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URL:  http://boards.fool.com/one-of-my-foolish-relatives-invested-money-to-pay-11180521.aspx

Subject:  Re: Retroactive IRA inputs Date:  8/22/1999  10:15 PM
Author:  rjm1 Number:  13342 of 75776

One of my Foolish relatives invested money to pay for my college. Having chosen to go to a state school, a bit of the money was left over. Thus began my investing career.

Now I am at graduate school getting paid a few cents an hour to work 80 hours a week--perfect for setting up some DRiPs. Unfortunately, I've learned that DRiPs are no good with IRAs. So, while DRiPping, I would still like to take advantage of the fact that I am making over $2000 a year. At the end of the following years, can I claim $2000 of what I have left over from my education fund even though I did not technically "earn" it?

Thanks.



You must have 2,000 of earned income to contribute 2000 to an IRA. The answer is no.

I do not uses DRiP's, but I do not see why they would not work in an IRA. I could see a problem in finding a custodian/brocker to handle the account but I think E Trade and E Schwab would.
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