Message Font: Serif | Sans-Serif
UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next
Author: SkyeQ Big red star, 1000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 667  
Subject: Re: Retiree with Foreign Earned Income Roth IRA Date: 1/9/2008 5:15 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Hi Charm,

I went to look for a source, and here is the deal. It appears that if you have reduced your gross income by the foreign income exclusion and nothing is left (ie, if your earned income is <80,000 or so) then you can not contribute to the Roth. If you have taken the foreign income exclusion, and you still have a positive adjusted gross income, then it is still possible to contribute to the Roth. Correct me if I'm wrong.

Adjusted gross income.

This is generally the amount on line 38 of your 2006 Form 1040; line 22 of your 2006 Form 1040A; or line 36 of your 2006 Form 1040NR. However, you must add to that amount any exclusion or deduction claimed for the year for:

Foreign earned income,...

Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next


Pencils of Promise - Back to School Drive
"Pencils of Promise works with communities across the globe to build schools and create programs that provide education opportunities for children."
Post of the Day:
Value Hounds

Netflix Riles Investors
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.