If I don't file a tax return, but my minimal income was earned, can I still put $ into a Roth IRA?

Question

If I don't file a tax return, but my minimal income was earned, can I still put $ into a Roth IRA?

Answer 1

If you earned your money at a job that gave you a W-2, save it as proof in case you are later questioned.  This applies when the amount of earnings is less than that required to file a tax return.  Of course, if it is at least $3000 for 2007 or 2008 you will want to file to get a Stimulus check.

If it is from self-employment earnings, you need to file if you have net income of over $400 as you will owe self-employment tax.  You will definitely need to file with SE income in order to do a Roth contribution.

Answer 2

You can put into the IRA (Roth or traditional) the lessor or the amount of earned income, or $4000. ($5000 if over 50)