRA after I retire from my part time job, with just SS and a company pension, or do I need to keep working to keep contributions going.
Thank you in advance for you help.
Terry Says
Any IRA can only be funded out of EARNED INCOME in the year in which you make the contribution. Pension and Social Security don’t count! At your age (over 50) you can contribute up to $7,000 a year — but only if you have at least that much earned income. If you earn less, then you must contribute only the amount you earned (or less).